Indonesia auctions three non conventional oil and gas working areas

JAKARTA ( – The Indonesian Energy and Mineral Resources Ministry has launched regular tender and direct offer for three non conventional oil and gas working areas (WKs) for 2016 period. The auction is aimed to increase exploration and production activities, hence increase Indonesia’s oil and gas reserves in the future.

Director for Upstream Oil and Gas at the Energy and Mineral Resources Tunggal said on Monday (Oct. 31) the working areas  are consisted of 1 Shale Hydrocarbon WK through regular tender scheme and 2 WK of coal bed methane (CBM) through direct offer scheme.

Unlike in previous scheme, under the current WK auction, the government requires tender participants to submit certain split scheme and the amount of signature bonus. The government does not determine the split and signature bonus.

“The government will choose the bidder who has commitment and work plan proposal, split and amount of signature bonus based on the owner estimate terms and conditions set by the government,” said Tunggal.

Followings are the details of the WKs:

  • One Shale Hydrocarbon block, namely WK MNK Batu Ampar covering 2,452 sqm in onshore East Kalimantan.
  • WK GMB (CBM) Raja covering 580.5 sqm in onshore South Sumatera;
  • WK CBM Bungamas covering 483.6 sqm in onshore South Sumatera.

The Energy and Mineral Resources Ministry has set auction timetable for regular auction as follows:

  • Obtaining bid documents: Oct  31-Feb 27, 2017
  • Clarification forum : Nov 4 2016-Feb 27 2017
  • Latest date to submit registration document : Feb 27 2017: at 14.30 Jakarta time

The timetable for direct offer scheme is as follows:

  • Obtaining boffering documents: Oct 31 2016-Dec 15 2016
  • Clarification Forum: Nov 4 2016-Dec. 15 2016
  • Last date to submit registration document: Dec. 15 2016 at 14.30 Jakarta time.

For complete information, participants can access to: (*)

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