Indonesia is throwing open its door for increased investment in its oil and gas sector and will auction 68 unexplored offshore basins next year, according to His Excellency Arifin Tasrif, Indonesia’s Minister for Energy and Mineral Resources.
Speaking at the Abu Dhabi International Petroleum Exhibition and Conference (ADIPEC) 2020 Virtual Strategic Conference – the world’s largest online gathering of energy industry leaders – Tasrif delivered a bullish outlook for Indonesia’s oil and gas investment potential.
“Indonesia is open for business from upstream exploration to processing and training in downstream,” he said
Tasrifadded that although Indonesia’s reserves of 3.77 billion barrels of crude oil and 77 trillion cubic feet (tcf) of natural gas were “not significant compared to world reserves,” the country would auction off 68 offshore basins next year, the latest initiative in a programme of industry incentives designed to deliver legal certainty and improve investment.
Those incentives include greater flexibility for oil and gas companies in production sharing contracts, offering fiscal and non-fiscal benefits, simplifying licensing processes and strengthening data and studies with international institutions.
Defining gas and renewables as the future of green energy, Tasrif said Indonesia has set targets for gas to represent 24% of its energy mix by 2050, accelerating infrastructure development by completingmasterplans for six refineries.
“This will increase crude oil processing capacity from 1 million barrels per day to 1.9 million barrels per day,” he said, adding Indonesia would also expand its gas pipeline infrastructure to meet both domestic and power plant demand and supply remote islands in the east of the country.
Organised by dmg events,ADIPEC Virtual 2020 completes its four-day virtual run on November 12, having brought together 20 ministers, 70 CEOs, and 700 global industry leaders to assess the sector’s collective measures to achieve business resilience post-COVID.
ADIPEC Virtual 2020 – the online version of the world’s largest annual oil & gas exhibition and associated conferences – is being held under the patronage of UAE President HH Sheikh Khalifa Bin Zayed Al Nahyan. The event is hosted by ADNOC.
The full annual ADIPEC exhibition and conferences will resume physically from November 8 to 11, 2021 at the Abu Dhabi National Exhibition Centre (ADNEC).