Page 17 - Oil&Gas-AustralAsia-2015-Issue-2
P. 17
I NDONESIA
Indonesia’s oil and gas revenues
take a hit
By Marie RYAN
As Indonesia’s oil and gas production Research said the global collapse in oil Energy Minister Sudirman Said told
costs fail to keep pace with plunging oil prices has obviously played a major reporters in late April, in order to lower
prices the threat to limit future output role in the government’s ability to meet production costs, oil and gas firms
looms with revenues expected to drop those cuts in fuel subsidies should use more locally sourced goods
by at least one third this year. “But it is also going to undermine gov- or supporting equipment.
Indonesian energy officials said oil ernment revenue,” Mr Wood said. Budi Agustiono, deputy of finance for
companies would be urged to cut costs This may widen Indonesia’s 2015 fiscal Indonesia’s upstream regulator SKK Mi-
to limit the revenue hit. deficit to 2.4 percent of GDP against a gas is reportedly working with energy
Income from the oil and gas sector target of 1.9 percent, he added. firms to review their budgets and work
accounts for a fifth of all revenue to BMI forecast a 45 per cent drop in oil plans.
Southeast Asia’s biggest crude producer, and gas revenue this year, while energy Chevron Corp is the largest oil produc-
but as fields mature and investment lags consultancy Wood Mackenzie projected er in Indonesia followed by state-run
crude production has waned turning revenues of $35 billion, down 35 per Pertamina, other explorers include
the former OPEC member into a net cent from last year’s $53.8 billion. ExxonMobil, ConocoPhillips, BP, ENI
importer. Wood Mackenzie’s estimate is based on and CNOOC Ltd.
With a 40 per cent drop in global an oil price assumption of $60 a barrel, In response to reduced investment
oil prices since June Southeast Asia’s versus $103 previously. predictions Pertamina has scaled back
biggest economy has saved billions of Andrew Harwood, a senior upstream operations at less efficient refineries
dollars by cutting fuel subsidies, lower analyst at Wood Mackenzie, said oil such as Plaju and plans to boost fuel
oil and gas revenues would impact this production costs could fall by about 20 imports. §
market and pressure a fiscal deficit. per cent by end-2015, but that would
Andrew Wood, head of Asia risk at BMI still lag an oil price drop.
Tycoon’s investment By Marie RYAN
boosts Ramba
Recent investment by Indonesian mil- placement of 68 million shares at the PT Sejahteraraya Anugrahjaya Tbk, is
lionaire tycoon Tahir in Ramba Energy local rate of S$0.27 through Tahir. planning a rights issue to raise US$77
has seen its share price rise by 17 per “There are several blocks in Indonesia million in the second quarter, Tahir
cent in May, the tycoon told reporters that are promising. Ramba also has said.
his 14.9 per cent purchase of the com- a big room for expansion,” Tahir, the The group’s Bank Mayapada Tbk may
pany was a good entry into the oil and founder of Indonesian conglomerate also go for a rights issue in September
gas market. Mayapada Group, told Reuters by to raise 650 billion rupiah, he added. §
Ramba Energy holds oil and gas assets phone. “It’s a good entry to start in the
on the Indonesian islands of Java and oil and gas sector.”
Sumatra and aims to raise US$13.4 Mayapada’s hospital operator unit,
million in net proceeds from a private
www.oilandgasaustralasia.com A AMAY/JUNE 2015 OIL & GAS ustral SIA 15
Indonesia’s oil and gas revenues
take a hit
By Marie RYAN
As Indonesia’s oil and gas production Research said the global collapse in oil Energy Minister Sudirman Said told
costs fail to keep pace with plunging oil prices has obviously played a major reporters in late April, in order to lower
prices the threat to limit future output role in the government’s ability to meet production costs, oil and gas firms
looms with revenues expected to drop those cuts in fuel subsidies should use more locally sourced goods
by at least one third this year. “But it is also going to undermine gov- or supporting equipment.
Indonesian energy officials said oil ernment revenue,” Mr Wood said. Budi Agustiono, deputy of finance for
companies would be urged to cut costs This may widen Indonesia’s 2015 fiscal Indonesia’s upstream regulator SKK Mi-
to limit the revenue hit. deficit to 2.4 percent of GDP against a gas is reportedly working with energy
Income from the oil and gas sector target of 1.9 percent, he added. firms to review their budgets and work
accounts for a fifth of all revenue to BMI forecast a 45 per cent drop in oil plans.
Southeast Asia’s biggest crude producer, and gas revenue this year, while energy Chevron Corp is the largest oil produc-
but as fields mature and investment lags consultancy Wood Mackenzie projected er in Indonesia followed by state-run
crude production has waned turning revenues of $35 billion, down 35 per Pertamina, other explorers include
the former OPEC member into a net cent from last year’s $53.8 billion. ExxonMobil, ConocoPhillips, BP, ENI
importer. Wood Mackenzie’s estimate is based on and CNOOC Ltd.
With a 40 per cent drop in global an oil price assumption of $60 a barrel, In response to reduced investment
oil prices since June Southeast Asia’s versus $103 previously. predictions Pertamina has scaled back
biggest economy has saved billions of Andrew Harwood, a senior upstream operations at less efficient refineries
dollars by cutting fuel subsidies, lower analyst at Wood Mackenzie, said oil such as Plaju and plans to boost fuel
oil and gas revenues would impact this production costs could fall by about 20 imports. §
market and pressure a fiscal deficit. per cent by end-2015, but that would
Andrew Wood, head of Asia risk at BMI still lag an oil price drop.
Tycoon’s investment By Marie RYAN
boosts Ramba
Recent investment by Indonesian mil- placement of 68 million shares at the PT Sejahteraraya Anugrahjaya Tbk, is
lionaire tycoon Tahir in Ramba Energy local rate of S$0.27 through Tahir. planning a rights issue to raise US$77
has seen its share price rise by 17 per “There are several blocks in Indonesia million in the second quarter, Tahir
cent in May, the tycoon told reporters that are promising. Ramba also has said.
his 14.9 per cent purchase of the com- a big room for expansion,” Tahir, the The group’s Bank Mayapada Tbk may
pany was a good entry into the oil and founder of Indonesian conglomerate also go for a rights issue in September
gas market. Mayapada Group, told Reuters by to raise 650 billion rupiah, he added. §
Ramba Energy holds oil and gas assets phone. “It’s a good entry to start in the
on the Indonesian islands of Java and oil and gas sector.”
Sumatra and aims to raise US$13.4 Mayapada’s hospital operator unit,
million in net proceeds from a private
www.oilandgasaustralasia.com A AMAY/JUNE 2015 OIL & GAS ustral SIA 15
