Pertamina to Offer Share of Production for Natuna D-Alpha Block

14 October 2009 (Last Updated October 14th, 2009 18:30)

The Indonesian Government told state-controlled PT Pertamina it must seek partners to develop Natuna D-Alpha gas block by offering a production split of only 40%. The government will have a production share of no less than 60%, Energy and Mineral Resources Minister Purnomo Yusgiantoro t

The Indonesian Government told state-controlled PT Pertamina it must seek partners to develop Natuna D-Alpha gas block by offering a production split of only 40%.

The government will have a production share of no less than 60%, Energy and Mineral Resources Minister Purnomo Yusgiantoro told local media.

Pertamina had previously said that it would not name a partner to develop the Natuna D-Alpha gas block before the term of condition (ToC) of the project was approved.

The government awarded the project to Pertamina after terminating the contract with ExxonMobil for failing to carry out development of the block as scheduled.

So far eight large oil companies including ExxonMobil Corp, Total SA, Chevron Corp, StatOil Hydro, Royal Dutch/Shell, China National Petroleum Corp and Petronas and Eni Spa have shown interest in the project.