"Investasi Hulu Migas Indonesia Masih Menyembuhkan, Ini Buktinya!

Illustration (Photo: Doc. Antara)

JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) through the Directorate General of Oil and Gas (Ditjen Migas) has offered 13 oil and gas working areas (WK) throughout 2022.

This number exceeds the target of the Migas WK bid, which is 10 WK or reaches 130 percent of the target.

Director General of Oil and Gas Tutuka Ariadji said this achievement is proof that investment opportunities for the upstream oil and gas sector in Indonesia are still promising for business actors.

"Of the 13 WK offered, it is divided into two stages, where from the stage I bid to auction 7 WK which was set by 4 WK Pemenang, namely WK Bawean, WK Offshore North West Aceh, WK Offshore South West Aceh, and WK West Kampar," said Tutuka in a performance presentation in Jakarta, Tuesday, January 31.

He continued, WK who do not get the winner will be designated as an accountable WK which can be proposed as a Direct Offer without going through a Joint Study or proposed to be re-auctioned through a Joint Study.

"Meanwhile, in the second phase of the WK auction, out of 6 WK, 2 winners of the auction have been announced, namely WK Jabung Tengah and WK Paus, while the other four WKs are still in the auction process," said Tutuka.

In 2022, the signing of 5 Cooperation Contracts (KKS) consisting of 4 contracts from the auction in 2021, namely WK Bertak Puyuh Pijar, WK Agung I, WK Agung II and WK North Ketapang, and 1 contract from the auction in 2022, namely WK Bawean.

Tutuka explained that the success of the WK offering could not be separated from the Government's efforts to increase investor interest, such as improving the forms and provisions of the Main Regulation (Terms & Conditions) of Cooperation Contracts to make it more attractive.

"Among them are providing incentives and Participating Interest (PI 10 percent) which is the implementation of the Minister of Energy and Mineral Resources Decree No. 199 of 2021 concerning Guidelines for Providing Incentives for Upstream Oil and Gas Business Activities, Minister of Energy and Mineral Resources Decree No. 223 of 2022 concerning Implementation of 10 percent PI Offer Provisions to BUMD in WK Migas and the implementation of Kepdirjen No. 153 of 2022 concerning SOP for Examination and Evaluation of 10 percent PI Transfer at WK Migas," concluded Tutuka.