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ConocoPhillips promises Rp 32t worth of investment to Jokowi

US oil and gas giant ConocoPhillips has promised Rp 32 trillion (US$2.5 billion) worth of investment in Indonesia within the next three to four years to President Joko “Jokowi” Widodo, a minister has said.

Energy and Mineral Resources Minister Sudirman Said explained that ConocoPhillips’ commitment was equal to the amount of Indonesia’s realized investment in the last four years.

“ConocoPhillips is committed to continuously expanding its business in Indonesia. In the last four years, the company has invested $2.5 billion and in the next three or four years, it plans to invest the same amount in the country,” Sudirman said as quoted by Antara news agency.

He discussed the results of a meeting between President Jokowi and ConocoPhillips senior officials at the Presidential Office in Jakarta on Tuesday. They included ConocoPhillips chairman and CEO Ryan Lance and ConocoPhillips Indonesia president and general manager Erec Isaacson.

Sudirman added that Conoco officials also talked about management reforms in the energy and mineral resources sector, during which they praised improved work performances in several institutions, such as the Upstream Oil and Gas Regulatory Special Task Force (SKKMigas) and the Energy and Mineral Resources Ministry’s directorate general of oil and gas.

“They [Conoco] have seen that there has been no more ‘vested interest’ and all decision-making processes are directed for the good of the public, the country and the nation,” said Sudirman.

He said Conoco continued to feel comfortable working in Indonesia, including in working with state oil and gas company PT Pertamina (Persero).

Sudirman said that the amount of Conoco’s gas production stood at around 20 percent of total national production while liquefied natural gas (LNG) production reached 24 percent and oil was around 6-7 percent.

“Thus, Conoco is an important partner of Indonesia,” he said.

Based on SKKMigas data, ConocoPhillips’ gas production is targeted to reach 1,291 billion British thermal units per day (bbtud) in 2015, comprising 956 bbtud from the Koridor Block in South Sumatra and 335 bbtud from the Natuna Block B in Riau Islands. For oil, the Conoco block is targeted to produce 20,500 barrels per day.

Conoco has a participation right of 54 percent in Corridor 45 and 40 percent in Block B.

Overall, Indonesia’s gas production is targeted to reach 6,827 bbtud and oil to total 825,000 barrels per day in 2015.

Source: www.thejakartapost.com, Tuesday 31 March 2015