TEMPO.CO, Balikpapan - Balikpapan administration in East Kalimantan has estimated that the Kutai Basin block may contain coal bed methane (CBM) which can last up to 30 years. The Kutai Basin block is located in two cities: Balikpapan and Kutai Kartanegara. "The CBM content in Kutai Basin may last decades," said Balikpapan Regional Development Planning Board Director Suryanto on Wednesday, May 29.
Foreign oil and gas company Vico Indonesia is the concession owner of the Kutai Basin block. The US-based company is conducting an exploration process for the eploitation of CBM content from the Kutai Basin block.
Suryanto added that there are some studies revealing CBM content in the Kutai Basin block reaching 84 million standard cubic feet per day (MMSCFD). The exploitation of CBM can be executed in Balikpapan or Kutai Kartanegara. "Balikpapan administration has issued permits for Virginia Indonesia Company (VICO) to conduct exploration. The permits were issued following Environmental Impact Studies (UKL) and Environmental Processing Studies (UPL) results," said Suryanto.
SG WIBISONO