TEMPO.CO, Jakarta - State oil and gas company Pertamina is preparing to invest in the Mahakam Block next year. The block is currently being managed by Total E&P Indonesie, whose production sharing contract (PSC) will expire in December 31, 2017.
Pertamina president director Dwi Soetjipto said if Total allows it and if they receive legal support, Pertamina will begin investing the fund in next year's second quarter even if Total would still be the block's official operator.
Total will still have drilling activities in Mahakam by the first quarter of next year. If possible, Dwi said, Pertamina will also ask Total to take on the drilling activity once the new PSC, with Pertamina as operator, is out.
"If it is still theirs, legal-wise, we will ask them to carry out [the drilling] on behalf of Pertamina," he said in Jakarta, Wednesday, July 27.
Dwi said Pertamina continues to in-depth reviews to determine which aspects that require investments in 2017. Pertamina estimates they would need to invest some US$2.5 billion.
