Rosneft Investment in East Java Runs As Planned

The investment of a Russian company called Rosneft Oil Company located in Tuban East Java valued at USD 10 billion, so far has been in accordance with the planning. Stages that must be passed, such as feasibility study (FS) and the preparation of basic design or engineering so far according to plan.

The assurance was conveyed by Head of Refinary and Petrochemical Joint Projects Development Department, Alexander Zubchenko and Market Expert, Vladimir Zhiryakov, during a meeting with East Java Governor Soekarwo in the Goncharova room, Hotel Intercontinental Moscow.

This meeting is a series of activities Pakde Karwo, greeting the Governor of East Java in order to promote trade, tourism, and investment (TTI) in Russia. This was explained by Head of Public Relations and Protocol Bureau, East Java Provincial Government, Benny Sampirwanto

Year 2024, said Pakde Karwo, planned operational activities are already in operation. 13 thousand jobs will be created for the young generation, especially East Java from a joint investment between PT Pertamina and this company.

The work that will be created from the inclusion of Alexander added, among them engineering and health services. For that, with Pertamina, the company will also provide training.

"We are there for the community, especially the younger generation," he said.

The joint venture with PT Pertamina is planned to build an industrial area, especially for oil storage, such as diesel and gas, and producing petrochemicals and condensates needed by Indonesia

IN INDONESIA

Investasi Rosneft di Jatim Berjalan Sesuai Rencana

Investasi perusahaan Rusia bernama Rosneft Oil Company yang berada di Tuban Jawa Timur senilai USD 10 miliar, sejauh ini sudah berjalan sesuai dengan perencanaan. Tahapan-tahapan yang harus dilalui, seperti feasibility study (FS) dan penyusunan basic design atau engineering sejauh ini sesuai rencana.

Kepastian tersebut disampaikan Head of Refinary and Petrochemical Joint Projects Development Department, Alexander Zubchenko dan Market Expert, Vladimir Zhiryakov, pada saat pertemuan dengan Gubernur Jawa Timur, Soekarwo, di ruang Goncharova, Hotel Intercontinental Moskow.

Pertemuan ini merupakan rangkaian kegiatan Pakde Karwo, sapaan Gubernur Jawa Timur dalam rangka promosi trade, tourism, and investment (TTI) di Rusia. Demikian dijelaskan Kepala Biro Humas dan Protokol, Pemerintah Provinsi Jawa Timur, Benny Sampirwanto

Tahun 2024, dikatakan Pakde Karwo, direncanakan operasional kegiatan sudah beroperasi. 13 ribu pekerjaan akan tercipta untuk para generasi muda, khususnya Jawa Timur dari investasi gabungan antara PT Pertamina dan perusahaan ini.

Pekerjaaan-pekerjaan yang akan tercipta dari inyestasi tambah Alexander, di antaranya engineering dan layanan kesehatan. Untuk itu, bersama Pertamina, perusahaannya juga akan memberikan pelatihan-pelatihan. 

"Kami ada untuk masyarakat, terutama generasi mudanya," ujarnya. 

Perusahaan joint venture dengan PT Pertamina tersebut direncanakan akan membangun kawasan industri, khususnya untuk penyimpanan minyak, seperti solar dan gas, serta memproduksi petrokimia dan kondensat yang dibutuhkan oleh Indonesia

Harian Bangsa, Page-4, Monday, August 7, 2017

Gas prices raised for power sector

A maximum cap on gas prices sold to power plants has been eased to ensure the economic feasibility of both gas and power producers. 

The Energy and Mineral Resources Ministry has issued a revision of ministerial decree No. 11/2017 on gas use for the power sector. which regulates the price cap of gas sold to   state-owned electricity firm PLN and independent power producers (IPP).

The revision raises the price cap of piped gas at the plant gate to 14.5 percent of the Indonesian Crude Price (ICP) from 11.5 percent in the previous iteration. The ministry recently announced the ICP for July as at US$45.48 per barrel, translating the maximum gas price at around US$7 per million metric British thermal units (mmbtu). 

The ICP rose from US$43.66 the previous month. Moreover, the same revision, through Ministerial Decree No. 45/2017, also puts more focus on domestic absorption of liquefied natural gas (LNG) in comparison to imported LNG. While the previous regulation stipulates that power producers can import LNG if the price of domestically piped gas is higher than theprice cap. 

However, the new regulation states that power producers can only import LNG if it is cheaper than those produced at home and delivered at the plant gate.

Analysts have considered the change as an improvement from the previous policy as it is economically unfeasible to sell transmitted gas below the ceiling. Wood Mackenzie Asia Pacific senior analyst for gas and power Edi Saputra said the previous regulation had caused several deadlocks in gas sales and purchase agreements. 

“No one was willing to sell gas at that level. They were unwilling to sign gas sales and purchase agreements because 11.5 percent made it uneconomical and unviable,” he told The Jakarta Post on Friday.

“When the price is too low, it may cause supply scarcity because no one wants to sign onto projects and electricity firms will not be able to get gas.” 

The government initially set a price ceiling in order to make gas cheaper and boost domestic consumption of gas, and make power generation more efficient to support the development of the industrial sectors.

PLN’s latest electricity procurement business plan (RUPTL) has projected that electricity procured from gas will rise to 26.6 percent by 2026.

Under the current ICP the new price ceiling is set at a maximum of around US$6.8 per mmbtu, which Edi deemed much more reasonable than the alternative of diesel, which currently costs around US$13 to $14 per mmbtu. Furthermore, the higher price of gas is unlikely to affect electricity prices sold to the public as the proportion of gas aprocured electricity is much smaller at around 25.8 percent in comparison to coal-fired power plants at 55.6 percent by the end of April. 

Low-cost power generation from coal would be able to balance any slight increases in production from gas so that electricity prices will not be impacted. Edi said that any implementation of a price cap would be unsustainable as the ICP would continue to fiuctuate depending on global oil prices. Instead, the government

Jakarta Post, Page-13, Saturday, August 5, 2017

SKK Migas Simplify the Procurement Process on Upstream Oil and Gas Industry

Special Unit for Upstream Oil and Gas Business Activities (SKK Migas) simplifies a number of procurement processes in upstream oil and gas industry. This is in accordance with the Working Procedure Guidelines No. 007 of the Second Book Revision 04 on Guidelines for the Procurement of Goods / Services (PTK007 Revision 04).

The state institution in charge of the supervision and control of upstream oil and gas industry has also enforced the Tender Guidance Manual based on the PTK 007 Revision 04.

"The new tender process at PSC Contractor since July 28, 2017 must have started implementing PTK 007 Revision 04 and this Guideline," said Deputy of Controlling Procurement of SKK Migas Djoko Siswanto, in a written statement in Jakarta (3/8).

Djoko said the drafting concept of PFK 007 Book is different from previous 007 PTK. The second book is made more concise because it only regulates the main policy in the procurement of goods / services and contract management, while details related to the conduct of tenders are regulated by the Implementation Guidance. He added that in implementing these Implementation Guidelines there is still a link to the provisions in PTK 007 Revision 04 that must be met.

Changes in PTK 007 Revision 04 and the Implementation Guide are driven by three main objectives: supporting the increase of reserves and production, improving the efficiency and speed of business processes, and growing domestic investment in order to increase the level of domestic component (TKDN).

PTK 007 Revision 04 and the Implementation Guide also follow up the program of increasing reserves and production that has been proclaimed by the government through the Ministry of Energy and Mineral Resources. This is done through the acceleration of tender bidding, support for Enhanced Oil Recovery (full scale), e-catalog development, implementation of Centralized Integrated Vendor Database (CIVD) and Approved Manufacturer Lists (AML) together in upstream oil and gas industry.

Meanwhile, Head of Procurement Management Division of Goods and Services of SKK Migas Erwin Suryadi added that acceleration of time frame of tender implementation is by setting deadline of tender implementation and contract issuance. Tender is limited to no later than 60 working days for goods and 120 working days for services. While the issuance of the contract is limited no later than 30 working days, "said Erwin.

The acceleration of the procurement process / service goods is also inseparable from the implementation of integrated data provider / goods provider for all PSC Contractors registered in the Centralized Integrated Vendor Database (CIVD) system. This CIVD process will cut the processing time for evaluation of administrative qualifications from the provider of goods / services because there is no need to repeat the administrative evaluation by the PSC Contractor.

As of July 31, 2017, the providers of goods / services that have registered in the CIVD are 7,823 providers of goods / services, and who have passed the evaluation and received 4,481 Certificates of Administration Document Submission (SPDA) of goods / service providers. It is expected that more and more providers of goods / services will pass this administrative qualification thus increasing the market data for PSC Contractors. PT K007 Rev 04 and the Implementation Manual require every provider of goods / services that will participate in the tender in the PSC Contractor shall obtain SPDA

"The efficiency targets proclaimed by the government are also strongly supported in PT K 007 Revision 04 and these Implementation Guidelines include, among others, the adoption of self-esteem price (OPS) or owner estimate (OE), encouraging e-Reverse Auction (e-RA), and An updated negotiation mechanism which is not limited to the lower limit, "said Erwin.

Another important point is that PT K 007 Revision 04 and the Implementation Manual also regulate the increasing provision of stronger domestic goods and services. In this revision it is stipulated that the use of domestic production goods becomes

"Obligations" in the upstream oil and gas business activities of the former using the term "prioritization". Greater preferences are given for the use of domestic production of ships and rigs. This regulation also strengthens the multiplier effect in the oil and gas operations because of the tender implementation with a value of up to Rp. 10 Billion can only be Followed by providers of goods / services domiciled in the provincial area of ​​operation of PSC Contractors.

At the time of oil prices that have not improved, SKK Migas tries to keep upstream oil and gas activities can still provide the greatest benefits for the national economy. Based on the data up to the end of semester 1 2017, from the total upstream oil and gas procurement amounting to US $ 3.28 billion or around Rp 44.25 trillion, TKDN commitment reached 58.9-1% or around Rp 22.95 trillion.

IN INDONESIA
SKK Migas Sederhanakan Proses Pengadaaan pada Industri Hulu Migas

Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) menyederhanakan sejumlah proses pengadaan pada industri hulu migas. Hal ini sesuai tercantum dalam Pedoman Tata Kerja Nomor 007 Buku Kedua Revisi 04 tentang Pedoman Pelaksanaan Pengadaan Barang/Jasa (PTK007 Revisi 04). 

Lembaga negara yang berwenang atas pengawasan dan pengendalian industri hulu migas ini juga telah memberlakukan Petunjuk Pelaksanaan (Juklak) Tender berdasarkan PTK 007 Revisi 04 tersebut.

“Proses tender baru di Kontraktor KKS sejak tanggal 28 Juli 2017 harus sudah mulai menerapkan PTK 007 Revisi 04 dan Petunjuk Pelaksanaan ini,” kata Deputi Pengendalian Pengadaan SKK Migas Djoko Siswanto, dalam keterangan tertulis di Jakarta (3/8).

Djoko mengatakan konsep penyusunan Buku PFK 007 saat ini berbeda dengan PTK 007 sebelumnya. Buku Kedua dibuat lebih ringkas karena hanya mengatur kebijakan utama dalam perencanaan pengadaan barang/jasa dan pengelolaan kontrak, sementara hal-hal terkait dengan detail untuk melaksanakan tender diatur dengan Petunjuk Pelaksanaan. Dia menambahkan dalam melaksanakan Petunjuk Pelaksanaan ini tetap ada tautan ketentuan dalam PTK 007 Revisi 04 yang harus dipenuhi.

Perubahan yang ada dalam PTK 007 Revisi 04 dan Petunjuk Pelaksanaan ini didorong oleh tiga tujuan utama, yaitu mendukung peningkatan cadangan dan produksi, meningkatkan efisiensi dan kecepatan proses bisnis, serta menumbuh kembangkan investasi di dalam negeri dalam rangka meningkatkan tingkat komponen dalam negeri (TKDN).

PTK 007 Revisi 04 dan Petunjuk Pelaksanaan ini juga menindaklanjuti program peningkatan cadangan dan produksi yang telah dicanangkan pemerintah melalui Kementerian ESDM. Ini dilakukan antara lain melalui percepatan tata waktu pelaksanaan tender, dukungan terhadap Enhanced Oil Recovery (full scale), pengembangan e-catalog, implementasi Centralized Integrated Vendor Database (CIVD) dan Approved Manufacturer Lists (AML) bersama di industri hulu migas.

Sementara itu Kepala Divisi Pengelolaan Pengadaan Barang dan Jasa SKK Migas Erwin Suryadi menambahkan percepatan tata waktu pelaksanaan tender diantaranya adalah dengan menetapkan batas waktu pelaksanaan tender serta penerbitan kontrak. Tender dibatasi selambat-lambatnya 60 hari kerja untuk barang dan 120 hari kerja untuk jasa. Sedangkan penerbitan kontrak dibatasi selambat-lambatnya 30 hari kerja,” ujar Erwin.

Percepatan proses pengadaan/barang jasa ini juga tidak terlepas dari implementasi data penyedia barang/ jasa yang terintegrasi untuk seluruh Kontraktor KKS yang terdaftar dalam sistem Centralized Integrated Vendor Database (CIVD). Proses CIVD ini akan memotong waktu proses untuk evaluasi kualifikasi administrasi dari penyedia barang/jasa karena tidak perlu pengulangan evaluasi administrasi oleh Kontraktor KKS.

Per tanggal 31 Juli 2017, penyedia barang/jasa yang sudah mendaftar dalam CIVD adalah sebanyak 7.823 penyedia barang/jasa, dan yang telah lulus evaluasi dan mendapat Sertifikat Pengganti Dokumen Administrasi (SPDA) sebanyak 4.481 penyedia barang/jasa. Diharapkan kedepan semakin banyak penyedia barang/jasa yang lulus kualifikasi administrasi ini sehingga menambah data pasar bagi Kontraktor KKS. PT K007 Rev 04 dan Petunjuk Pelaksanaan mensyaratkan setiap penyedia barang/jasa yang akan berpartisipasi dalam tender di Kontraktor KKS harus mendapatkan SPDA

“Target efisiensi yang dicanangkan pemerintah juga sangat didukung dalam PT K 007 Revisi 04 dan Petunjuk Pelaksanaan ini antara lain dengan penerapan harga perkiraan sendiri (HPS) atau owner estimate (OE) yang terbuka, mendorong e-Reverse Auction (e-RA), dan mekanisme negosiasi yang diperbarui dimana tidak dibatasi batas bawah.” Ujar Erwin.

Hal lain yang tidak kalah penting adalah PT K 007 Revisi 04 dan Petunjuk Pelaksanaan ini juga mengatur ketentuan peningkatan penggunaan barang dan jasa dalam negeri yang lebih kuat. Dalam revisi ini diatur bahwa penggunaan barang produksi dalam negeri menjadi 

“kewajiban” dalam kegiatan usaha hulu migas dari sebelumnya yang menggunakan istilah “mengutamakan”. Preferensi yang lebih besar diberikan bagi penggunaan kapal dan rig pengeboran produksi dalam negeri. Peraturan ini juga memperkuat multiplier effect di daerah operasi migas karena pelaksanaan tender dengan nilai sampai dengan Rp. 10 Miliar hanya dapat diikuti oleh penyedia barang/jasa yang berdomisili di provinsi daerah operasi Kontraktor KKS.

Di saat kondisi harga minyak yang belum membaik, SKK Migas berusaha agar kegiatan usaha hulu migas dapat tetap memberikan manfaat yang sebesar-besarnya bagi perekonomian nasional. Berdasarkan data sampai dengan akhir semester 1 2017, dari total pengadaan hulu migas yang mencapai US$ 3,28 miliar atau sekitar Rp 44,25 triliun, komitmen TKDN mencapai 58,9-1% atau sekitar Rp 22,95 triliun. 

Investor Daily, Page-9, Saturday, August 5, 2017

Trend of Utilization of Upstream Oil and Gas TKDN

Minister of Energy and Mineral Resources (EMR) Ignasius Jonan revealed that the implementation of Domestic Components Level (TKDN) one of the big ones is from the ESDM sector, especially in the upstream oil and gas industry. Jonan said that until June 2017 the utilization of upstream oil and gas TKDN reached 59%, the percentage is higher when compared with the same period in 2016.

"Until June 2017 it was 59%. It's up trend yes, "said Jonan.

Jonan also explained that average use of TKDN of goods and services in the upstream oil and gas sub sector in 2011 reached 61%, next year (2012) 60%, in 2013 57%, 2014 54%, 2015 increased to 68% Decline again in 2016 to 55%. The amount of TKDN in 2017 is the value of all procurement and commodity commitments through June, which reached USD 3.278 million.

To further encourage the use of TKDN in the upstream oil and gas sector, the Government of Indonesia provides an additional split for the Contractor Cooperation Contract (KKKS) with a Gross Split sharing contract.

"If in the upstream oil and gas, on the rules of gross split, we give incentives. So far, no incentives can economically encourage the use of TKDN.

If now given, splitnya added in accordance with the portion. So the use of this TKDN we push, As long as the price makes sense, "said Jonan.

The government itself already has a roadmap for TKDN upstream oil and gas. The policy on the use of domestic products in the oil and gas sector has been regulated, among others by Law no. 22 of 2001 on Oil and Gas, Government Regulation no. 35 of 2004 concerning Upstream Oil and Gas Business Activities, and Minister of Energy and Mineral Resources Regulation no. 15 of 2013 on Reference of Domestic Production Use.

IN INDONESIA

Tren Pemanfaatan TKDN Hulu Migas

Menteri Energi dan Sumber Daya Mineral (ESDM) Ignasius Jonan mengungkapkan bahwa implementasi Tingkat Komponen Dalam Negeri (TKDN) salah satu yang besar adalah dari sektor ESDM, terutama di industri hulu minyak dan gas bumi (migas). Jonan menyebutkan bahwa hingga Juni 2017 pemanfaatan TKDN hulu migas mencapai 59%, persentase tersebut lebih tinggi bila dibandingkan dengan periode yang sama di tahun 2016.

“Sampai Juni 2017 itu 59%. Ini trennya naik ya,” sebut Jonan.

Jonan pun menjelaskan rata-rata penggunaan TKDN barang dan jasa di subsektor hulu migas pada tahun 2011 mencapai 61%, tahun berikutnya (2012) 60%, di tahun 2013 57%, tahun 2014 54%, tahun 2015 naik menjadi 68%, namun mengalami penurunan kembali di 2016 menjadi 55%. Besaran TKDN tahun 2017 tersebut merupakan nilai seluruh komitmen pengadaan barang dan jasa hingga bulan Juni, yang mencapai USD 3,278 juta. 

Untuk semakin mendorong pengunaan TKDN di sektor hulu migas, Pemerintah Indonesia memberikan tambahan split bagi Kontraktor Kontrak Kerja Sama (KKKS) dengan kontrak bagi hasil Gross Split.

“Kalau di hulu migas, pada aturan gross split, kita berikan insentif. Selama ini tidak ada insentif yang secara ekonomis bisa mendorong penggunaan TKDN.

Kalau sekarang diberi, splitnya ditambah sesuai dengan porsinya. Jadi penggunaan TKDN ini kita dorong, sepanjang harganya masuk akal,” tutur Jonan.

Pemerintah sendiri telah memiliki roadmap untuk TKDN hulu migas. Kebijakan penggunaan produk dalam negeri di sektor migas telah diatur, di antaranya dengan Undang-Undang No. 22 Tahun 2001 tentang Minyak dan Gas Bumi, Peraturan Pemerintah No. 35 Tahun 2004 tentang Kegiatan Usaha Hulu Minyak dan Gas Bumi, dan Peraturan Menteri ESDM No. 15 Tahun 2013 tentang Acuan Penggunaan Produksi Dalam Negeri.

Investor Daily, Page-9, Saturday, August 5, 2017

Government Increases Grissik Field Gas Price to PGN

    The government raised the price of gas from Grissik field to PT Perusahaan Gas Negara Tbk (PGN) in Batam to 34.61% to US $ 3.5 per million British thermal unit (mmbtu). The gas price is increased so ConocoPhilips enjoys the margin.

     This price increase is as stated in the Letter of the Minister of Energy and Mineral Resources No. 5882/12 / MEM.M / 2017 on the determination of the selling price of natural gas from ConocoPhilips Grissik Ltd for sale to PT Perusahaan Gas Negara Tbk (PGN) in Batam. This letter is dated 31 July 2017 or after the Minister of Energy and Mineral Resources (ESDM) Ignatius Jonan traveled to the United States and met with ConocoPhilips officials.

      According to this letter, the price of gas to PGN for a maximum volume of 27.26 billion british thermal units per day / bbtud is fixed at US $ 2.6 per mmbtu. However, for the volume of 27.27-50 bbtud, gas prices rose 34.61% from USS 2.6 per mmbtu to USS 3.5 per mmbtu. This price is valid once it is set until the ConocoPhilips and PGN gas purchase agreement (PJBG) expires in 2019.

     However, along with this letter, the price increase experienced by PGN is not to be passed on to consumers. Precisely, this letter states that the selling price of PGN gas to PT National Electric Service Batam and Independent Power Produce (IPP) in Batam still refers to Minister of Energy and Mineral Resources Decree Number 3193 K / 12 / MEM / 2011. Similarly, the selling price to other buyers also Still refers to current prices.

    Confirmed about ConocoPhilips' gas price increase to PGN, Deputy Minister of EMR Arcandra Tahar confirmed it. He explained that this decision was taken to ensure justice for ConocoPhilips and PGN. So far, PGN said it enjoys considerable margin for purchasing gas at a price of US $ 2.6 per mmbtu and selling it in the range of US $ 5 per mmbtu to the industry.

"We see fairness, because between the price of ConocoPhilips to PGN there is a fairly wide margin, this margin which according to ConocoPhilips if possible, he also enjoys," he said in Jakarta, Friday (4/8).

    According to Arcandra, the process of reviewing gas price from ConocoPhilips to PGN has been going on for a long time. The government has considered cost and other structures, which then resulted in a decision to raise prices by US $ 0.9 per mmbtu. This does not matter as long as the selling price to the industry does not go up.

"The gas pricing letter states explicitly that PGN is not allowed to raise the selling price of natural gas to buyers after the approval of this price. The government keeps the gas price affordable for consumers, "

Explained Arcandra.

    Public Policy Observer Agus Pambagio said, related to the increase in gas prices enjoyed by ConocoPhilips, the government must ensure that the price is not fulfilled with additional costs or high amount of deposits. Moreover, with the prohibition to raise the price of gas on the downstream side, the decision was judged to be difficult for PGN as a SOE in building infrastructure.

"It must be difficult (in building infrastructure). It should not be raised gas prices upstream, "he said.

    In fact, from the beginning, the government is also the one who sets the price of gas PGN to consumers. In the official statement of the Ministry of Energy and Mineral Resources, PGN Batam gas price refers to Minister of Energy and Mineral Resources Decree No. 3191 K / 12 / MEM / 2011 on PT PGN Tbk Gas Sales Price to PT PLN Batam and IPP of PT PLN Batam.

    Detailedly, the price of gas to PLN and IPP Batam is about US $ 3.32 to 5.7 per mmbtu depending on usage and industry of US $ 5.7 per mmbtu. It also claimed to have discussed this price increase with PGN and take into account the possible impacts. It is expected that this will not be a problem given that this condition only lasts until 2019 when the contract expires.

"After that please B to B (negotiation) again [ConocoPhilips and PGN]," he added.

  PGN Corporate Secretary Rachmat Hutama said it would follow the government's policies and decisions on changes in the price of natural gas. Because the policy is related to the target of state revenues from upstream activities. Furthermore, it will mitigate this price increase by conducting nationally integrated natural gas management.

   It will also coordinate with the Ministry of SOEs as shareholders about this price change.

"We hope that with the change in the selling price of natural gas can further improve the upstream economy which in turn will stimulate exploration and production activities to increase the reserves and natural gas production in the delivery of natural gas to the Batam region for the future," he said.

IN INDONESIA

Pemerintah Naikkan Harga Gas Lapangan Grissik ke PGN

Pemerintah menaikkan harga jual gas dari Lapangan Grissik ke PT Perusahaan Gas Negara Tbk (PGN) di Batam hingga 34,61 % menjadi US$ 3,5 per juta british thermal unit (mmbtu). Harga gas dinaikkan agar ConocoPhilips turut menikmati marjin.

     Kenaikan harga ini sebagaimana tercantum dalam Surat Menteri Energi dan Sumber Daya Mineral Nomor 5882/ 12/ MEM.M/ 2017 tentang penetapan harga jual gas bumi dari ConocoPhilips Grissik Ltd untuk penjualan kepada PT Perusahaan Gas Negara Tbk (PGN) di wilayah Batam. Surat ini tertanggal 31 Juli 2017 atau setelah Menteri Energi dan Sumber Daya Mineral (ESDM) Ignasius Jonan berkunjung ke Amerika Serikat dan menemui petinggi ConocoPhilips.

Sesuai surat ini, harga gas ke PGN untuk volume maksimal 27,26 miliar british thermal unit per hari/bbtud dipatok tetap USS 2,6 per mmbtu. Namun, untuk volume 27,27-50 bbtud, harga gas naik 34,61% dari USS 2,6 per mmbtu menjadi USS 3,5 per mmbtu. Harga ini berlaku setelah ditetapkan hingga perjanjianjual beli gas (PJBG) ConocoPhilips dan PGN berakhir pada 2019.

Tetapi, bersama dengan surat ini, kenaikan harga yang dialami PGN ini tidak boleh diteruskan ke konsumen. Tepatnya, surat ini menyatakan bahwa harga jual gas bumi PGN kepada PT Pelayanan Listrik Nasional Batam dan Independent Power Produce (IPP) di Batam tetap mengacu pada Keputusan Menteri ESDM Nomor 3193 K/12/ MEM/ 2011. Demikian juga harga jual ke pembeli lain juga tetap mengacu pada harga yang berlaku saat ini.

Dikonfirmasi soal adanya kenaikan harga jual gas ConocoPhilips ke PGN ini, Wakil Menteri ESDM Arcandra Tahar membenarkannya. Dijelaskannya, keputusan ini diambil agar ada keadilan bagi ConocoPhilips dan PGN. Selama ini, PGN disebutnya menikmati marjin cukup besar karena membeli gas pada harga US$ 2,6 per mmbtu dan menjualnya di kisaran US$ 5 per mmbtu ke industri.

“Kita lihat fairness ya, karena antara harga jual ConocoPhilips ke PGN ada marjin cukup lebar, marjin ini yang menurut ConocoPhilips kalau bisa, dia juga ikut menikmati," kata dia di Jakarta, Jumat (4/8).

Menurut Arcandra, proses pengkajian harga gas dari ConocoPhilips ke PGN ini sudah berlangsung lama. Pemerintah telah mempertimbangkan struktur biaya dan lainnya, yang kemudian menghasilkan keputusan untuk menaikkan harga sebesar US$ 0,9 per mmbtu. Hal ini dikatakannya tidak jadi masalah selama harga jual ke industri tidak naik.

“Surat penetapan harga gas menyatakan secara eksplisit bahwa PGN tidak diperkenankan untuk menaikkan harga jual gas bumi kepada pembeli setelah adanya persetujuan harga ini. Pemerintah tetap menjaga harga gas yang terjangkau untuk konsumen,”

jelas Arcandra.

Pengamat Kebijakan Publik Agus Pambagio mengatakan, terkait kenaikan harga gas yang dinikmati ConocoPhilips, pemerintah harus memastikan bahwa harga tersebut tidak dipenuhi biaya-biaya tambahan atau titipan yang jumlahnya tinggi. Apalagi dengan larangan menaikkan harga gas di sisi hilir, keputusan itu dinilainya akan menyulitkan PGN sebagai BUMN dalam membangun infrastruktur.

“Pasti menyulitkan (dalam membangun infrastruktur). Harusnya tidak dinaikkan harga gas di hulu,” kata dia.

Padahal, sejak awal, pemerintah juga lah yang menetapkan harga jual gas PGN ke konsumennya. Dalam keterangan resmi Kementerian ESDM, harga gas PGN Batam mengacu Keputusan Menteri ESDM Nomor 3191 K/12/ MEM/ 2011 tentang Harga Jual Gas Bumi PT PGN Tbk kepada PT PLN Batam dan IPP Pemasok Listrik PT PLN Batam.

Rincinya, harga gas ke PLN dan IPP Batam sekitar USS 3,32-5,7 per mmbtu tergantung pemakaian dan ke industri US$ 5,7 per mmbtu. Pihaknya mengaku juga telah membahas kenaikan harga ini dengan PGN dan memperhitungkan kemungkinan-kemungkinan dampaknya. Diperkirakannya hal ini tidak akan jadi masalah mengingat kondisi ini hanya berlangsung sampai 2019 ketika kontrak berakhir.

“Setelah itu silahkan B to B (negosiasi) lagi [ConocoPhilips dan PGN ],” tambahnya. 

Seketaris Perusahaan PGN Rachmat Hutama menuturkan, pihaknya akan mengikuti kebijakan dan keputusan pemerintah tentang perubahan harga jual gas bumi tersebut. Pasalnya, kebijakan ini terkait dengan target penerimaan negara dari kegiatan hulu. Selanjutnya, pihaknya akan memitigasi kenaikan harga ini dengan melakukan pengelolaan gas bumi yang terintegrasi secara nasional.

Pihaknya juga akan berkoordinasi dengan Kementerian BUMN selaku pemegang saham soal perubahan harga ini.

“Kami berharap, dengan perubahan harga jual gas bumi ini dapat lebih meningkatkan keekonomian hulu yang pada akhirnya akan menstimulus kegiatan eksplorasi dan produksi untuk peningkatan cadangan dan produksi gas bumi dalam rangka penyaluran gas bumi ke wilayah Batam untuk kedepannya,” kata dia.

Investor Daily, Page-9, Saturday, August 5, 2017

Increase in Corridor Block Gas Price Granted

The government granted the upstream gas price increase from the Corridor Block (ConocoPhillips Grissik Limited) to PT Perusahaan Gas Negara Tbk area of ​​Batam I. Deputy Minister of Energy and Mineral Resources (EMR) Arcandra Tahar said the government's consideration to raise the price of upstream gas from Grissik Field , Corridor Block due to price adjustment proposal from operator of Block Corridor (ConocoPhillips Grissik Limited).

It also has calculated the cost structure and weigh the margin of gas distribution through pipeline owned by PT Perusahaan Gas Negara Tbk. Wide enough, so there is room for upstream gas prices to rise.

Based on these considerations, the Minister of Energy and Mineral Resources Ignatius Jonan approved the proposed price increase. Meanwhile, the process of negotiating the increase of gas selling price has been done by PGN and ConocoPhillips since 2012.

By mailing the Minister of ESDM No.5882 / 12 / MEM.M / 2017 on July 31, gas price with distribution volume up to 27.26 BBtud remained at US $ 2.6 per MMBtu. Meanwhile, the distribution of 27.27 to 50 BBtud gas prices rose from US $ 2.6 to US $ 3.5 per MMBtu.

From the ConocoPhillips proposal, the price increase is an effort to improve the economy of the field and the certainty of gas supply to PGN. In addition, rising prices were calculated from capital expenditure and operational expenditures used for well drilling, flow line development and field compressor Suban supplying gas for PGN.

"Finally, the Minister decided to raise US $ 0.9 per MMBtu," said Arcandra, Friday (4/8).

Through the approval of changes in gas selling price, in the Letter of the Minister of Energy and Mineral Resources also contains some provisions. First, the price change is the period of validity from the date of stipulation until the contract expires in 2019. Second, the selling price of PGN gas to PT Perusahaan Listrik Negara and the independent power producer (IPP) is still referring to Ministerial Decree 3191 K / 12 / MEM / 2011 On PGN Gas Sales Price to PLN Batam and IPP.

Third, the selling price of PGN gas to other buyers in the Batam area still refers to current prices. Fourthly, PGN is not allowed to raise the selling price of gas to buyers after the approval of this price.

According to him, most importantly, the change in gas selling price in the upstream level does not affect the selling price of gas to the final consumer. The selling price of PGN to PLN and IPP Batam remains within the range of approximately US $ 3.32-US $ 5.7 per MMBtu, depending on usage. Similarly, the industry still costs about US $ 5.7 per MMBtu

Based on data from the Special Unit for Upstream Oil and Gas Business (SKK Migas), gas production of Corridor Block reaches 980 million standard cubic feet per day / MMscfd from the target of 1,042 MMSCfd. Actual gas production The Corridor Block accounts for 13% of national gas production of 7,512 MMscfd.

IN INDONESIA

Kenaikan Harga Gas Blok Corridor Dikabulkan

Pemerintah mengabulkan penaikan harga gas di hulu yang berasal dari Blok Corridor (ConocoPhillips Grissik Limited) kepada PT Perusahaan Gas Negara Tbk area Batam I. Wakil Menteri Energi dan Sumber Daya Mineral (ESDM) Arcandra Tahar mengatakan pertimbangan pemerintah untuk menaikkan harga gas hulu dari Lapangan Grissik, Blok Corridor karena usulan penyesuaian harga dari operator Blok Corridor (ConocoPhillips Grissik Limited). 

Pihaknya pun telah menghitung struktur biaya dan menimbang margin penyaluran gas melalui pipa milik PT Perusahaan Gas Negara Tbk. cukup lebar, sehingga masih terdapat ruang bila harga gas hulu naik. 

Atas pertimbangan tersebut, Menteri ESDM Ignasius Jonan menyetujui usulan penaikan harga. Adapun, proses negosiasi kenaikan harga jual gas telah dilakukan PGN dan ConocoPhillips sejak 2012.

Melalui surat Menteri ESDM No.5882/12/MEM.M/2017 pada 31 Juli, harga gas dengan volume penyaluran sampai 27,26 BBtud harganya tetap di US$2,6 per MMBtu. Sementara itu, penyaluran 27,27 hingga 50 BBtud harga gasnya naik dari US$ 2,6 menjadi US$ 3,5 per MMBtu.

Dari usulan ConocoPhillips, naiknya harga sebagai upaya untuk memperbaiki keekonomian Iapangan dan kepastian pasokan gas ke PGN. Selain itu, naiknya harga pun dihitung dari biaya belanja modal dan belanja operasi yang digunakan untuk pengeboran sumur, pengembangan flowline dan kompresor Lapangan Suban yang memasok gas untuk PGN.

"Akhirnya, Menteri memutuskan untuk menaikkan US$0,9 per MMBtu," ujar Arcandra, Jumat (4/8).

Melalui persetujuan perubahan harga jual gas itu, dalam Surat Menteri ESDM pun memuat beberapa ketentuan. Pertama, perubahan harga itu jangka waktu berlakunya sejak ditetapkan hingga kontrak berakhir pada 2019. Kedua, harga jual gas PGN ke PT Perusahaan Listrik Negara dan pengembang swasta atau Independent Power Producer (IPP) tetap mengacu pada Keputusan Menteri 3191 K/ 12/ MEM/2011 tentang Harga Jual Gas Bumi PGN kepada PLN Batam dan IPP.

Ketiga, harga jual gas PGN kepada pembeli lain di wilayah Batam tetap mengacu kepada harga yang berlaku saat ini. Keempat, PGN tidak diperkenankan menaikkan harga jual gas kepada pembeli setelah adanya persetujuan harga ini.

Menurutnya, yang terpenting, perubahan harga jual gas di tingkat hulu tidak mempengaruhi harga jual gas ke konsumen akhir. Harga jual PGN ke PLN dan IPP Batam tetap dalam kisaran sekitar US$ 3,32-US$ 5,7 per MMBtu, tergantung pemakaian. Demikian halnya dengan industri harganya masih sekitar US$ 5,7 per MMBtu

Berdasarkan data Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas), produksi gas Blok Corridor mencapai 980 million standard cubic feet per day/MMscfd dari target 1.042 MMSCfd. Realisasi produksi gas Blok Corridor menyumbang 13% dari produksi gas nasional sebesar 7.512 MMscfd. 

Bisnis Indonesia, Page-10, Saturday, August 5, 2017

Alarm Already Ring

Based on data from the Ministry of Energy and Mineral Resources 2017, Indonesia's crude oil reserves are 3.6 billion barrels. The natural gas is still 100 trillion cubic feet, while 7.2 billion tons of coal. Assuming there is no new reserve discovery, the oil will run out by 2030, natural gas in 2051, and coal in 2043.

Are we really on the verge of an energy crisis? Let's talk oil. If until 2030 there is no new reserve discovery, Indonesia will rely on imports. Even if there are new reserve findings before 2030, not necessarily be produced. It takes 10-15 years since the discovery of oil reserves until it can be produced.

Why is it so hard to find new reserves in Indonesia? A number of experts, both in government and outside the government, said the remaining reserves in Indonesia exist in the eastern region. It is located in deep sea waters. In addition to the inventory discovery success ratio shrinking, the cost and level of difficulty are higher.

Mentioned, the cost of one deep well oil drilling wells can range from 100 million US dollars-200 million US dollars or equivalent to Rp 1.3 trillion-Rp 2.6 trillion. With the record, again not necessarily managed to find oil. If the result is negative, that much money disappears instantly with no small profit. The risk is greatly appreciated by oil companies, especially when the upstream investment climate of oil and gas is slow now

What if funded by the state? Through the state budget, for example. Very risky and it is impossible to go. It could have been in jail for spending trillions of people's money looking for oil, but not producing anything. That much more money meant for health, education, or infrastructure development financing.

Then, what is the solution? The government has given an answer, one of them by optimizing the utilization of natural gas. Natural gas is the only non-renewable reserve of fossil energy that still has a long life span. Unfortunately, we are not ready, if you do not want to say reluctant to be ready in an effort to optimize the gas.

Gas produced daily is 6,440 million standard cubic feet per day (MMSCFD) in accordance with APBN 2017 provisions, partially exported and partly absorbed for domestic use in a balanced portion. Why should half of it be exported? In addition to the issue of foreign exchange, gas infrastructure in the country is not ready yet. Therefore, natural gas is processed into liquefied natural gas (LNG), transported, then regasified, then flowed to the final consumer.

This regasification infrastructure is still lacking. Thus, gas flows into the international market, purchased by other countries that are infrastructure much more prepared than Indonesia. It is like the kindness of Indonesia to support the energy adequacy of other countries.

Government policy in terms of diversification of fuel oil to gas in the transportation sector, which is a greedy sector of oil, until now is not clear. Not to mention the matter of coal that governance problems piled up. Has the energy crisis alarm started ringing?

The government is not doing nothing. Ideas, policies and proposals are piled up or may be mounting. However, citing members of the National Energy Council, Sonny Keraf, in a discussion some time ago, we are weak in implementation. In other words, most only exist in the fancy or piece of policy paper.

IN INDONESIA

Alarm Sudah Berdering

Berdasarkan data Kementerian Energi dan Sumber Daya Mineral 2017, cadangan minyak mentah Indonesia tersisa 3,6 miliar barrel. Adapun gas bumi masih 100 triliun kaki kubik, sedangkan batubara 7,2 miliar ton. Dengan asumsi tidak ada penemuan cadangan baru, minyak akan habis pada 2030, gas bumi pada 2051, dan batubara di 2043.

Benarkah kita sudah di ambang krisis energi? Mari kita bicara minyak. Seandainya sampai 2030 tidak ada penemuan cadangan baru, Indonesia akan benar-benar bergantung pada impor. Bahkan seandainya ada temuan cadangan baru sebelum 2030, tidak serta-merta bisa diproduksi. Perlu waktu 10-15 tahun sejak penemuan cadangan minyak sampai bisa diproduksi.

Kenapa sulit sekali menemukan cadangan baru di Indonesia? Sejumlah pakar, baik yang ada di pemerintahan maupun di luar pemerintahan, menyebutkan, cadangan yang tersisa di Indonesia ada di kawasan timur. Letaknya di perairan laut dalam. Selain rasio kesuksesan penemuan cadangan mengecil, ongkos dan tingkat kesulitannya semakin tinggi.

Disebutkan, ongkos satu sumur pengeboran minyak di laut dalam bisa berkisar 100 juta dollar AS-200 juta dollar AS atau setara Rp 1,3 triliun-Rp 2,6 triliun. Dengan catatan, sekali lagi belum tentu berhasil menemukan minyak. Apabila hasilnya negatif, uang sebanyak itu lenyap seketika tidak memberi keuntungan sekecil apapun. Risiko itu sangat ditimbang betul oleh perusahaan minyak, apalagi di saat iklim investasi hulu minyak dan gas bumi yang sedang lesu sekarang  

Bagaimana jika didanai negara? Lewat APBN, misalnya. Sangat berisiko dan itu tidak mungkin ditempuh. Bisa saja pejabatnya masuk penjara karena sudah membelanjakan triliunan rupiah uang rakyat untuk mencari minyak, tetapi tidak menghasilkan apa-apa. Uang sebanyak itu lebih berarti untuk pembiayaan kesehatan, pendidikan, atau pembangunan infrastruktur.

Lalu, apa jalan keluarnya? Pemerintah sudah memberi jawaban, salah satunya dengan mengoptimalkan pemanfaatan gas bumi. Gas bumi adalah satu-satunya cadangan energi fosil yang tidak terbarukan yang masih punya umur panjang pemakaiannya. Sayangnya, kita seperti tidak siap, kalau memang tidak ingin dikatakan enggan untuk siap dalam upaya mengoptimalkan gas tersebut.

Gas yang diproduksi setiap hari sebanyak 6.440 juta standar kaki kubik per hari (MMSCFD) sesuai ketetapan APBN 2017, sebagian diekspor dan sebagian lagi diserap untuk keperluan domestik dalam porsi seimbang. Kenapa setengahnya harus diekspor? Selain persoalan devisa, ternyata infrastruktur gas di dalam negeri belum siap. Karena itu, gas bumi diproses menjadi gas alam cair (LNG), diangkut, lalu diregasifikasi, kemudian dialirkan ke konsumen akhir. 

Infrastruktur regasifikasi ini yang masih kurang. Maka, gas mengalir ke pasar internasional, dibeli negara lain yang secara infrastruktur jauh lebih siap daripada Indonesia. Ini seperti kebaikan hati Indonesia mendukung kecukupan energi negara lain. 

Kebijakan pemerintah dalam hal diversifikasi bahan bakar minyak ke gas di sektor transportasi, yang merupakan sektor rakus minyak, sampai kini tidak jelas. Belum lagi soal batubara yang tata kelolanya bertumpuk masalah. Apakah alarm krisis energi sudah mulai berdering? 

Pemerintah bukannya tidak berbuat apa-apa. Ide, kebijakan dan berbagai usulan sudah bertumpuk atau mungkin menggunung. Namun, mengutip anggota Dewan Energi Nasional, Sonny Keraf, dalam sebuah diskusi beberapa waktu lalu, kita lemah dalam pelaksanaan. Dengan kata lain, kebanyakan hanya ada dalam angan atau secarik kertas kebijakan.

Kompas, Page-17, Saturday, August 5, 2017

Indonesia seeks Chevron, Conoco proposals in investment push

Indonesia wants Chevron Corp. and ConocoPhillips to submit proposals to renew their licenses to operate oil and gas fields as the former Organization of the Petroleum Exporting Countries (OPEC) member seeks to reverse a decline in energ investments.

Energy and Mineral Resources Minister Ignasius Jonan asked Chevron executives last week to inform the ministry about the explorer’s plans for Indonesian operations beyond 2021, he said in an interview. The government expects Chevron to make aproposal within this year, he said.

Jonan also told Conoco executives to prepare a proposal if they wished to seek an extension for a block set to expire in 2020. An early decision on the fate of licenses for Chevron and Conoco may help the government reassure prospective foreign investors as it wrangles with Freeport-McMoRan Inc. over renewal of its permit to operate the Grasberg copper and gold mine.

President Joko Widodo is seeking to attract investment of as much as US$200 billion into Southeast Asia’s largest economy over the next decade to increase crude oil production.

“Chevron’s production sharing agreement will expire by 2021, and we told Chevron to propose to us what they are going to do,” Jonan said, referring to the explorer’s output deal with the government. “If they apply for the extension of their concession, we will evaluate.”

Chevron requires competitive fiscal terms, investment-friendly policies and legal certainty to ensure the Rokan block will continue to provide value to all stakeholders, Cameron Van Ast, a Perth-based spokesman, said by email.

The second-biggest United States oil explorer, which has been operating in Indonesia for more than 90 years, is the country’s largest producer of crude oil, delivering approximately 40 percent of  the national production from its operations in Riau in Sumatra and East Kalimantan and is also the largest producer of geothermal energy according to its website.

Jonan told Conoco executives to prepare a proposal if they wished to seek an extension for its South Jambi block. The company has shut down production after the existing iields have been depleted, and Conoco and venture partners are evaluating future options, according to the company website.

Joang Laksanto, a spokesman for Conoco in Indonesia said in a text message that the company would respond to the government, “accordingly’ Indonesia announced in 2015 that state energy company PT Pertamina will take over majority ownership and become the operator of Mahakam, the country’s biggest gas-producing block, from stakeholders Total SA and Inpex Corp as the production contract expires in 2017.

Pertamina will now decide whether to rope in a new partner for the project, Jonan said. The government has invited Exxon Mobil Corp.. to set up a new refinery or explore the possibility of relocating a unit from Singapore to tap into the growing demand for fuel products in the world’s fourth-mostpopulous country, Jonan said. Exxon declined to comment.

The government will help Exxon increase crude oil production from its Cepu field to 220,000 barrels a day from about 210,000 barrels now by securing the environmental clearance, Jonan said. Indonesia may need to import half of its annual fuel needs even after increasing its refining capacity by 500,000 barrels a day in the next seven years, according to BMI Research. The nation’s processing capacity may grow 2 percent by 2025 while consumption surges 31 percent in the same period, according to BMI.

Indonesia currently produces about 800,000 barrels of crude oil a day and imports about 500,000 barrels of crude and about 800,000 barrels of refined products, according to the Energy Ministry.

The switch to a so-called gross split scheme for oil and gas explorers from a cost-recovery plan was meant to speed up the approval process and efficiency Jonan said. The ministry will make some changes to the “attachment” of the scheme to incorporate feedbackfrom the industry, he said

Jakarta Post, Page-13, Friday, August 4, 2017

Oil, gas sector hopes for new policies after reshuffle

lndonesia’s oil and gas sector was once like a pretty girl who attracted everyone’s eye with her activities. That was how IGN Wiratmaja Puja, the then-oil and gas director general at the Energy and Mineral Resources Ministry, described the sector during a focus group discussion with various oil and gas stakeholders in June.

“Many then spread rumors about her, blamed her or even tried to control her. It was inevitable,” he continued, adding that day by day the “pretty girl” became more unattractive as shown by declining investment and plunging state revenues from the sector in recent years.

At the discussion, Wiratmaja vowed to issue various ministerial decrees some of which had taken more than a year that were expected to help boost the investment climate in the sector, a promise, however, he will be unable to make good on, as he was sacked by Energy and Mineral Resources Minister lgnasius Jonan on Wednesday

The minister has appointed Ego Syahrial, who previously headed the ministry’s geology agency as the new oil and gas director general, with high hopes that the latter can further boost enhanced oil recovery (EOR) to offset the declining domestic oil production.

“We also hope his experience as a geologist Will encourage innovations in oil and gas exploration." Jonan said.

During his term, Wiratmaja was in charge of preparing various ministerial regulations, including ones related to abandonment and site restoration (ASR), incentives for drilling an offshore well in ultra-deep, more than 1,500 meters in depth, waters, and EOR activities.

By issuing the decree on EOR activities, the government expects it can start boosting oil production in certain fields using such methods by 2021 or 2022, resulting in an additional 228,000 bpd of oil. The government has estimated that 2.5 billion barrels of oil in reserves can be recovered through EOR activities by 2050.

Furthermore, within the past few months the ministry has also been formulating a government regulation (PP) on tax treatment for gross split sliding scale agreements for upstream oil and gas contractors. None of those planned regulations has yet been completed, despite a further drop in oil and gas investment in recent years. According to the Upstream Oil and Gas Regulatory Special Task Force (SKK Migas), investment in the upstream oil and gas sector plunged to US$11.15 billion from $21.88 billion in the period Of 2012 to 2016.

In the first half of this year, investment in the sector amounted to only $3.99 billion, or 28.84 percent of the full-year target of $13.8 billion. Of the total figure, contractors spent $3.96 billion for exploitation while a mere $30 million was disbursed for exploration.

Because of a lack of new discoveries, the country’s proven oil reserves dropped to 2,959 million stock tank barrels (mmstb) at the end of last year from around 5,000 mmstb in the early 2000s. As a result, Indonesia’s oil production had dwindled to 808,800 barrels of oil per day (bopd) as of June from 1.2 million bopd in the early 2000s, forcing the country to import 60 percent of its current oil needs of 1.6 million bopd.

“If we maintain production rate at 800,000 bopd with the current oil reserves, we might not be able to produce oil after 12 years,” Deputy Minister Arcandra Tahar said. 

     Sammy Hamzah, the Indonesian Employers Association (Apindo) head of energy and mineral resources division, said it must have been difficult for Wiratmaja to do his job smoothly as he had to go through several transitions of power within the past year, from Sudirman Said to Arcandra, Luhut Pandjaitan and eventually Jonan.

“Now, we just hope that Pak Ego can immediately go through the internal consolidation process and start ‘running’,” Sammy said, expressing his hope that the once “pretty girl” could soon regain her looks

Jakarta Post, Page-13, Friday, August 4, 2017