Currently the Mahakam block in East Kalimantan is operated by Total Indonesie under a contract to expire in 2017.Jakarta (ANTARA News) - Energy and Mineral Resources Minister Sudirman Said said state oil and gas company PT Pertamina will take over operation of the Mahakam gas block in 2017.
Currently the Mahakam block in East Kalimantan is operated by Total Indonesie under a contract to expire in 2017.
The government has facilitated a meeting between Pertamina and Total E&P Indonesie, Sudirman said here on Wednesday.
He said a transfer of information is expected to take place from Total to Pertamina to make the state company ready for the take over.
He said Pertamina should be proactive and start prepare everything including fund for the operation of the gas block.
The government will also give an opportunity to the regional administration to take part in the development of the gas block.
Currently Pertamina is preparing proposal for the operation of the Mahakam block after the take over.
Pertamina has repeatedly said it is ready to wholly take over the block.
The government hopes that Pertamina is already ready with the proposal in January 2015 that the final decision could be made in February 2015.
Total, a French oil giant, has operated the block for 50 years as a 50 percent shareholders.(*)
Editor: Heru Purwanto
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