Britain to help develop Indonesia's oil sector
Britain to help develop Indonesia's oil sector
JAKARTA (JP): The British government agreed on Thursday to
help develop Indonesia's oil and gas sector by encouraging
investment and the transfer of know-how from its own industry.
A joint declaration issued by British Minister of Trade
Richard Caborn and Indonesia's Minister of Energy and Mineral
Resources Purnomo Yusgiantoro on Thursday outlines three measures
to promote cooperation in the oil and gas sector.
The two ministers agreed to encourage and facilitate British
investment in Indonesian oil and gas projects, according to the
declaration, which was signed at the end of Caborn's three-day
visit.
They also agreed to facilitate collaboration between Indonesia
and British small and medium-scale enterprises in the oil and gas
sector and to seek ways to enhance performance in the Indonesian
oil and gas sector.
Purnomo announced after the signing ceremony that Indonesia
and Britain could establish many joint cooperation programs.
He said British technology and know-how in exploring and
exploiting oil and gas from the deep waters of the North Sea was
something that Indonesia could learn and adopt.
"British companies are among the world's leaders in the oil
and gas industry. We want to invite them here," he said.
"The most important thing from the declaration is that we are
promoting foreign direct investment here," he said.
Purnomo said Indonesia could also learn from the way Britain
had helped small and medium-scale enterprises participate in the
oil and gas industry.
Caborn refrained from stating a specific amount in British
investment that would result from the declaration, saying that
his government's main concern was to create the necessary
conditions to promote the exploration of oil and gas in
Indonesia.
But the British Embassy in Jakarta said there was potential
for substantial additional British investment in the oil and gas
sector in Indonesia.
"This is likely to materialize once new legislation is passed,
clarifying the future operating environment investment," it said.
Earlier, Caborn and Purnomo jointly opened the inaugural
meeting of the Indonesian British Oil and Gas Working Group at
Kempinski Hotel.
Representatives from Indonesia included government officials
as well as state companies Pertamina (oil and gas) and Perusahaan
Gas Negara gas distributor, and private companies like Medco and
Kondur Petroleum. Representatives from Britain included
executives from oil companies such as Beyond Petroleum, Shell and
Premier Oil and supply service companies such as Amec and Foster
Wheeler. (02)