Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Kartini L Makmur, Robert Sidauruk
Indonesia’s oil production is predicted to fall below 830,000 barrels per day (bpd) this year and not meet the State Budget’s projected target. Despite these circumstances, state revenue from the oil and gas sectors is expected to increase and actually surpass Budget estimates.
According to Hendra Fadli, Director of Upstream Business at the Directorate General of Oil and Gas, the current hike in the oil price in international markets will be advantageous to the state coffers. Current global conditions, Hendra stated, indicate a movement towards higher oil prices in near future.
“Although production is below target, the current high price of oil will result in a positive financial impact for the State,” said Hendra during a discussion on Improved Gas Recovery, in Jakarta on Monday.
During the first semester this year, Hendra informed that state revenue from upstream oil and gas activities reached USD 18.7 million. This figure surpassed the target of USD 18.4 million. However, actual oil production during the same period only reached 831,118 bpd, slightly under the State Budget’s target of 840,000 bpd.
To overcome the decrease in oil production and to secure state revenue, Indonesia will now shift its focus to natural gas production. Johanes Widjanarko, acting Head of the Special Works Unit for Upstream Oil and Gas Activities (SKK Migas), emphasized that such efforts are needed because the golden era of domestic oil production has passed.
Johannes said that with a large reserve—currently 12th in the world—Indonesia has the potential to be a significant supplier to meet the international demand for natural gas. In fact, 19 percent of Asia Pacific’s natural gas reserves are located in Indonesia.
“The era of oil is over, we are now entering the gas production era,” added Johanes.
(hot/kc)
Kartini L Makmur, Robert Sidauruk
Indonesia’s oil production is predicted to fall below 830,000 barrels per day (bpd) this year and not meet the State Budget’s projected target. Despite these circumstances, state revenue from the oil and gas sectors is expected to increase and actually surpass Budget estimates.
According to Hendra Fadli, Director of Upstream Business at the Directorate General of Oil and Gas, the current hike in the oil price in international markets will be advantageous to the state coffers. Current global conditions, Hendra stated, indicate a movement towards higher oil prices in near future.
“Although production is below target, the current high price of oil will result in a positive financial impact for the State,” said Hendra during a discussion on Improved Gas Recovery, in Jakarta on Monday.
During the first semester this year, Hendra informed that state revenue from upstream oil and gas activities reached USD 18.7 million. This figure surpassed the target of USD 18.4 million. However, actual oil production during the same period only reached 831,118 bpd, slightly under the State Budget’s target of 840,000 bpd.
To overcome the decrease in oil production and to secure state revenue, Indonesia will now shift its focus to natural gas production. Johanes Widjanarko, acting Head of the Special Works Unit for Upstream Oil and Gas Activities (SKK Migas), emphasized that such efforts are needed because the golden era of domestic oil production has passed.
Johannes said that with a large reserve—currently 12th in the world—Indonesia has the potential to be a significant supplier to meet the international demand for natural gas. In fact, 19 percent of Asia Pacific’s natural gas reserves are located in Indonesia.
“The era of oil is over, we are now entering the gas production era,” added Johanes.
(hot/kc)