Determination and Offer Procedures for Oil & Gas Work Areas

Oil and gas exploitation remains an important revenue earner for Indonesia and to facilitate the granting of work area and work contracts the Government is determined to put in place mechanisms to determine policy in this sector based on technical, economic, risk level, and efficiency considerations as well as policy that is open, fair, accountable, and competitive.

The Minister will be able to offer work areas either through tender of direct offers. However, the actual offer through either of these mechanisms is to be executed by the Director General. The Director General will establish a Tender Team and a Evaluation Team. Direct offers can be made in zones that are deemed to be open and these areas will be determined based on recommendations.