The Jakarta Post
Some 1,885 employees of PT Total E&P Indonesie (TEPI) will become employees of state-owned energy firm Pertamina when TEPI ends its operational contract in the Mahakam oil and gas block in Kalimantan.
The block will be taken over by Pertamina Hulu Indonesia (PHI), a subsidiary of Pertamina, on Jan. 1, 2018.
“The transfer of Mahakam block employees from TEPI to PHI has reached 98.23 percent,” said PHI president director Bambang Manumayoso in Jakarta recently, as reported by tribunnews.com, adding that the other employees would reportedly start their own businesses.
He expressed his optimism that the former TEPI employees would help increase the productivity of the oil and gas block in East Kalimantan that will be handed over to the Pertamina subsidiary. “After the takeover, their nationalistic spirit will help Pertamina’s battle to achieve energy sovereignty,” he added.
He said Pertamina was allocating Rp 24.3 trillion (US$1.8 billion) to fund the takeover of the Mahakam block from TEPI.Read also: Total to start drilling 6 wells in Mahakam field
Currently, Pertamina is drafting its work program and budget for 2018 and it will be discussed with the Upstream Oil and Gas Regulatory Special Task Force (SKKMigas) later this month, said Bambang. (bbn)