Exploration activities boost RI's oil, gas reserves: Government
Fitri Wulandari, The Jakarta Post , Jakarta,
The government said on Friday that various oil and gas exploration and exploitation activities in 2003 had added one billion barrels of oil and 20 trillion cubic feet of natural gas to the country's current oil and gas reserves.
Minister of Energy and Mineral Resources Purnomo Yusgiantoro said that the boost in the oil and gas reserves marked a successful year for investment in the sector.
He was speaking at the second annual forum between the government and oil and gas firms operating in Indonesia, held at the Bogor State Palace in Bogor, West Java.
The meeting was opened by President Megawati Soekarnoputri.
Purnomo said that some 70 percent of the additional reserves was contributed by state-owned oil and gas firm PT Pertamina's new oil and gas finds (including those coming from various partnerships between Pertamina and private contractors).
Major reserves found by Pertamina's own operations come from the Pondok Tengah oil and gas field in Bekasi, West Java. While those resulting from partnerships with oil and gas contractors include the Banyu Urip field, Alastua, Sukowati and Jambaran (operated by ExxonMobil Cepu); deepwater West Seno and Merah Besar in East Kalimantan (Unocal); Kerisi and Belanak field in South Sumatra (ConocoPhillips); Matra and Tiaka (Exspan); Oseil (Kufpec Ltd.); Tuba Obi Timur (Akar Golindo); Sisi/Nubi (TotalFinaElf); KE-40 (Kodeco); Ujung Pangkah (Amerada Hess); and Sukowati (Petrochina).
While the additional 20 TCF of natural gas reserves come from Jambaran, Alas Tua, Sukowati, Abadi, and Pondok Tengah fields.
Director of Exploration and Exploitation Indrayana Chaidir told The Jakarta Post that with the additional reserves, the country's total potential and proven oil and gas reserves now stand at 10.7 billion barrels and 190 TCF of gas, respectively.
Megawati in her speech said the country had to keep finding new natural resources to meet growing national demand.
"We have to face the reality that our ability to fulfill growing national demand has been diminishing. In relation to oil and gas, the market is not only the international market but also now and in the future, the domestic market," she said.
Megawati also said that prudent exploitation and use of natural resources must be developed because the resources are not unlimited.
"Like any members of the global society, we are trying to promote efficiency in using (natural resources)," she added.
In the meeting, Megawati received a progress report from the oil and gas sector, including the restructuring of the sector through the establishment the Oil and Gas Upstream Authority Body (BP Migas), the Oil and Gas Downstream Regulatory Body (BPH Migas) and the turning of Pertamina into a limited liability company.
Purnomo also reported that 15 new oil and gas contracts had been signed in 2003 with a total exploration commitment of US$140.9 million.
In the liquefied natural gas (LNG) sector, the country has signed a preliminary contract to sell LNG to U.S.-based Sempra Energy LNG Corp. (3.7 million tons), South Korean SK Corporation and POSCO (1.15 million tons), and with China CNOOC-Fujian LNG. Co (2.6 million tons).