Masela Block Investors And IDD Leaving From RI, This Is The Explanation From The SKK Migas Boss

Illustration (Photo: Doc. Antara)

JAKARTA - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) is looking for replacement investors for the Masela Block and Indonesia Deepwater Development (IDD).

For your information, IDD, which was originally held by Chevron, decided to leave Indonesia. Meanwhile, the Masela Block is Shell.

The two investors left Indonesia due to the lack of investment in the upstream oil and gas sector.

Head of SKK Migas Dwi Soetjipto explained that his party had not yet found the right partner to replace the two big investors.

"We are targeting (this year) to have completed the partnership," said Dwi to the media, Monday, July 18.

Dwi added that currently Inpex plans to re-submit Plan of Development (PoD) changes by including the Carbon Capture Utilization Storage (CCUS) project in the Masela Block.

Meanwhile, Deputy Head of SKK Migas Fatar Yani Abdurrahman explained, there are two issues regarding the current development of the IDD project.

The first is related to the IDD contract which will expire in 2027, the second is related to the search for a replacement operator for Chevron.

Fatar explained that there are two options for Chevron's replacement partner, namely an Italian partner company, ENI or it could be an external partner.

"The latest information received (the discussion) is getting more intense, getting closer. Hopefully we will convey the settlement regarding Abandonment Site Restoration (ASR), hopefully they can close the deal," said Fatar.

If an agreement cannot be reached, then Chevron will have to find other interested partners.

Even in the transition process, Fatar continued, it is still necessary to explain the post-transition obligations.