Minister Jonan: Pertamina Must Buy Oil Production Results from National KKKS

By : Hariyanto And Aldo Bella Putra | Thursday, August 16 2018 - 16:00 IWST

Menteri Energi dan Sumber Daya Mineral (ESDM) Ignasius Jonan
Menteri Energi dan Sumber Daya Mineral (ESDM) Ignasius Jonan

INDUSTRY.co.id - Jakarta - Energy and Mineral Resources (ESDM) Minister Ignasius Jonan said the government requires PT Pertamina (Persero) to buy all crude oil production produced by the national Cooperation Contract Contractors (KKKS).

This policy is a direct order from the President of the Republic of Indonesia, Joko Widodo during a Limited Meeting (Ratas) as part of a program to increase foreign exchange in the ESDM sector.

"Pertamina must buy production oil from the KKKS, and Pertamina will buy at market prices. So, do not produce it from here and then export it out and Pertamina imports from outside here, which surely Pertamina must buy," Jonan said after launching ESDM 136 Contact Center Service on Wednesday (08/15/2018).

Regarding Pertamina's purchase price, Jonan ensured that Pertamina would buy in accordance with the prevailing world oil prices, while the crude oil purchase mechanism from the KKKS would be prepared by SKK Migas.

"I do not know the difference between the price of crude exports and imports, but certainly Pertamina is obliged to buy according to the market price, it is not impossible, and SKK Migas will make a buying mechanism," Jonan explained.

The policy of requiring Pertamina to buy this national oil production will apply permanently. It is hoped that with this policy Pertamina can not only reduce crude oil imports, but also reduce the cost of transporting crude oil. "Yes, this is the President's order, it has been taken from the local area, so that it will save transportation costs," explained Jonan.

News Comment

Today's Industry

Sergey Sedov, Founder and CEO of Robocash Group

Jumat, 13 Mei 2022 - 16:15 WIB

Robocash Group reached 2 BN USD of disbursement and issued audited financial report of 2021

Robocash Group publishes the audited combined financial statements for the year ended 31 December 2021. The Group reached an all-time high 2 BN USD of issued financing and is expected to increase…

PT Sariguna Primatirta Tbk (Tanobel Group)

Jumat, 13 Mei 2022 - 15:45 WIB

Demand Increases, CLEO Recorded IDR307.7 Billion Sales in Q1-2022

PT Sariguna Primatirta Tbk (Tanobel Group), a public company and manufacturer of Bottled Drinking Water (AMDK) with the IDX ticker code: CLEO: IJ, recorded a 30% increase in sales reaching IDR307.7…

TopWorx DX PST with HART 7 monitors and tests valve assemblies, providing detailed data and diagnostics and enabling the digital transformation of process applications.

Jumat, 13 Mei 2022 - 15:15 WIB

Emerson’s New Emergency Shutdown Discrete Valve Controller Improves Safety, Uptime in Hazardous Applications

Emerson introduced the TopWorxTM DX PST with HART® 7. Units provide valuable valve data and diagnostic information, enabling the digital transformation of process applications.

PT Buyung Poetra Sembada Tbk (“HOKI”)

Kamis, 12 Mei 2022 - 15:26 WIB

HOKI Launches Another New Product

PT Buyung Poetra Sembada Tbk (“HOKI”), a Public Company which produces quality rice under the “Topi Koki” and “HOKI” brands, continues to innovate by re- launching new products.…

Rockwell Automation Inc. /obe.wisc.edu

Kamis, 12 Mei 2022 - 14:19 WIB

Rockwell Automation Releases New, Highly Customizable Industrial Monitors

Rockwell Automation, Inc. (NYSE: ROK), the world’s largest company dedicated to industrial automation and digital transformation, today announced the release of a new line of industrial monitors…