The assurance was made by Kamil, who currently serves as chair of the Association of Oil, Gas, and Renewable Energy-producer Provinces (ADPMET), to Jambi Governor Al Haris during the latter's visit to Bandung, West Java.
"We have affirmed our full support when the Jambi governor and government officials visited the official residence. We fully support (their mission) and also encourage other provinces to be involved in the oil and gas management (in respective provinces). I also extend my personal support and affirm readiness to provide assistance," Kamil noted in his statement in Bandung, West Java, on Thursday.
According to Energy and Mineral Resources (ESDM) Ministry's Regulation No. 37 of 2016, oil and gas contractors are necessitated to offer a 10-percent participating interest to state- or regional province-owned enterprises, he noted.
"The 10-percent participating interest is the region's rights that must be offered (by the contractor) to regional government-owned enterprises," Kamil noted.
He stated that the West Java government, through regional province-owned enterprise PT Migas Hulu Jabar, had been successful in maintaining a profitable performance that will also benefit West Java's residents.
While West Java and East Kalimantan have been successful in managing the profitable 10-percent participating interest, Kamil highlighted that Jambi continues its efforts to manage the province's rights.
The Jambi Province-owned enterprise in the oil and gas industry will study from several parties, including the West Java government, to advance their performance, the governor added.
Kamil expressed optimism about Jambi's success in managing the participating interest in the future, as the potential value of the rights might reach up to Rp1 trillion (US$70 million) for the regional government.
"Theoretically, the total value of the participating interest may reach Rp1 trillion, so we must fight for the rights, as it will surely benefit the people," he remarked.
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Meanwhile, Jambi Governor Al Haris noted that the ESDM ministry had recommended the province's authority to learn about the management of participating interest from West Java Province.
"After the ESDM minister told us to learn from West Java since it had successfully managed the rights, I promptly arranged for a visit to West Java," Haris stated.
The governor confirmed that he will delegate a team to study the 10-percent participating interest management to PT Migas Hulu Jabar.
Haris also expressed optimism that his West Java counterpart would send a team to Jambi to observe the actual condition in his province.
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Translator: Ajat Sudrajat, Nabil Ihsan
Editor: Rahmad Nasution
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