The Government Is Ready To Auction For Blok Natuna Tengah Tahun Ini

Illustration of the Natuna Block (Photo: Doc. SKK Migas)

JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) plans to auction off the East Natuna Block or Working Area (WK) located in Natuna waters.

The Director General of Oil and Gas at the Ministry of Energy and Mineral Resources, Tutuka Ariadji, said that later the Natuna WK would be divided into three parts and then auctioned off.

"For Natuna D-Alpha, we are preparing the process for an auction. Natuna D-Alpha is in the East Natuna Block, so the natunaeast is big," he said in Jakarta, quoted on Friday, February 3.

Tutuka continued, this WK will be divided into 3 parts, including Arwana-Barakuda Square, D-Alpha, and the Pope.

"Later we will take it, auctioned it internationally and openly. Maybe this year, mid or earlier," added Tutuka.

The Director General of Oil and Gas plans that the auction process will be carried out to coincide with the holding of the Indonesian Petroleum Association Convention & Exhibition (IPA Convention) 2023.

"Mei when there is an IPA (Convex) it is good. We are targeting that when there is an IPA it will be very good. Hopefully it can be completed and we need to find around these natuna enthusiasts," concluded Tutuka.

The government is pushing for the acceleration of the development of the East Natuna Block in the Riau Islands, which has stalled for more than 45 years, considering that currently Indonesia's oil and gas development is chasing against time, prior to its renewable energy period.

Just so you know, the East Natuna Block was discovered in 1973 and has yet to be developed. The East Natuna block stores a potential trillion cubic feet (Tcf) with a recoverable gas potential of 46 Tcf. The main obstacle to developing this block is the CO2 level which reaches 72 percent.

This block was originally managed by ExxonMobil and got its management rights in 1980. However, due to no progress, in 2007 the contract was terminated. A year later, namely 2008, East Natuna was handed over its management to PT Pertamina. Furthermore, ExxonMobil, Total and Petronas, joined. Petronas' position was later replaced by PTT Exploration and Production (PTT EP) in 2012. Unfortunately in 2017 this consortium disbanded on the grounds of not being economical and leaving PT Pertamina.