Rimba Supriyatna / Mahinda Arkyasa
Overlap between the oil and coal mining work areas is something that is due to happen. This situation is attributed to Indonesia’s geological conditions, as viewed by Satoto Agustono, General Manager of PT Pertamina EP Eastern Indonesia Region (Pertamina EP)—a subsidiary of the National Oil and Gas Company (Pertamina). In order to prevent bigger disputes, he urges that oil mining contractors to coordinate and communicate their work areas with coal mining contractors.
“Coordination between contractors must happen, especially for PT Pertamina EP, so it may prevent potential conflicts,” he stated to hukumonline in a press conference titled ‘Efforts to Increase Pertamina Oil and Gas Production in Eastern Indonesia,’ Friday (15/2).
Satoto informed that currently, the Special Work Unit for Upstream Oil and Gas Activities (SKK Migas) has drafted a Joint Area Utilization Agreement (Perjanjian Penggunaan Lahan Bersama - PPLB) with coal mining contractors.
The joint agreement divides Pertamina EP’s exploration areas into three zones, the red, yellow, and green zones.
In the red zone, coal mining contractors are not allowed to conduct any mining activities. Whereas in the yellow zone, coal mining contractors may conduct mining activities upon securing a permit and inform the oil mining contractors on their concession rights to the area, including their plans.
Meanwhile, the green zone is classified as an area where coal mining contractors may freely conduct mining activities. Under the condition that they still report their activities to the respective concession rights holders.
Ali Mundakir, Vice President of Corporate Communications of Pertamina, explained that in order to address the area overlapping issue, the central government must coordinate with regional governments when issuing mining concessions.
He added that Pertamina’s effort to address the issue is limited to conducting periodic coordination with concession rights holders, he strongly advice that this matter be addressed permanently through the issuance of a regulatory framework on mining area overlap.
(JT/DS)
Rimba Supriyatna / Mahinda Arkyasa
Overlap between the oil and coal mining work areas is something that is due to happen. This situation is attributed to Indonesia’s geological conditions, as viewed by Satoto Agustono, General Manager of PT Pertamina EP Eastern Indonesia Region (Pertamina EP)—a subsidiary of the National Oil and Gas Company (Pertamina). In order to prevent bigger disputes, he urges that oil mining contractors to coordinate and communicate their work areas with coal mining contractors.
“Coordination between contractors must happen, especially for PT Pertamina EP, so it may prevent potential conflicts,” he stated to hukumonline in a press conference titled ‘Efforts to Increase Pertamina Oil and Gas Production in Eastern Indonesia,’ Friday (15/2).
Satoto informed that currently, the Special Work Unit for Upstream Oil and Gas Activities (SKK Migas) has drafted a Joint Area Utilization Agreement (Perjanjian Penggunaan Lahan Bersama - PPLB) with coal mining contractors.
The joint agreement divides Pertamina EP’s exploration areas into three zones, the red, yellow, and green zones.
In the red zone, coal mining contractors are not allowed to conduct any mining activities. Whereas in the yellow zone, coal mining contractors may conduct mining activities upon securing a permit and inform the oil mining contractors on their concession rights to the area, including their plans.
Meanwhile, the green zone is classified as an area where coal mining contractors may freely conduct mining activities. Under the condition that they still report their activities to the respective concession rights holders.
Ali Mundakir, Vice President of Corporate Communications of Pertamina, explained that in order to address the area overlapping issue, the central government must coordinate with regional governments when issuing mining concessions.
He added that Pertamina’s effort to address the issue is limited to conducting periodic coordination with concession rights holders, he strongly advice that this matter be addressed permanently through the issuance of a regulatory framework on mining area overlap.
(JT/DS)