Indonesia to Put 35 Oil And Gas Blocks Up for Bid

Jakarta Globe, April 05, 2010

The government will open tenders for 35 oil and gas blocks this year, mostly in eastern Indonesia, an official at the Energy Ministry announced on Monday.

About 19 working areas will be offered via regular tender, and the rest through a joint study scheme, said Edy Hermantoro, director of upstream oil and gas at the ministry. “The government will evaluate investors’ response.”

Investors shied away from last year’s tender because of uncertainty over cost recovery for projects as well as the global crisis sapping liquidity needed for bids. Only five of the 16 blocks offered by the government in December attracted successful offers. 

JG