Block B Natuna located in Riau owned 40 % by Conoco Philips, 25% of Chevron, and 35% of Inpex will be farmed out by Conoco Philips and Chevron. The total 65% participating interest that they have is traded due to their plans to be more focus in the development of Palangkaraya Block in Kalimantan which is expected to have more than one exploration well.
As this decision is heard, the management of PT. Pertamina is examining the plan to buy the participating interest of them. The team is now examining and evaluating the economy matters of the block and the business factor of the block.
SVP Strategic Planning and Operation Pertamina, Meidawati expresses that Pertamina is interested to things that bring advantage and willing to increase the oil and gas reserve for Indonesia. She also said that Pertamina was ready to buy and invest on Block B Natuna after the result of analysis given by the management of PT. Pertamina.
Meidawati mentions some of the consideration of Pertamina to buy the participating interest of Conoco Philips and Chevron Pacific Indonesia such as the risk achieved, the return gained, and how we are able to rely on a huge reserve on existing block.
May Pertamina could decide well. Not only see all the good side of the block but also review the risk may really be helpful for substantiating the presumption and reinforce the decision itself. Wish all the decisions made bring the development of Indonesia’s gas and oil industry.
by Celine Susanto – Education and Workshop Division of SPE ITB SC