Husky-CNOOC Madura Limited Reject the Commission Decision

Husky-CNOOC Madura Limited Reject the Commission Decision

    Husky CNOOC Madura Limited (HCML) reject the entire contents of the Business Competition Supervisory Commission's decision (KPPID were fined Rp 12.8 billion. The company is charged with conspiracy tender procurement of jack-up drilling rigs COSL services by PT Indo. HCML confirmed that all charges KPPU is incorrect because it ignores the evidence that has been shown by HCML during the trial.

    In the bidding process has been conducted in accordance with the Working Procedures Directive (PTK 007) applies, PT COSL Indo provide the lowest prices compared to other bidders, said Senior Manager of Legal, HR and Business Support HCML, Wahyudin Sunarya. Wahyudin explained, when world oil prices are down sharply since the end of 2014 and reached its peak in 2015, oil companies around the world need to improve efficiency in order to continue exploration and exploitation activities.

    In the context of Good Corporate Governance (GCG) and efficiency that, HCML working in the direction and control of SKK Migas seeks to get the most competitive prices in the procurement of jack-up drilling rig service. Madura Strait Block, produced by HCML today, has begun cultivated over 30 years ago, and will be in production in 2017. HCML required to be immediately productive in spite of the world oil and gas prices tend to fall.

    For our competitive pricing into something important. Moreover, any expenses will also be borne by the state through cost recovery, so that businesses HCML get the most competitive price must also be read as a part of saving cost recovery.

IN INDONESIAN

Husky-CNOOC Madura Limited Tolak Keputusan KPPU 

    Husky CNOOC Madura Limited (HCML) menolak seluruh isi putusan Komisi Pengawas Persaingan Usaha (KPPID yang menjatuhkan denda Rp 12,8 miliar. Perusahaan ini didakwa melakukan persekongkolan tender pengadaan jasa jack-up drilling rig services dengan PT COSL Indo. HCML menegaskan bahwa seluruh tuduhan KPPU tidak benar karena mengabaikan bukti-bukti yang telah ditunjukkan oleh HCML pada masa persidangan.

    Dalam proses tender yang sudah dilakukan sesuai dengan Petunjuk Tata Kerja (PTK 007) yang berlaku, PT COSL Indo memberikan harga yang terendah dibandingkan dengan penawar lainnya, kata Senior Manager Legal, HR and Business Support HCML, Wahyudin Sunarya. Wahyudin menjelaskan, di saat harga minyak dunia yang turun drastis sejak akhir 2014 dan mencapai puncaknya pada 2015, perusahaan minyak di seluruh dunia harus melakukan efisiensi agar bisa tetap melanjutkan kegiatan ekplorasi dan eksploitasi.

    Dalam konteks Good Corporate Governance (GCG) dan efisiensi itulah, HCML yang bekerja dalam arahan dan pengendalian SKK Migas berupaya untuk mendapatkan harga paling kompetitif dalam pengadaan jack-up drilling rig service. Blok Madura Strait yang digarap oleh HCML saat ini, sudah mulai diusahakan lebih dari 30 tahun lalu, dan baru akan berproduksi pada 2017. HCML dituntut untuk bisa segera berproduksi sekalipun harga minyak dan gas dunia cenderung turun.

    Bagi kami harga kompetitif menjadi sesuatu yang penting. Terlebih setiap pengeluaran nantinya juga akan menjadi beban negara melalui cost recovery, sehingga usaha HCML mendapatkan harga yang paling kompetitif juga harus dibaca sebagai bagian dari penghematan cost recovery.

Harian Bangsa, Page-4, Saturday, Nov, 19, 2016

HCML rejects the Commission's Decision

    Husky CNOOC Madura Limited (HCML) reject the entire decision of KPPU (Business Competition Supervisory Commission) were fined Rp 12.8 billion since been charged with conspiracy tender procurement Jack-Up Drilling Rig Services with PT COSL Indo. 

    HCML also confirmed that all allegations of the Commission is not correct because it ignores the evidence that has been shown by HCML during the trial.

    In the bidding process has been conducted in accordance with the Working Procedures Directive (PTK 007) applies, PT COSL Indo provide the lowest prices compared to other bidders, "said Senior Manager of Legal, HR and Business Support HCML, Wahyudin Sunarya. 

     When world oil prices fall dramatically since the end of 2014 and reached its peak in 2015, oil companies around the world should improve efficiency in order to continue exploration and exploitation activities.

    In the context of good corporate governance (GCG) and the context of that efficiency, HCML who work in the direction and control of SKK Migas seeks to get the most competitive prices in the procurement of jack-up drilling rig service. 

    Madura Strait Block, produced by HCML is starting cultivated more than 30 years ago, and will be on stream in 2017. HCML required to be immediately productive in spite of the world oil and gas prices tend to fall.

    Therefore for our competitive pricing to be important especially every expenses will also be borne by the state through cost recovery so businesses HCML get the most competitive price must also be read as a part of saving cost recovery. 

     The Commission stated that the reported I, HCML and reported II, PT COSL Indo proven legally and convincingly violating Article 22 of Law No. 5 of 1999 concerning Prohibition of Monopolistic Practices and Unfair Business Competition. HCML in responses and conclusions expressed are not affiliated with PT COSL Indo, and denies all allegations of violations submitted by the Commission.

IN INDONESIAN

HCML Tolak Putusan KPPU

    Husky CNOOC Madura Limited (HCML) menolak seluruh isi putusan KPPU (Komisi Pengawas Persaingan Usaha) yang menjatuhkan denda Rp 12,8 miliar karena didakwa melakukan persekongkolan tender pengadaan jasa Jack-Up Drilling Rig Services dengan PT COSL Indo. HCML juga menegaskan bahwa seluruh tuduhan KPPU adalah tidak benar karena mengabaikan bukti-bukti yang telah ditunjukkan oleh HCML pada masa persidangan.

    Dalam proses tender yang sudah dilakukan sesuai dengan Petunjuk Tata Kerja (PTK 007) yang berlaku, PT COSL Indo memberikan harga yang terendah dibandingkan dengan penawar lainnya,” kata Senior Manager Legal, HR and Business Support HCML, Wahyudin Sunarya. 

    Saat harga minyak dunia yang turun drastis sejak akhir 2014 dan mencapai puncaknya di tahun 2015, perusahaan minyak di seluruh dunia haruslah melakukan efisiensi agar bisa tetap melanjutkan kegiatan ekplorasi dan eksploitasi.

    Dalam konteks GCG (Good Corporate Governance) dan konteks efisiensi itulah, HCML yang berkerja dalam arahan dan pengendalian SKK Migas berupaya untuk mendapatkan harga paling kompetitif dalam pengadaan jack-up drilling rig service. 

    Blok Madura Strait yang digarap oleh HCML saat ini sudah mulai diusahakan lebih dari 30 tahun silam, dan baru akan berproduksi tahun 2017 mendatang. HCML dituntut untuk bisa segera berproduksi sekalipun harga minyak dan gas dunia cenderung turun.

    Karenanya bagi kami harga kompetitif menjadi sesuatu yang penting terlebih setiap pengeluaran nantinya juga akan menjadi beban negara melalui cost recovery sehingga usaha HCML mendapatkan harga yang paling kompetitif juga harus dibaca sebagai bagian dari penghematan cost recovery. 

     KPPU menyatakan bahwa terlapor I, HCML dan terlapor II, PT COSL Indo terbukti secara sah dan meyakinkan melanggar Pasal 22 Undang-Undang Nomor 5 Tahun 1999 tentang Larangan Praktek Monopoli dan Persaingan Usaha Tidak Sehat. HCML dalam tanggapan dan kesimpulannya menyatakan tidak terafiliasi dengan PT COSL Indo, dan membantah semua dugaan pelanggaran yang disampaikan oleh KPPU.

Duta Masyarakat, Page-16, Saturday, Nov-19-2016

Bahan Baku Impor Akan Dikurangi

    PT Pertamina menyatakan sebanyak 30% dari bahan baku kilang RU VI Balongan lndramayu merupakan minyak yang impor dari Angola, Afrika dan 70% dari Indonesia. Porsi impor akan dikurangi pada 2025. Head of Communication and Relations PT Pertamina Refinery Unit atau RU VI Balongan Rustam Aji menerangkan, bahan baku yang diolah di Kilang RU VI Balongan adalah minyak mentah dari Duri dan Minas yang berasal dari Riau. Sisanya sekitar 30 % diimpor dari Angola Afrika.

    Saat ini masih impor, karena konsumsi BBM di Indonesia mencapai 1,5 juta barel per hari, sedangkan kilang di Indonesia hanya mampu produksi 1 juta barel per hari. Pemerintah pusat menargetkan pada 2025 tidak ada impor minyak dari Afrika dan produksi BBM bakal memenuhi kebutuhan dalam negeri seiring pembangunan kilang baru di Cilacap. Rustam mengatakan Balongan bisa menjadi kilang minyak terkemuka di Asia pada 2025. Kendati bukan kilang terbesar yang dimiliki Pertamina, dia mengklaim menjadi kilang yang paling modern.

    Dari kilang ini menghasilkan energi yang ramah lingkungan. Dia menyatakan keberadaan RU VI Balongan sangat strategis bagi bisnis Pertamina maupun bagi kepentingan nasional. Sebagai kilang yang relatif baru dan telah menerapkan teknologi terkini, Pertamina RU VI diklaim mempunyai nilai ekonomis yang tinggi. Dengan produk-produk, seperti Premium, Pertamax, Pertamax Plus, Pertamax Turbo, Solar, Pertamina DEX, Kerosene (Minyak Tanah), LPG, Propylene. Kilang Balongan merupakan salah satu dari enam kilang minyak yang dimiliki oleh Pertamina.

    Lima yang lain yaitu Kilang Dumai, Plaju, Cilacap, Balikpapan, dan Kilang Kasim yang berada di Sorong, Papua. Kapasitas produksi kilang yang diresmikan pada 1995 ini mencapai 125.000 barel per hari (bph). Tugas dan kilang ini, adalah mengolah minyak mentah menjadi berbagai macam produk BBM dan BBK. Dengan kapasitas produksi tersebut, Kilang Balongan bertugas menjaga pasokan BBM dan BBK wilayah ring satu Indonesia yaitu Jakarta, Banten, dan Jawa Barat. 

    PT Pertamina meluncurkan perdana produk bahan bakar khusus dengan Research Octane Number (RON) 98, Pertamax Turbo, pada 11 Agustus lalu. Vice President Corporate Communication PT Pertamina Wianda Pusponegoro mengemukakan, Pertamax Turbo mendapat pengakuan dari produsen super car Italia, Automobili Lamborghini S.p.A. dan digunakan dalam Lamborghini Blancpain Super tTofeo Series, di Sirkuit Spa-Francorchamps, Belgia. Pertamax Turbo dijual tidak hanya di Indonesia tapi juga di Eropa.

    Lamborghini sudah menggunakan Pertamax Turbo. Dia menuturkan, selain digunakan Lamborgini di sirkuit Spa-Francorchamps, Pertamax Turbo juga digunakan dalam seri balapan di Sirkuit Silverstone, Inggris, dan Sirkuit Paul Richard, Prancis. Pertamina menggandeng Centro Petroli Roma (CPR) sebagai mitra Lamborghini untuk mendistribusikan Pertamax Turbo ke sirkuit-Sirkuit di seluruh Eropa. Wianda menjelaskan, nama Pertamax Turbo dipilih agar pelanggan mudah memahami kelebihan bahan bakar terbaru tersebut.

    Wianda menyebutkan, Pertamax Turbo akan menggantikan posisi Pertamax Plus apabila preferensi konsumen pada akhirnya lebih memilih Pertamax Turbo. Karena spesifikasinya memang berbeda signifikan dengan Pertamax Plus terutama dari sisi RON.

IN ENGLISH

Raw Materials Imports Will Less

    PT Pertamina said as many as 30% of the raw materials RU VI Balongan lndramayu refinery is oil imports from Angola, Africa and 70% from Indonesia. The share of imports will be reduced in 2025. The Head of Communication and Relations PT Pertamina Refinery Unit or RU VI Balongan Rustam Aji explained, the raw materials are processed in RU VI Balongan refinery is crude oil from Duri and Minas derived from Riau. The remaining 30% is imported from Angola Africa.

    While this is still imported, because the fuel consumption in Indonesia reached 1.5 million barrels per day, while the Indonesian refineries can only produce 1 million barrels per day. The central government is targeting in 2025, there are no imports of oil from Africa and oil production will meet the domestic demand as the construction of a new refinery in Cilacap. Rustam said Balongan could become a leading oil refiner in Asia in 2025. Although not the biggest refineries owned by Pertamina, he claims to be the most modern refinery.
   
    From the refinery to produce environmentally friendly energy. He stated the existence of RU VI Balongan Pertamina is very strategic for businesses and for the national interest. As a relatively new plant and has implemented the latest technology, Pertamina RU VI claimed to have a high economic value. With products, such as Premium, Pertamax, Pertamax Plus, Pertamax Turbo, Solar, Pertamina DEX, Kerosene (Kerosene), LPG, Propylene. Balongan refinery is one of the six oil refineries owned by Pertamina.

    Five others are Dumai refinery, Plaju, Cilacap, Balikpapan, and Kasim Refinery located in Sorong, Papua. The production capacity of the refinery which was inaugurated in 1995 it reached 125,000 barrels per day (bpd). The task and the refinery, is to process crude oil into various petroleum products and BBK. With a production capacity of the Balongan refinery in charge of maintaining the supply of fuel and BBK ring one region Indonesia, namely Jakarta, Banten and West Java.

    PT Pertamina launched a dedicated fuel inaugural product by Research Octane Number (RON) 98, Pertamax Turbo, on August 11 last. Vice President Corporate Communications PT Pertamina Wianda Pusponegoro argued, PERTAMAX Turbo received recognition from the Italian super car manufacturer, Automobili Lamborghini S.p.A. and used in the Lamborghini Blancpain Super tTofeo Series, at the Circuit de Spa-Francorchamps, Belgium. Pertamax Turbo sold not only in Indonesia but also in Europe.

    Lamborghini already use Pertamax Turbo. He said that, apart from being used Lamborgini in Spa-Francorchamps circuit, PERTAMAX Turbo is also used in the series race at Silverstone Circuit, UK, and Circuit Paul Richard, France. Pertamina took Centro Petroli Roma (CPR) as a partner to distribute PERTAMAX Turbo Lamborghini to the circuit-circuits across Europe. Wianda explained PERTAMAX name Turbo been so customers easily understand the advantages of the latest fuel.

    Wianda mention, Pertamax Turbo will replace Pertamax Plus if consumer preferences in the end prefer PERTAMAX Turbo. Because the specification does differ significantly from the Pertamax Plus especially in terms of RON

Bisnis Indonesia, Page-11, Saturday, Nov-19-2016

HCML pursues production in Semester II 2017

    As a form of support for the government's efforts to prioritize domestic gas supplies, Husky - CNOOC Madura Limited (HCML) held an “FPSO Sail Away” event at Keppel Shipyard, Singapore.

    The ceremony was attended by the Director-General of Oil and Gas, IGN Wiratmaja Puja, and his staff, Head of SKK Migas Operations Support Division, Nurwahidi, Senior Manager Development HCML, Jonny Pasaribu, and his staff, VP Finance & Economic CNOOC SES Ltd., Wang Yaohui.

    Also present were Representative of Husky Oil Madura Partnership, Kevin S. Moore, and Representative of SMS Development Limited, Adriansyah Chaniago, as well as HCML buyers representatives. The ceremony in the form of pressing this button is a symbol of the sailing of the FPSO (floating production, storage and offloading) ship.

    The FPSO, which is named "Karapan Armada Sterling III", will be located at BD gas field, Madura Strait. Directorate General of Oil and Gas, IGN Wiratmaia Puja said in his speech that we should be proud because almost 90% of the workers at FPSO Karapan Armada Sterling III are Indonesian citizens. 

    Meanwhile, Head of the Operational Support Division of SKK Migas, Nurwahidi, explained that this ceremony was a quick step to develop and utilize oil and gas sources in Indonesian soil.

    This event also plays an important role in maintaining the values ​​of relationship and cooperation in supporting the business of developing Indonesia's natural resources. The FPSO Karapan Fleet Sterling III will play a very important role for the BD gas field. 

    We place this FPSO change on a high priority scale because it is not only to support efforts to increase national oil production, but also to create jobs, support the regional economy and political stability, and support the Government in reducing the number of oil subsidies that burden the budget.

    The entire FPSO construction project took about 21 months, starting from detailed engineering to offshore placement.

    This FPSO ship has also completed all necessary tests and operational trials with very satisfying results, and the ship was declared fit by a surveyor of the American Bureau of Shipping based in Singapore.

    We hope that the sail away stage until the offshore placement can be completed according to the planned target, said Senior Manager of Legal, HR & Business Support HCML, Wahyudin Sunzuya.

    HCML, which is the operator of the Madura Strait Block working area where its activities are under the supervision and control of SKK Migas, continues to strive to be able to meet the first gas and oil production target from the BD field in the second quarter of 2017. 

    BD Field as part of the Madura Strait Block is located off the coast of the Madura Strait, East Java, 65 kilometers east of Surabaya, and 16 kilometers south of the island of Madura.

    Madura-BD gas wells are precisely located around the Mandangin archipelago area, off the coast of the Madura Strait. This development field is an old field and is expected to produce 442 BCF (Billion Cubic Feet) of Natural Gas and 18.7 MMBL Kondesate for 13 years. 

    The first production is expected in the second quarter of 2017. We are working hard to achieve that target, said Wahyudin. Initial production will produce 100 million cubic feet of gas per day and 6,000 barrels per day of condensate.

    The BD gas Field Development Project is the first HCML field that has been approved by the Plan of Development (POD) by SKK Migas. BD Field production results will be distributed to buyers, namely PT Perusahaan Gas Negara (PGN), PT Inti Alasindo Energi, and PT Parna Raya.

Surabaya Pagi, Page-10, Friday, Nov18, 2016

Aturan Harga Gas Terbit Pekan Depan

    Pemerintah memerhatikan kompetisi pasar, terutama dibandingkan negara di Asia Tenggara. Menteri Energi dan Sumber Daya Mineral (ESDM) Ignasius Jonan memastikan tiga sektor industri yaitu petrokimia, pupuk, dan baja akan mendapatkan penurunan harga gas di bawah enam dolar AS per MMBTU. Rencananya, peraturan menteri yang memayungi berjalannya penurunan harga gas industri ini akan diterbitkan pekan depan.

    Jonan mengatakan, peraturan menteri sedang disiapkan untuk mendukung penurunan harga gas untuk tiga sektor industri tersebut, dan berlaku sepenuhnya pada 1 Januari 2017. Jonan menambahkan, belum ada pembahasan lebih lanjut untuk sektor industri lainnya, sehingga belum ada penurunan harga gas, selain tiga sektor yang telah disepakati. Ketetapan harga gas untuk tiga sektor industri ini menjadi tahap awal, sebelum nantinya menyasar tujuh sektor seperti yang tertuang dalam Peraturan Presiden (Perpres) nomor 40 tahun 2016 tentang Penurunan Harga Gas.

    Ketiga industri yang telah disepakati akan mulai merasakan harga gas murah pada 1 Januari 2017 mendatang. Jonan mengaku, pembahasan sektor industri lainnya akan menyusul setelah pembahasan untuk tiga sektor ini rampung. Wakil Menteri ESDM Arcandra Tahar mengatakan, bersamaan dengan penerbitan peraturan menteri tentang harga gas yang mengatur tiga sektor industri, nantinya akan dijabarkan pula strategi pemerintah agar aturan ini berjalan di lapangan.

    Pemerintah, menurut Arcandra, akan memastikan kebijakan ini berjalan dengan baik dan berimbas positif bagi industri. Menteri Koordinator Bidang Perekonomian Darmin Nasution menyebutkan, pemerintah akan terus mencari harga yang sesuai untuk kebutuhan industri. Pemerintah tetap memerhatikan kompetisi pasar yang ada, terutama bila dibanding dengan negara-negara lain di Asia Tenggara.

    Direktur Jenderal Industri Logam, Mesin, Alat Transportasi dan Elektronika Kementerian Perindustrian, I Gusti Putu Suryawirawan menambahkan, nantinya ada formula khusus untuk menentukan harga gas industri. Formula dengan koefisien ini sedang dirumuskan oleh tim kecil agar semua pihak tidak ada yang dirugikan dengan penyesuaian harga gas terbaru untuk sektor industri ini.

IN ENGLISH

Gas Prices Rising Rule Next Week
    The government watched market competition, especially compared to countries in Southeast Asia. Minister of Energy and Mineral Resources (ESDM) Ignatius Jonan ensure three industry sectors of petrochemicals, fertilizers, and steel will get a price reduction of gas under six dollars per MMBTU. The plan, an overarching ministerial regulation goes decline in industrial gas prices will be published next week.

    Jonan said that the ministerial decree is being prepared to support the decline in gas prices for the three sectors of the industry, and in full effect on 1 January 2017. Jonan added, there has been no further discussion for other industry sectors, so there has been no decline in the price of gas, in addition to the three sectors agreed. Decree of the price of gas to three industrial sectors have become the early stages, before it is targeting seven sectors as stipulated in Presidential Decree (Decree) Number 40 of 2016 on Gas Price Decline.

    The three categories that have been agreed will begin to feel the cost of gas prices on 1 January 2017. Jonan admitted, discussion of other industrial sectors will follow after the discussion for the three sectors is completed. Deputy Minister Arcandra Tahar said, simultaneously with the issuance of ministerial regulations governing gas prices three industrial sectors, will be spelled out strategy will be the government that this rule runs in the field.

    The government, according to Arcandra, will ensure this policy is going well and the positive impact for the industry. Coordinating Minister for Economic Affairs Nasution said the government will continue to seek an appropriate price for industrial needs. Government keep watching the market competition that exists, especially when compared with other countries in Southeast Asia.

    Director General of Metal, Machinery, Transportation Equipment and Electronics Industry Ministry, I Gusti Putu Suryawirawan added, later there was a specific formula to determine the price of industrial gases. Formula with coefficients being formulated by a small team that all parties no one harmed by the latest gas price adjustment for this industry sector.

Republika, Page-13, Friday, Nov,18-2016

Gas lndustri Ditetapkan pada Pekan Depan.

    Pemerintah akan rnemutuskan harga gas untuk industri pada pekan depan. Menteri Energi dan Sumber Daya Mineral Ignasius Jonan mengatakan regulasi mengenai hal itu akan dituangkan dalam bentuk peraturan menteri. Persoalan gas industri dibicarakan kembali dalam rapat koordinasi di tingkat Kementerian Koordinator Bidang Ekonomi. Menurut Jonan, Rapat koordinasi membahas rencana penurunan harga gas untuk tiga sektor industri, yakni petrokirnia, pupuk, dan baja. Minggu depan di finalisasi.

    Tidak ada peraturan pemerintah, pakai peraturan menteri saja. Jonan menjelaskan Peraturan Menteri akan mengatur harga gas di tiga sektor untuk menekan harga. Sebelumnya, Menteri Koordinator Kemaritiman Luhut Binsar Pandjaitan menyebutkan sejumlah strategi yang akan digunakan untuk menekan harga gas industri. Hal itu diperoleh setelah membandingkan dengan harga di sejumlah negara tetangga, seperti Malaysia dan Thailand. Luhut menjelaskan, kementeriannya akan mengurai struktur biaya di hulu gas terlebih dulu.

    Diperkirakan, dari situ bisa diketahui bagian mana yang bisa dikurangi. Menurut dia, salah satu yang bisa dilakukan untuk menekan harga gas di hulu adalah melalui cost recovery. Industri tersebut terlebih dulu. Sedangkan sektor lain belum diputuskan, Jonan belum bisa memastikan berapa harga gas bagi ketiga sektor itu. Ia hanya mengatakan maksimum sebesar US$ 6 per juta British thermal unit (MMBTU), sesuai dengan permintaan Presiden Joko Widodo. Selama, ini, harga gas untuk industri dinilai terlalu mahal, yakni US$ 9-12 per MMBTU.

    Menurut Wakil Menteri Energi Arcandra Tahar, soal harga memang belum disepakati. Dia meyakinkan bahwa semua pihak telah berusaha maksimal Strategi kedua, menurunkan bagian pemerintah pada kontrak bagi basil dan pajak, seperti PNBP (penerimaan negara bukan pajak). Luhut mencontohkan Malaysia yang memiliki harga gas industri lebih murah. Kenapa lebih murah? Karena bagian pemerintah di hulu tidak ambil. Ketiga, mengefisienkan biaya transmisi, seperti toll fee dan regasifikasi. Keempat, meningkatkan efisiensi biaya distribusi, antara lain menghilangkan trader gas yang tidak memiliki infrastruktur. Ke depan, Luhut tidak ingin ada pemilik pipa yang tak mempunyai pasokan gas.

IN ENGLISH

Gas Industries Defined in next week.

    The government will rnemutuskan gas prices for industry in the next week. Minister of Energy and Mineral Resources Ignatius Jonan said regulations concerning it will be manifested in the form of a ministerial regulation. Industrial gas issues discussed again at a coordination meeting at the Coordinating Ministry of Economic Affairs. According Jonan, coordination meeting to discuss gas price reduction plan for the three industrial sectors, namely petrokirnia, fertilizers, and steel. Next week in finalization.

    There are no government regulations, ministerial regulations use only. Jonan explained Regulation will regulate the price of gas in the three sectors to suppress the price. Earlier, Coordinating Minister maritime Luhut Binsar Pandjaitan mention a number of strategies that will be used to suppress the price of industrial gases. It was obtained after comparing the prices in neighboring countries, such as Malaysia and Thailand. Luhut explained that his ministry would parse the cost structure in upstream gas first.

    It is estimated that, from there it can be known which parts can be reduced. According to him, one that can be done to reduce the price of gas in the upstream is through cost recovery. The industry first. While other sectors have not been decided, Jonan not sure how much the price of gas for the three sectors. He only said that a maximum of US $ 6 per million British thermal unit (MMBTU), in accordance with the request of the President Joko Widodo. During, this, gas prices for industry were too expensive, at US $ 9-12 per MMBTU.

    According to Deputy Minister of Energy Arcandra Tahar, the issue price is yet to be agreed. He assured that all sides have tried the maximum second strategy, lowering the government's share in the contract for the basil and taxes, such as non-tax revenues (non-tax revenue). Luhut exemplifies Malaysia which has a price cheaper gas industry. Why cheaper? Because parts of the government in upstream does not take. Third, minimize the cost of transmission, such as the toll fee and regasification. Fourth, improve the efficiency of distribution costs, among other things eliminating gas trader who does not have the infrastructure. Looking ahead, Luhut not want any pipeline owners who do not have a gas supply.

Koran Tempo, Page-18, Friday, Nov,18-2016

Medcol Akuisisi Dua Anak Usaha ConocoPhillips

    PT Medco Energi Intemasional (MEDC) merampungkan akuisisi dua anak usaha ConocoPhillips, yakni ConocoPhillips Indonesia Inc Ltd (CHL) dan ConocoPhillips Singapore Operations Pte Ltd (CSOP). Kepala Eksekutif MEDC, Roberto Lorato mengatakan Prioritas kami adalah mempertahankan keamanan operasi dan keberlangsungan usaha. CHL adalah operator lapangan South Natuna Sea Block B dengan hak partisipasi sebesar 40 persen serta mengoperasikan West Natuna Transportation System (WNTS).

    Adapun CSOP mengoperasikan Onshore Receiving Facility (ORF) di Singapura. Lorato mengatakan, infrastruktur WNTS beserta jaringan pipa gas Malaysia akan terus memegang peran penting dalam komersialisasi temuan minyak dan gas hasil eksplorasi dan eksploitasi di Natuna. Direktur Utama Medco Energi, Hilmi Panigoro, mengatakan akuisisi CHL dan CSOP merupakan tonggak terpenting kedua bagi MEDC setelah pengambilan saham PT Newmont Nusa Tenggara.

    Dengan menguasai hak partisipasi di Blok B Natuna, MEDC akan mendapat kemampuan operasi minyak dan gas lepas pantai kelas dunia. Sebelumnya, MEDC mengumumkan akuisisi saham Kris Energy di Blok A, Aceh, sebesar 26,6 persen. Aksi korporasi ini merupakan langkah lanjutan untuk menguasai 85 persen saham di Blok A. Awalnya, Medco hanya memiliki 41,6 persen kepemilikan di wilayah kerja ini. Kemudian perusahaan ini mencaplok saham Japex pada Mei lalu sebesar 16,67 persen, sehingga kepemilikannya di Blok A mencapai 58,34 persen.

    Analis Indosurya Securities, William Surya Wijaya, mengatakan akuisisi seharusnya bisa menyehatkan kinerja perusahaan untuk jangka panjang. Ekspansi perusahaan, menurut dia, jamak terjadi, khususnya di sektor ekstraktif. Mereka perlu menjaga kondisi perusahaan supaya stabil.

IN ENGLISH

Medco Acquisition of Two Subsidiaries ConocoPhillips

    PT Medco Energi Internasional (MEDC) completed the acquisition of two subsidiaries of ConocoPhillips, namely ConocoPhillips Indonesia Inc. Ltd. (CHL) and ConocoPhillips Singapore Operations Pte Ltd (CSop). MEDC Chief Executive Officer, said Roberto Lorato Our priority is to maintain the security of operations and business continuity. CHL is the field operator South Natuna Sea Block B with a 40 percent participating interest and operates the West Natuna Transportation System (Wnts).

    The CSop operate Onshore Receiving Facility (ORF) in Singapore. Lorato said Wnts infrastructure along the gas pipelines Malaysia will continue to play an important role in the commercialization of finding oil and gas exploration and exploitation in Natuna. President Director of Medco, Hilmi Panigoro, said the acquisition of CHL and CSop an important milestone both for MEDC after taking a stake in PT Newmont Nusa Tenggara.

    By mastering the participating interest in Block B Natuna, MEDC will have the ability of oil and gas operations offshore world class. Earlier, MEDC announced the acquisition of shares Kris Energy in Block A, Aceh, amounting to 26.6 percent. This corporate action is the next step to controlling 85 percent stake in Block A. Initially, Medco has only 41.6 per cent ownership interest in this work area. Then the company was annexed Japex shares in May by 16.67 percent, so its interest in Block A reached 58.34 percent.

    Indosurya Securities analyst, William Surya Wijaya, said the acquisition should be healthy for the long term performance of the company. Expansion of the company, according to him, the plural occur, particularly in the extractive sector. They need to maintain the condition that the company is stable.

Koran Tempo, Page-15, Friday, Nov,18-2016

Govt Gives Greenlight to Private Refineries

    Private companies may now grab their own piece of the oil refinery cake as a new regulation allows them to build refineries without cooperating with state-owned oil and gas company Pertamina. Indonesia is in dire need of more oil refineries to , minimize refined fuel imports in the next decade, which are set to skyrocket in order to accommodate rising demand. At present, the country’s refineries are only capable of processing around 830,000 barrels of oil per day (bopd), a littleover half of the current refined fuel demand.

    Although Pertamina has already set the ball rolling with plans to build two new refineries and upgrade three others in the next decade, progress has been slower than expected, increasing concern that the fuel supply deficit will remain large in the coming years. To offset a possible shortfall, the Energy and Mineral Resources Ministry last Friday issued Ministerial Regulation No. 35/2016, which allows private companies to build refineries of their own as long as they use technology approved by the government and prioritize meeting domestic demand over exporting the final products.

    Based on existing regulations, private companies that decide to build oil refineries may be offered fiscal and non-fiscal incentives, including the ability to integrate petrochemical production in the refineries built. The regulation also allows companies to directly import crude for production and decide freely on the fuel they wish to produce. The ministry’s oil and gas director general, IGN Wiratmadja Puja, emphasized that the private refineries would be allowed to sell their fuel to off-takers other than Pertamina.

    BMI Research, a subsidiary of Fitch Group, expects national fuel demand to increase by an average annual rate of 2.7 percent from 1.78 million bopd to 2.28 million in 2025. However, this estimate does not take into account any proposed greenfield refineries, due to the lack of a concrete time line and the risk of delays. BMI Research also expects im-ports of refined fuels to skyrocket to 1.4 million bopd in 2025 from the current 941,000 bopd. Unlike BMI Research, however, Pertamina projects that demand will only reach 1.8 million bopd by 2030.

    To accommodate that projected increase, Pertamina is set to upgrade refineries in Cilacap in Central Java, Balikpapan in East Kalimantan, Dumai in Riau and Balongan in West Java. It will also build several new refineries, including one in Bontang, East Kalimantan, and Tuban, East Java. Even though these measures are set to increase production to 2.6 bopd, Pertamina still expects to see a small deficit of 231,000 bopd in 2030 - comprising only of gasoline if the projects complete on time.

    Wiratmaja said the ministry had not set a total capacity target for private refineries, as that would depend largely on national demand at the time. Moreover, the ministry did not set a minimum capacity for each refinery. Meanwhile, ReforMiner Institute executive director Komaidi Notonegoro applauded the new regulation, saying it would expedite refinery development and support Pertamina’s efforts to increase domestic production. Pertamina’s refinery segment is more of an obligation, because as a business it’s not that profitable, he said, adding that the private refineries could fill the production gap Pertamina projects for 2030.

IN INDONESIA

Pemerintah Memberikan Lampu Hijau untuk Kilang Swasta

    Perusahaan swasta sekarang dapat ambil bagian mereka sendiri kue kilang minyak sebagai peraturan baru memungkinkan mereka untuk membangun kilang tanpa bekerja sama dengan perusahaan minyak dan gas milik negara Pertamina. Indonesia sangat membutuhkan kilang minyak lebih, meminimalkan impor bahan bakar halus dalam dekade berikutnya, yang ditetapkan untuk meroket untuk mengakomodasi meningkatnya permintaan. Saat ini, kilang negara itu hanya mampu memproses sekitar 830.000 barel minyak per hari (bopd), sebuah Littleover setengah dari permintaan bahan bakar halus saat.

    Meskipun Pertamina telah menetapkan bola menggelinding dengan rencana untuk membangun dua kilang baru dan upgrade tiga orang lainnya pada dekade berikutnya, kemajuan telah lambat dari yang diharapkan, meningkatkan kekhawatiran bahwa defisit pasokan bahan bakar akan tetap besar di tahun-tahun mendatang. Untuk mengimbangi kekurangan mungkin, Jumat Kementerian Energi dan Sumber Daya Mineral lalu mengeluarkan Peraturan Menteri No. 35/2016, yang memungkinkan perusahaan swasta untuk membangun kilang sendiri selama mereka menggunakan teknologi yang disetujui oleh pemerintah dan memprioritaskan memenuhi permintaan domestik lebih mengekspor produk akhir.

    Berdasarkan peraturan yang ada, perusahaan swasta yang memutuskan untuk membangun kilang minyak dapat menawarkan insentif fiskal dan non-fiskal, termasuk kemampuan untuk mengintegrasikan produksi petrokimia di kilang dibangun. Peraturan ini juga memungkinkan perusahaan untuk langsung mengimpor minyak mentah untuk produksi dan memutuskan secara bebas pada bahan bakar yang mereka inginkan untuk menghasilkan. Kementerian Direktur Jenderal Minyak dan gas, IGN Wiratmadja Puja, menekankan bahwa kilang swasta akan diizinkan untuk menjual bahan bakar mereka untuk off-taker selain Pertamina.

    BMI Research, sebuah anak perusahaan dari Fitch Group, mengharapkan permintaan BBM nasional meningkat tingkat tahunan rata-rata 2,7 persen dari 1,78 juta bopd menjadi 2,28 juta pada tahun 2025. Namun, perkiraan ini tidak memperhitungkan kilang Lapangan Hijau diusulkan, karena kurangnya garis waktu beton dan risiko penundaan. BMI Penelitian juga mengharapkan impor bahan bakar melambung menjadi 1,4 juta bopd pada tahun 2025 dari saat ini 941.000 bopd. Tidak seperti BMI Research, bagaimanapun, proyek-proyek Pertamina yang menuntut hanya akan mencapai 1,8 juta bopd pada tahun 2030.

    Untuk mengakomodasi bahwa proyeksi kenaikan, Pertamina diatur untuk meng-upgrade kilang di Cilacap, Jawa Tengah, Balikpapan, Kalimantan Timur, Dumai di Riau dan Balongan di Jawa Barat. Hal ini juga akan membangun beberapa kilang baru, termasuk satu di Bontang, Kalimantan Timur, dan Tuban, Jawa Timur. Meskipun langkah-langkah ini ditetapkan untuk meningkatkan produksi menjadi 2,6 bopd, Pertamina masih mengharapkan untuk melihat defisit kecil 231.000 bopd pada tahun 2030 yang terdiri hanya dari bensin jika proyek selesai tepat waktu.

    Wiratmaja mengatakan kementerian tidak menetapkan target total kapasitas untuk kilang swasta, seperti yang akan tergantung pada permintaan nasional pada saat itu. Selain itu, kementerian tidak menetapkan kapasitas minimum untuk setiap kilang. Sementara itu, Direktur Eksekutif ReforMiner Institute Komaidi Notonegoro memuji peraturan baru, mengatakan akan mempercepat pengembangan kilang dan mendukung upaya Pertamina untuk meningkatkan produksi dalam negeri. Segmen kilang Pertamina adalah lebih dari sebuah kewajiban, karena sebagai bisnis itu tidak menguntungkan, katanya, Ia menambahkan bahwa kilang swasta bisa mengisi kesenjangan produksi proyek Pertamina untuk tahun 2030.

Jakarta Post, Page-13, Friday, Nov,13-2016

Peraturan Menteri Harga Gas Minggu Depan Dikeluarkan

    Menteri Energi dan Sumber Daya Mineral (ESDM) lgnasius Jonan memastikan tiga sektor industri yaitu petrokimia, pupuk dan baja akan mendapatkan penurunan harga gas di bawah US$ 6 per mmbtu. Jonan mengatakan, peraturan menteri sedang disiapkan untuk mendukung penurunan harga gas untuk tiga sektor industri tersebut, dan berlaku sepenuhnya pada 1 Januari 2017. Jonan menambahkan belum ada pembahasan lebih lanjut untuk sektor industri lainnya, sehingga belum ada penurunan harga gas, selain tiga sektor yang telah disepakati.

    Wakil Menteri ESDM Arcandra Tahar belum mau mengungkapkan strategi penurunan harga gas di tiga sektor industri tersebut, karena saat ini sedang dikaji lebih lanjut dalam tim kecil. Ini tetap sesuai arahan Presiden (di bawah) US$ 6 per mmbtu kita akan mencoba harga segitu. Direktur Jenderal Industri Logam, Mesin, Alat Transportasi dan Elektronika Kementerian Perindustrian I Gusti Putu Suryawirawan menambahkan nantinya ada formula khusus untuk menentukan harga gas industri.

    Formula dengan koefisien ini sedang dirumuskan oleh tim kecil agar semua pihak tidak ada yang dirugikan dengan penyesuaian harga gas terbaru untuk sektor industri ini. Ia memastikan meski harga gas untuk industri ini nantinya berfluktuasi dengan adanya formula baru, namun harganya tetap di bawah 6 per mmbtu. PGN Perluas Infrastruktur Gas PT Perusahaan Gas Negara (PGN) terus memperluas infrastruktur gas bumi di berbagai daerah, salah satunya di Bogor dan Sukabumi, Jawa Barat.

    Sales Area Head PGN Area Bogor, Elda Sutarda  mengungkapkan wilayah Sukabumi sangat potensial karena banyak sekali berdiri berbagai industri. Dia mencontohkan pabrik minuman energi, teh kemasan, susu kemasan dan banyak lagi. Selain di Sukabumi, PGN juga memperluas jaringan pipa gas bumi di wilayah Bogor, Untuk wilayah area Bogor, PGN saat ini telah menyalurkan gas bumi ke 21.948 rumah tangga, 282 pelanggan komersil seperti hotel dan restoran, dan lebih dari 250 pelanggan industri.

    Adapun pipa gas PGN di wilayah Bogor dan sekitarnya sudah mencapai lebih dari 620 kilometer. Di wilayah Bogor, PGN melayani empat area yaitu Kota Bogor, Kabupaten Bogor, Sukabumi dan Depok. Secara nasional infrastruktur pipa gas PGN mencapai lebih dari 7.267 km atau setara dengan 78 persen pipa gas bumi hilir nasional. Dari infrastruktur gas bumi tersebut, PGN memasok gas bumi ke lebih dari 119.960 pelanggan rumah tangga. Selain itu, 1.929 usaha kecil, pusat perbelanjaan, hotel, rumah sakit, restoran, hingga rumah makan, serta 1.630 industri berskala besar dan pembangkit listrik

IN ENGLISH

Regulation of the Minister of Gas Prices Next Week Launched
    Minister of Energy and Mineral Resources (ESDM) lgnasius Jonan ensure three industry sectors of petrochemicals, fertilizers and steel will get a decrease in gas prices below $ 6 per mmbtu. Jonan said that the ministerial decree is being prepared to support the decline in gas prices for the three sectors of the industry, and in full effect on 1 January 2017. Jonan adding there has been no further discussion for other industry sectors, so there has been no decline in the price of gas, in addition to the three sectors that have been agreed.

    Deputy Minister Arcandra Tahar not want to disclose the strategy drop in gas prices in the three sectors of the industry, because it is currently being studied further in a small team. It remains as directed by the President (below) of US $ 6 per mmbtu we will try to price that much. Director General of Metal, Machinery, Transportation Equipment and Electronics Industry Ministry I Gusti Putu Suryawirawan adding later there is a special formula for determining the price of gas industry.

    Formula with coefficients being formulated by a small team that all parties no one harmed by the latest gas price adjustment for this industry sector. He made sure even the price of gas to this industry will fluctuate with the new formula, but the price remains below 6 per mmbtu. PGN Expands Gas Infrastructure PT Perusahaan Gas Negara (PGN) continues to expand natural gas infrastructure in various areas, one of them in Bogor and Sukabumi, West Java.

    Sales Area Head Area PGN Bogor, Sukabumi region Elda Sutarda reveal a potential for a lot of standing various industries. He cited the plant energy drinks, tea packaging, milk packaging and much more. Besides in Sukabumi, PGN also expand natural gas pipelines in the area of ​​Bogor, Bogor area to area, PGN has distributed natural gas to 21 948 households, 282 commercial customers such as hotels and restaurants, and more than 250 industrial customers.

    The PGN gas pipeline in the area of ​​Bogor and the surrounding area has reached more than 620 kilometers. In Bogor, PGN serves four areas: the city of Bogor, Bogor, Sukabumi and Depok. Nationally PGN gas pipeline infrastructure reaching more than 7,267 km, equivalent to 78 percent of national downstream natural gas pipeline. Of the natural gas infrastructure, PGN supply natural gas to more than 119 960 household customers. In addition, 1,929 small businesses, shopping malls, hotels, hospitals, restaurants, to litle restaurants, and 1,630 large-scale industrial and power generation

Investor Daily, Page-9, Friday, Nov,18-2016

Pertamina Tambah Aset Baru di Luar Negeri

    PT Pertamina melalui anak usahanya, PT Pertamina International EP (PIEP) menambah sembilan aset baru di luar negeri hingga akhir September 2016, dibandingkan tahun 2015 hanya ada di tiga negara yaitu Aljazair, Malaysia dan Irak. Aset baru tercatat ada dua di Eropa yakni Prancis dan Italia, dua di Amerika yakni Kanada dan Kolombia serta satu di Asia yaitu di Myanmar dan aset baru Pertamina di Afrika berada di Namibia, Tanzania, Nigeria dan Gabon.

    Vice President Corporate Communication Pertamina Wianda Pusponegoro Wianda mengatakan dari tambahan aset baru itu, yang sudah produksi aset di Gabon dan Nigeria total sekitar 30 barel setara minyak per hari (BOEPD). Sisanya masih dalam tahap eksplorasi dan pengembangan. Vice President Corporate Communication Pertamina Wianda Pusponegoro Wianda mengatakan, ke depan Pertamina akan terus agresif mencari sumber-sumber minyak dan gas di berbagai negara.

    Tujuan Pertamina untuk mencapai target produksi nasional, termasuk menjaga kelangsungan pasokan minyak mentah bagi produksi BBM di Indonesia. Wianda mengatakan produksi minyak Pertamina hingga kuartal III-2016 sebesar 309 ribu barel per hari (BOPD). Sebanyak 72 persen dari kontribusi ladang migas di dalam negeri, 28 persen lagi dari luar negeri. Sedangkan produksi gas sebesar 1.953 juta kaki kubik per hari (MMSCFD), naik dibandingkan periode sama 2015 sebesar 1.728 MMSCFD.

    Sebanyak 11 persen produksi gas berasal dari ladang di luar negeri dan 89 persen dari dalam negeri. Menanggapi kian agresifnya ekspansi Pertamina ke luar negeri, pengamat ketahanan energi dan staf pengajar geo ekonomi Lembaga Pertahanan Nasional (Lemhanas) Dirgo Purbo mengatakan pada intinya melihat rencana strategis perusahaan untuk melakukan investasi di luar negeri sangat baik dan tepat.

    Langkah ini merupakan jawaban Indonesia sebagai negara pengimpor minyak. Jadi merupakan strategi dalam menjalankan bagian dari program jaminan pasokan energi. Dan ini memang jawaban yang paling ideal dalam percaturan kompetisi untuk mendapatkan langsung ke sumber energi. Pertamina juga harus tepat sasaran dengan melihat atas dasar potensi cekungan hidrokarbon dan mengutamakan dari negara-negara yang dekat dengan Indonesia, seperti Timor Leste, Vietnam, Myanmar, dan Malaysia.

    Menurut Dirgo, investasi yang dilakukan Pertamina di Gabon dan Nigeria cukup bagus, yang jadi soal adalah investasi di Perancis dan Italia. Jadi perlu ditinjau dari sudut geopolitik dan geostrategi, negara mana saja yang perlu fokus untuk melakukan investasi.

IN ENGLISH

Pertamina Add New Assets Abroad

    PT Pertamina, through its subsidiary, PT Pertamina EP International (PIEP) add nine new assets abroad by the end of September 2016, compared to 2015 there were only three countries, namely Algeria, Malaysia and Iraq. New assets recorded two in Europe that France and Italy, two in the United States that Canada and Colombia and one in Asia, namely in Myanmar and the new assets Pertamina in Africa are in Namibia, Tanzania, Nigeria and Gabon.

    Vice President Corporate Communications Pertamina Wianda Pusponegoro Wianda said of the addition of new assets, which is already production assets in Gabon and Nigeria a total of approximately 30 barrels of oil equivalent per day (BOEPD). The rest are still in the stage of exploration and development. Vice President Corporate Communications Pertamina Wianda Pusponegoro Wianda said forward Pertamina will continue to aggressively seek sources of oil and gas in various countries.

    Interest Pertamina to reach the national production target, including maintaining the continuity of supply of crude oil for the production of fuel in Indonesia. Wianda said oil production in the third quarter 2016 amounted to 309 thousand barrels per day (BOPD). As many as 72 percent of the contribution of oil and gas fields in the country, 28 per cent from abroad. While gas production amounted to 1,953 million metric square cubic feet per day (MMSCFD), an increase over the same period in 2015 amounted to 1,728 MMSCFD.

    As many as 11 percent of gas production comes from fields abroad and 89 per cent of the country. In response to increasingly aggressive overseas expansion Pertamina, observers energy security and geo-economics faculty Institute of National Defense (Defense) Dirgo Purbo saying in essence see the company's strategic plan to invest overseas is good and right.

    This move is a response to Indonesia as an oil importer. So it is a strategy in the running part of the energy supply. And this is indeed the most ideal answer in the arena of competition to get straight to the source of energy. Pertamina also have to be on target with view on the basis of potential hydrocarbon basins and prioritizing of countries near Indonesia, such as Timor Leste, Vietnam, Myanmar and Malaysia.

    According Dirgo, Pertamina investments made in Gabon and Nigeria are quite nice, the matter is investing in France and Italy. So keep the terms of the geopolitics and geostrategy, which countries need to focus on investing.

Investor Daily, Page-9, Friday, Nov,18-2016