Indonesia to increase oil lifting volume

Indonesia to increase  oil lifting volume

Hatta Rajasa. (ANTARA)

Jakarta (ANTARA News) - Indonesia is seeking to increase its oil lifting volume to one million barrels per day in 2013 due to price uncertainty and the tendency of the oil price stabilize at a high level.

The country`s chief economic minister, Hatta Rajasa, said at a press conference at the presidential office here on Tuesday the decision was made following President Susilo Bambang Yudhoyono`s directives at a cabinet meeting that with regard to anticipating a number of problems in relation to achieving the government`s targets from 2012 to 2014.

He said the target of increasing the oil lifting volume from around 900,000 barrels per day at present to one million barrels was set based on a number of calculations and measures to be taken in the field.

"The target is to be achieved among others by reducing the rate of scientific explorations from 12 percent to three percent so that production in the existing fields at the rate of 900,000 barrels a day can be maintained," he said.

He said another step to be taken was opening new fields which have already been available and making them ready for exploration.

"We will accelerate the opening of new fields. In technical terms it is how to shift from probability reserves to recovering reserves. We have Cepu Block, Banyu Urip and others. The road map is already made. This third step if optimalizing production in the existing fields now at 44,000 barrels a day by an additional production of 12,000," he said.

Hatta said other decisions made during the cabinet meeting was completing the 10,000 megawatt power project including the second phase of 10,000 megawatt project and preparing the third phase of the 10,000 megawatt project.

The meeting also decided measure to meet national rice stock surplus, he said.

"To secure 10 million tons surplus in 2014 the President has ordered the creation of a roadmap with its financing plan. The President also asked for increasing employment through increasing economic growth from 6.0 to 6.5 percent. In February 2011 the economic growth reached 6.1 percent and it could provide employment to a total of 3.8 million people. So with the economic growth of 6.6 percent 4.1 million people should get employment," he said.

Hatta said President Yudhoyono at the meeting also called for control of inflation so that in the long term it could be controlled below four percent.

"In August the rate of inflation was 0.93 percent. We hope by the end of the year we could manage it at below five percent," he said.