The Ministry of Energy and Mineral Resources (ESDM) is optimistic of continued improvement in the performance of the oil and gas subsector next year as the national economy starts to recover.

“We are optimistic that oil and gas business activities would continue to improve and thus targeting oil and gas investment in 2022 to reach US$22.59 billion,” Secretary of the Directorate General of Oil and Gas at the Ministry of Energy and Mineral Resources Alimuddin Baso noted in a statement quoted in Jakarta, Tuesday.

Baso remarked that the government was still evaluating the offer of oil and gas working areas for next year, with a plan to offer 12 oil and gas working areas.

In addition, the government targets the utilization of domestic gas to increase to 66 percent by 2022.

“The government will continue to strive to produce appropriate policies and monitor the implementation of these policies through closer cooperation with stakeholders,” Alimuddin affirmed.

Based on the results of a working meeting with the House of Representatives’ Commission VII, the target for lifting or channeling oil and gas next year is set at 703 Millions of Barrels of Oil Per Day (MBOPD) and natural gas at 1,036 Millions of Barrels of Oil Per Day (MBOEPD), with an average Indonesian crude oil index of 63 US dollars per barrel.

The adjustment of gas prices for certain industries and electricity by providing price affordability to consumers is being continuously monitored in a bid to provide a better multiplier effect for the national economic growth.

The development of oil and gas infrastructure will also be continued through the target of building 40 thousand house connections by 2022.

Meanwhile, the distribution of converter kits for fishermen is targeted at 30 thousand packages and converter kits for farmers at 30 thousand packages.

In addition, construction of the Semarang – Batang Transmission Pipeline, as part of the Cirebon – Semarang section, will be started next year.

Source: Antara News