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Jakarta Post

What’s wrong with oil and gas exploration in Indonesia?

  • Kartono Sani

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PREMIUM
Jakarta   /   Tue, January 7, 2020   /  09:59 am
What’s wrong with oil and gas exploration in Indonesia? Workers erect a drill rig to bore one of six wells in the Jembaran Tiung Biru (JTB) gas field in the Cepu Block, East Java on October (10/10). The field's operator, Pertamina EP Cepu, expects to the field to begin commerical operation in July 2021. (Pertamina/Pertamina)

In the near future, oil and gas discourse will remain focused on declining national production and a declining passion for exploration that is increasingly alarming. Recently, at the joint convention of oil and gas-related associations — IAGI, HAGI, IATMI and IAFMI — in Yogyakarta, Upstream Oil and Gas Regulatory Special Task Force (SKKMigas) head Dwi Soetjipto unveiled his pledge to help national oil production climb back to 1 million barrels of oil per day (bopd) by 2030. The target is based on the fact that the country has 128 potential oil and gas basins but only 54 have been explored. The SKKMigas head said, frankly, that he took the target for granted because it had been passed on from the outgoing SKKMigas head to the successor for nearly the last 10 years. The fact is, national production has continued to decline to the current level of around 750,000 bopd. I...

Disclaimer: The opinions expressed in this article are those of the author and do not reflect the official stance of The Jakarta Post.