Ada Pertanyaan? Hubungi Kami 
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Produk Pilihan
Ada Pertanyaan? Hubungi Kami Christina Desy, Kartini L. Makmur
With the expiration of a number of oil and gas work area contracts imminent, the Ministry of Energy and Mineral Resources (“Ministry”) intends to immediately issue a ministerial regulation on oil and gas work areas. The draft regulation is being finalized and awaiting signing by the Minister.Teguh Pramudji, Secretary General of the Ministry, announced it is expected the regulation will be in force by next month. According to Mr. Pramudji, the regulation mainly provides guidelines for managing oil and gas work areas which will no longer be under contracts. Included in the regulation is the possibility of current contractors to an oil and gas work area contract to propose an extension to the government.
Mr. Pramudji further elaborated that the regulation provides the government with the power to appoint parties entitled to utilize an oil and gas work area. The regulation also requires, however, that the government prioritize state-owned oil company Pertamina in such circumstances.
“Pertamina may utilize the work areas for 30 years and this may be extended,” said Mr. Pramudji.
Adding to Mr. Pramudji’s comments, I Gusti Nyoman Wiratmadja, Acting Director General of Oil and Gas, stated that the Minister is authorized to determine the form and main provisions of any contract between Pertamina and the government for oil and gas work areas. Mr. Wiratmadja said that the government may still allow former contractors to utilize certain work areas, or even undertake joint utilization with Pertamina.
In addition, the regulation sets out the requirements for a party to obtain a recommendation from the Director General of Oil and Gas before being able to utilize an oil and gas work area. To that extent, the Director General may also evaluate the contract extension recommendation from the Special Works Unit for Upstream Oil and Gas Activities (SKK Migas) as well as the application from Pertamina.
“In exercising its authority, the Director General will establish a management team for the oil and gas work area contract extension which will then determine the assessment standards,” said Mr. Wiratmadja.
Mr. Wiratmadja is emphasizing that all contractors who are appointed must utilize their work areas seriously given the important role of fossil based energy for planned development programs.
Regardless, Mr. Wiratmadja is optimistic that the upcoming ministerial regulation will ensure the commitment of contractors to properly utilize their oil and gas work areas.
(hot/kc)
Christina Desy, Kartini L. Makmur
With the expiration of a number of oil and gas work area contracts imminent, the Ministry of Energy and Mineral Resources (“Ministry”) intends to immediately issue a ministerial regulation on oil and gas work areas. The draft regulation is being finalized and awaiting signing by the Minister.Teguh Pramudji, Secretary General of the Ministry, announced it is expected the regulation will be in force by next month. According to Mr. Pramudji, the regulation mainly provides guidelines for managing oil and gas work areas which will no longer be under contracts. Included in the regulation is the possibility of current contractors to an oil and gas work area contract to propose an extension to the government.
Mr. Pramudji further elaborated that the regulation provides the government with the power to appoint parties entitled to utilize an oil and gas work area. The regulation also requires, however, that the government prioritize state-owned oil company Pertamina in such circumstances.
“Pertamina may utilize the work areas for 30 years and this may be extended,” said Mr. Pramudji.
Adding to Mr. Pramudji’s comments, I Gusti Nyoman Wiratmadja, Acting Director General of Oil and Gas, stated that the Minister is authorized to determine the form and main provisions of any contract between Pertamina and the government for oil and gas work areas. Mr. Wiratmadja said that the government may still allow former contractors to utilize certain work areas, or even undertake joint utilization with Pertamina.
In addition, the regulation sets out the requirements for a party to obtain a recommendation from the Director General of Oil and Gas before being able to utilize an oil and gas work area. To that extent, the Director General may also evaluate the contract extension recommendation from the Special Works Unit for Upstream Oil and Gas Activities (SKK Migas) as well as the application from Pertamina.
“In exercising its authority, the Director General will establish a management team for the oil and gas work area contract extension which will then determine the assessment standards,” said Mr. Wiratmadja.
Mr. Wiratmadja is emphasizing that all contractors who are appointed must utilize their work areas seriously given the important role of fossil based energy for planned development programs.
Regardless, Mr. Wiratmadja is optimistic that the upcoming ministerial regulation will ensure the commitment of contractors to properly utilize their oil and gas work areas.
(hot/kc)