Tue, 01 Jan 2008
Jakarta (ANTARA News) - Indonesia's Finance Ministry announced new fiscal incentives on Saturday to boost the country's oil production, which is likely to be below this
year's target.

Indonesia is expected to produce 899,000 barrels per day this year, below the target of 950,000 bpd in the 2007 budget.

Indonesia has been offering new exploration rights and financial incentives for oilfields in a bid to stem a steady decline in production because of its ageing wells.

The incentives announced in a bylaw on Saturday include eliminating tariffs for importing equipment used in oil, gas and geothermal production, such as drilling platforms, offshore production and undersea exploration facilities, Reuters reported.

The bylaw, which also aims to raise domestic gas and geothermal production, will also shift the burden of paying value-added tax for importing production equipment from operators to the government.

Indonesia, Asia-Pacific's only OPEC member, has been struggling to maintain output as the country has failed to tap new oilfields fast enough.

In August, the country's president said that oil lifting in Indonesia was expected to be 1.034 million bpd next year, up from 950,000 bpd in this year's budget. (*)



News Search/Filter
Transaction Rates
19 Dec 17
Buy
Sell
BTC1
251,794,962
251,794,962
Taxation Exchange Rates
31 Aug 16 - 06 Sep 16
USD 1
13,232.00
AUD 1
10,043.30
CAD 1
10,213.70
DKK 1
1,999.40
HKD 1
1,706.22
MYR 1
3,283.28
NZD 1
9,623.63
NOK 1
1,605.23
GBP 1
17,433.70
SGD 1
9,757.68
SEK 1
1,569.45
CHF 1
13,631.10
JPY 100
13,101.00
MMK 1
11.01
INR 1
197.29
KWD 1
43,920.70
PKR 1
126.23
PHP 1
285.00
SAR 1
3,528.53
LKR 1
91.12
THB 1
382.08
BND 1
9,756.53
EUR 1
14,885.50
CNY 1
1,987.61

Okusi Associates: Indonesian Business & Management Services