Pertamina to take control of Mahakam once contract expires
Total and Inpex currently have a production sharing contract which will expire in 2017
Indonesia’s national oil company (NOC) Pertamina will officially take control of Mahakam, the country’s biggest oil and gas block, when French major Total and Japan’s Inpex see their production sharing contract (PSC) expire at the end of 2017. Energy minister Sudirman Said officially announced that Pertamina and local governments would have a 70% stake in the new contract, which will take effect in January 2018. Total and Inpex will have the remaining 30%. The division of the 30% interest between Total and Inpex is still being discussed, he added. The appointment of the NOC as the operator of Mahakam illustrates Indonesia’s aspiration to take a firmer grip on the nation’s natural resources
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