Interesting article again the country is wanting more oil and...

Interesting article again the country is wanting more oil and gas - but the demand is low due to exporting
Interesting times ahead fr QPN if they can assist???


Ref Jarkata Globe
Oil Regulator Doubtful on Indonesia’s Oil Production Target
By Tito Summa Siahaan on 10:12 pm May 22, 2013.
Category Business, Commodities
Tags: Indonesian President Susilo Bambang Yudhoyono, Oil, SKKMigas

President Susilo Bambang Yudhoyono’s goal of increasing domestic oil production to 1 million barrels per day by next year goes well beyond the target likely to be set by the industry’s regulator.

Rudi Rubiandini, chairman of oil and gas regulator SKKMigas, said his institution planned to instead propose lifting the oil target to between 860,000 and 900,000 barrels per day.

“We don’t want [to set] any irrational budget assumptions. We want to see a match between the target and the planning,” Rudi said on Wednesday.

“Whether the lower-end and the top-end of the target will be achieved will depend entirely on when Exxon Mobil’s Cepu block in East Java starts production.”

“If the Cepu block starts on stream in October or November [next year] then the output will be 860,000 barrels per day,” he added.

Indonesia will rely for much of its oil production increase on Exxon’s Cepu block. The block is expected to produce 165,000 bpd when it commences full operation.

Rudi said that natural gas output would be unchanged next year, at around 1.24 million barrels of oil equivalent. But he noted that the natural gas output would increase in 2016 when large-scale gas projects, like the Masela block and the Indonesia Deep Water Development, commence.

He said state revenue would amount to around $30 billion, assuming the price remains unchanged.
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