OPERATIONS

Indonesia opens Natuna sea, coordinates LNG marketing

Indonesia is considering opening more oil and gas exploration areas in the Natuna Sea following talks and a tentative agreement with Vietnam over sea boundaries. Following the agreement the area could be opened later this year.

The Natuna Sea bisects the western and eastern sections of Malaysia, and includes the Block B (Belanak) concession, which is operated by ConocoPhillips and Inpex.

The Indonesia government is also planing to set up a committee to coordinate the marketing of the country's liquefied natural gas overseas, according to the Jakarta Post.

The daily quotes the Director General of Oil and Gas at the Mines and Energy Ministry, I'in Arifin Takhyan, as saying that without coordination efforts, LNG exporters could be embroiled in unhealthy competition, which in turn could cause losses to the state.

The committee will take over LNG marketing from state-owned oil and gas firm Pertamina (P.PTM), which for the past few decades has been handling the marketing of Indonesian LNG overseas, the newspaper reports.

According to the proposal, the committee will be chaired by the oil and mines minister. Members will include the director general of oil and gas, chairman of the oil and gas implementing body, and the president of Pertamina, the report says.

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