Petronas Still Waiting for Lemigas Review

Petronas Carigali Muriah Limited, Kepodang Field Operator, Muriah Block, is still awaiting the results of a study of the subsurface gas field located on the north coast of Java.

Gas production from Kepodang Field dropped rapidly so that the Oil and Gas Technology Research and Development Center (Lemigas), the ESDM Ministry is reviewing the gas region.

Muriah Block-Petronas

As a result of the production decline, the gas distribution contract from Kepodang Field will be suspended due to force majeure declaration from Petroliam Nasional Berhad (Petronas).

The subsidiary of the Malaysian national oil and gas company is the operator of Kepodang with 80% of the participating interest, while 20% is owned by Saka Energi Muriah Limited, a subsidiary of PT Perusahaan Gas Negara Tbk.

Senior Manager of Corporate Affairs & Administration Petronas Carigali Indonesia Andiono Setiawan said that it is still waiting for the results of the study of Lemigas to determine the next steps.

"We do not know yet how much of a loss [Kepodang gas production declines. We also have not been able to determine the steps because the results are still in Lemigas, "he said, Monday (5/9).

Andiono explained, until now, it still coordinates and discussions and the impact of force majeure declaration. Petronas is still discussing with the Oil and Gas Upstream Business Unit (SKK Migas), the Ministry of Energy and Mineral Resources, PT Perusahaan Listrik Negara as the gas buyer and PT Kalimantan Jawa Gas as the owner of the gas pipeline network. Due to the force majeure condition, Petronas also has the potential to experience a penalty from PT Kalimantan Jawa Gas.

Reforminer Institute Executive Director Komaidi Notonegoro said Petronas should be prepared to suffer losses, including the payment of fines. Only, in a state of force majeure, potential penalties are usually disallowed.

"I do not know how much penalty to be paid by Petronas depends on the contract. Usually, under these circumstances, penalties are annulled, "he said.

According to him, this condition should be understood by the cooperating companies, namely PT Kalimantan Java Gas.

"There is a regulation governing it."

Under the gas sale and purchase agreement (PJBG), Kepodang will supply 116 million cubic feet per day (MMscfd) gas for 12 years. However, daily production is currently down to 70 MMscfd.

CONTRACT END

Previously, PLN has stated that it will terminate the Kepodang gas distribution contract with a grand force declaration. The force majeure state itself is a situation that occurs outside the control of the contractor affecting the operations in the field.

PLN Supervising Strategic Superintendent Superintendent Iwan Santoso said the contract settlement was chosen because and price side, Kepodang gas is quite expensive.

Kepodang gas sold for US $ 4.61 per MMBtu with an escalation of 8.6% per year will be channeled to the PLN Gas Power Plant (PLTGU) Tambak Lorok. The 1,000 megawatt power plant is located in Semarang, Central Java

Supangkat estimates that in the next 5 years the price of gas from the field starting production in 2015 could touch US $ 10 per MMBtu. Meanwhile, other sources of gas supply, Iwan said, could come from liquefied natural gas (LNG) through the construction of new storage and regasification facilities around PLTGU Tambak Lorok.

The use of LNG will support the supply and the Gundih Field of 50 MMscfd as it will increase the installed capacity in Tambak Lorok with the development plan of Block 3.

Meanwhile, PLN's subsidiary PT Indonesia Power will build 3 Tambak Lorok Block in Semarang with a power capacity of 780 megawatts worth Rp 4.8 trillion. The gas-generating project is scheduled to begin operation in April 2020.

IN INDONESIA

Petronas Masih Tunggu Kajian Lemigas

Petronas Carigali Muriah Limited, operator Lapangan Kepodang, Blok Muriah, masih menunggu hasil kajian lapisan bawah permukaan lapangan gas yang berlokasi di pantai utara Jawa tersebut.

Produksi gas dari Lapangan Kepodang turun drastis dalam waktu cepat sehingga Pusat Penelitian dan Pengembangan Teknologi Minyak dan Gas Bumi (Lemigas), Kementerian ESDM sedang mengkaji wilayah gas tersebut.

Sebagai dampak dari penurunan produksi, kontrak penyaluran gas dari Lapangan Kepodang akan dihentikan karena deklarasi kahar (force majeure) dari Petroliam Nasional Berhad (Petronas).

Anak usaha dari perusahaan minyak dan gas bumi nasional Malaysia itu menjadi operator Kepodang dengan kepemilikan saham partisipasi 80 %, sedangkan 20% dimiliki Saka Energi Muriah Limited, anak perusahaan PT Perusahaan Gas Negara Tbk.

Senior Manager Corporate Affairs & Administration Petronas Carigali Indonesia Andiono Setiawan mengatakan bahwa pihaknya masih menunggu hasil kajian Lemigas untuk menentukan langkah-langkah selanjutnya.

“Kami belum mengetahui berapa kerugian [penurunan produksi gas Kepodang. Kami juga belum bisa menetukan langkah karena hasil kajian masih di Lemigas," katanya, Senin (5/9).

Andiono menjelaskan, hingga saat ini, pihaknya masih melakukan koordinasi dan diskusi dan imbas deklarasi force majeure. Petronas masih melakukan diskusi dengan Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas), Kementerian ESDM, PT Perusahaan Listrik Negara sebagai pembeli gas, dan PT Kalimantan Jawa Gas sebagai pemilik jaringan pipa gas. Akibat keadaan force majeure tersebut, Petronas juga berpotensi mengalami penalti dari PT Kalimantan Jawa Gas. 

Direktur Eksekutif Reforminer Institute Komaidi Notonegoro mengatakan, Petronas harus siap mengalami kerugian, termasuk pembayaran denda. Hanya saja, dalam keadaan force majeure, potensi penalti biasanya dianulir.

“Saya tidak tahu berapa potensi penalti yang harus dibayar oleh Petronas itu tergantung kontraknya. Biasanya, dalam keadaan seperti ini, penalti dianulir," katanya.

Menurutnya, kondisi ini harus dipahami oleh pihak perusahaan yang bekerja sama, yaitu PT Kalimantan Jawa Gas. 

“Ada regulasi yang mengatur itu.”

Dalam perjanjian jual beli gas (PJBG), Iapangan Kepodang akan menyuplai gas 116 juta kaki kubik per hari (MMscfd) selama 12 tahun. Namun, produksi harian saat ini turun menjadi 70 MMscfd.

KONTRAK BERAKHIR

Sebelumnya, PLN telah menyatakan akan untuk mengakhiri kontrak penyaluran gas Kepodang dengan adanya deklarasi kahar Kondisi kahar sendiri merupakan keadaan yang terjadi di luar kendali kontraktor yang memengaruhi operasi di lapangan.

Direktur Pengadaan Strategis PLN Supangkat Iwan Santoso mengatakan, penyelesaian kontrak dipilih karena dan sisi harga, gas Kepodang tergolong mahal.

Gas Kepodang dijual seharga US$4,61 per MMBtu dengan eskalasi 8,6% per tahun akan dialirkan ke Pembangkit Listrik Tenaga Gas Uap (PLTGU) Tambak Lorok milik PLN. Pembangkit listrik yang berkapasitas 1.000 megawatt itu terletak di Semarang, Jawa Tengah

Supangkat memperkirakan bahwa pada 5 tahun mendatang harga gas dari lapangan yang memulai produksi pada 2015 itu bisa menyentuh US$ 10 per MMBtu. Sementara itu, sumber pasokan gas lain, kata Iwan, bisa berasal dari gas alam cair (liquefied natural gas/LNG) melalui pembangunan fasilitas penyimpanan dan regasifikasi baru di sekitar PLTGU Tambak Lorok.

Penggunaan LNG akan mendukung pasokan dan Lapangan Gundih sebesar 50 MMscfd karena akan bertambahnya kapasitas terpasang di Tambak Lorok dengan rencana pengembangan Blok 3.

Sementara itu, anak usaha PLN, PT Indonesia Power, akan membangun Blok 3 Tambak Lorok, Semarang, berkapasitas daya 780 megawatt senilai Rp 4,8 triliun. Proyek pembangkit gas tersebut dijadwalkan mulai beroperasi pada April 2020. 

Bisnis Indonesia, Page-32, Wednesday, Sept 6, 2017

Petronas remains committed to investment in Indonesia

Malaysian oil and gas company Petronas is trying to prove its commitment to continue managing oil and gas fields in Indonesia, even though Petronas must swallow the bitter pill from Kepodang Field of Muriah Block which is being force majeure as production continues to decline.

Senior Manager of Corporate Affairs and Administration of Petrnonas Carigali Indonesia Andiono Setiawan said Petronas can still taste the opportunity to manage oil and gas field in Indonesia from the Ketapang Block Ketapang Ground onstream in 2015. Bukit Tua Field oil production currently reaches 15,000 barrels oil per day (BOPD) . Gas production is 30 mmscfd.

"Early production could be 18,000 bopd, also up to 20,000 bopd," said Andiono.

Therefore Petronas will also drill two wells this year. The rig to drill two wells has arrived on September 3, 2017, Petronas hopes that drilling two wells could increase Bukit Tua oil production by 20,000 bopd.

"Old hill is still sweet, we will drill for added production" Andiono added.

In addition to Bukit Tua Field, Andiono also said Petronas will continue drilling an exploration well in North Madura II project. Unfortunately Andiono did not want to mention the cost of drilling in the three wells.

IN INDONESIA

Petronas Tetap Berkomitmen Investasi di Indonesia

Perusahaan migas asal Malaysia, Petronas, berusaha membuktikan komitmennya untuk tetap mengelola lapangan migas di Indonesia, Biarpun Petronas harus menelan pil pahit dari Lapangan Kepodang Blok Muriah yang sedang force majeure karena produksi terus menurun.

Senior Manager Corporate affairs and administration Petrnonas Carigali Indonesia Andiono Setiawan mengatakan Petronas masih bisa mencicipi peluang mengelola lapangan migas di Indonesia dari Lapangan Bukit Tua Blok Ketapang yang onstream pada tahun 2015, Produksi minyak Lapangan Bukit Tua saat ini mencapai 15.000 barrel oil per day (BOPD). Sementara produksi gas sebesar 30 mmscfd. 

"Produksi awal-awal bisa 18.000 bopd, pernah juga sampai 20.000 bopd,"kata Andiono.

    Oleh karena itu Petronas pun akan melakukan pengeboran dua sumur pada tahun ini. Rig untuk melakukan pengeboran dua sumur inipun telah tiba pada 3 September 2017 lalu, Petronas berharap pengeboran dua sumur ini bisa meningkatkan produksi minyak Bukit Tua hingga 20.000 bopd.

"Bukit tua masih manislah, kami akan mengebor buat tambah produksi" imbuh Andiono.

Selain Lapangan Bukit Tua, Andiono juga bilang Petronas akan melanjutkan pengeboran satu sumur eksplorasi di proyek North Madura II. Sayangnya Andiono tidak mau menyebut biaya untuk melakukan pemboran di tiga sumur tersebut.

Kontan, Page-18, Wednesday, Sept 6, 2017

Oil and Gas Holding Formation Continues

PT Perusahaan Gas Negara Tbk will seek funding for Pertagas acquisition

The Ministry of State-Owned Enterprises (SOEs) continues the formation of state-owned oil and gas holding despite Government Regulation No. 72/2016 concerning Procedure of State Investment and Administration at State-Owned Enterprises (BUMN) counter.

The reason is that the rule is considered not in sync with the Act (Act) no. 19/2003 on SOEs, Law no. 40 Year 2007 regarding Limited Liability Company, and Law no. 17 Year 2007 on State Finance. Deputy for Energy, Logistics, Regions and Tourism Ministry of State Owned Enterprises (BUMN) as well as Pertamina Commissioner Edwin Hidayat Abdullah said the establishment of oil and gas holding will be settled if 4 has been agreed with the House of Representatives.

"If the Government Regulation 72/2016 of Commission VI of the House of Representatives is already there is an agreement with us, after that (formed oil and gas holding)," said Edwin Solasa (5/9).

In parallel, Edwin said the Ministry of SOEs continue to study and mengaruhi data to support the formation oil and gas holding.

"We improve the study, then the execution," he said.

The Ministry of State-Owned Enterprises continues to deepen the formation of the holding by adjusting to the current conditions. Moreover, the Ministry of SOEs also still have to face the problem of establishing a Special Business Entity (BUK) in the draft Oil and Gas Law discussed Commission VII DPR. To accomplish this, Edwin said the Ministry of SOEs will coordinate with the Ministry of Energy and Mineral Resources.

"It is related to the revision of the Oil and Gas Law, but it has not been enacted and we will coordinate with ESDM," he said.

Even so, Edwin remains optimistic that oil and gas holding could take shape this year.

"From the Ministry of SOE the target has been exceeded," said Edwin.

Problem scheme, Edwin Edwin said still remain the same. PT Perusahaan Gas Negara (PGN) will be part of PT Pertamina to

then PGN will acquire Pertagas. In the future, PGN will seek funding for Pertagas acquisition.

     Previously, PGN has made a loan to acquire Pertagas for US $ 536 million. However, the loan was forced to be repaid by PGN due to the unclear formation of oil and gas holding.

PGN also has to bear the burden of debt due to unclear plan for the establishment of oil and gas holding. So Edwin hinted the Ministry of SOEs will look for other ways to acquisition Pertagas by PGN does not charge the company.

"There are many ways, we will discuss it later, technically, PGN is a public company, we can not talk too much," added Edwin.

Meanwhile, Director of Memorable PGN Nusantara Suyono chose not to comment much related to the company's funding. Meanwhile, Pertamina Finance Director Arief Budiman said Pertagas acquisition by PGN will be socialized with shareholder's decision.

"Ask shareholders" added Arief.

Concerning the holding, Arief asserted Pertamina does not need funds only for the process of forming oil and gas holding.

"It's just a shareholder action, it's just an additional capital to Pertamina, so PGN's shares are transferred to Pertamina, so there is no need for funds," he said.

IN INDONESIA

Pembentukan Holding Migas Terus Berlanjut

PT Perusahaan Gas Negara Tbk nanti akan mencari dana Iagi untuk akuisisi Pertagas

     Kementerian Badan Usaha Milik Negara (BUMN) terus melanjutkan pembentukan holding BUMN migas meski Peraturan Pemerintah No 72/2016 tentang Tata Cara Penyertaan dan Penatausahaan Modal Negara pada Badan Usaha Milik Negara (BUMN) mendapatkan pro dan kontra.

Pasalnya, aturan itu dianggap tidak sinkron dengan Undang-Undang (UU) No. 19/2003 tentang BUMN, UU No. 40 Tahun 2007 tentang Perseroan Terbatas, serta UU No. 17 Tahun 2007 tentang Keuangan Negara. Deputi Bidang Energi, Logistik, Kawasan dan Pariwisata Kementerian Badan Usaha Milik Negara (BUMN) sekaligus Komisaris Pertamina, Edwin Hidayat Abdullah mengungkapkan pembentukan holding migas akan beres jika sudah ada kesepakatan dengan Dewan Perwakilan Rakyat. 

"Kalau Peraturan Pemerintah 72/2016 dari Komisi VI DPR Rl sudah ada kesepakatan dengan kami, setelah itu (dibentuk holding migas)," kata Edwin Solasa (5/9). 

    Secara pararel, Edwin bilang Kementerian BUMN terus melakukan kajian dan memperbaruhi data-data untuk menunjang pembentukan holding migas. 

“Kajiannya kami improve, nanti eksekusi,"ujarnya.

Kementerian BUMN terus memperdalam lagi langkah pembentukan holding dengan menyesuaikan kondisi-kondisi terkini. Apalagi, Kementerian BUMN juga masih harus menghadapi masalah pembentukan Badan Usaha Khusus (BUK) dalam rancangan UU Migas yang dibahas Komisi VII DPR. Untuk menyelesaikan hal ini, Edwin menyatakan Kementerian BUMN akan berkordinasi dengan Kementerian ESDM. 

"Itu terkait Revisi Undang-Undang Migas, tapi belum diundangkan. Nanti kami kordinasi dengan ESDM," katanya.

     Biarpun begitu, Edwin tetap optimistis bahwa holding migas bisa terbentuk tahun ini.

"Dari Kementerian BUMN targetnya sudah terlewati. Awal tahun ini harusnya sudah selesai," ujar Edwin.

Soal skema, kata Edwin Edwin masih tetap sama. PT Perusahaan Gas Negara (PGN) akan menjadi bagian PT Pertamina untuk kemudian PGN akan mengakusisi Pertagas. Dengan begitu ke depannya PGN akan mencari pendanaan lagi untuk akusisi Pertagas.

     Sebelumnya PGN telah melakukan pinjaman untuk mengakusisi Pertagas sebesar US$ 536 juta. Namun pinjaman tersebut terpaksa harus dilunasi PGN karena pembentukan holding migas yang belum jelas.

PGN pun harus menanggung beban utang akibat tidak jelasnya rencana pembentukan holding migas. Makanya Edwin mengisyaratkan Kementerian BUMN akan mencari cara lain agar akusisi Pertagas oleh PGN tidak membebankan perusahaan tersebut. 

"Bisa banyak cara, nanti kami bahas, nanti teknikalnya, PGN kan public company, kami tidak bisa bicara terlalu banyak,"imbuh Edwin.

Adapun, Direktur Kenangan PGN Nusantara Suyono memilih tidak banyak berkomentar terkait pendanaan perusahaan tersebut. Sementara itu, Direktur Keuangan Pertamina Arief Budiman mengatakan akusisi Pertagas oleh PGN akan disosialisasikan dengan keputusan pemegang saham.

"Tanyakan pemegang saham" imbuh Arief.

Soal holding, Arief menegaskan Pertamina tidak membutuhkan dana hanya untuk proses pembentukan holding migas ini.

"Itu hanya aksi pemegang saham, itu hanya tambahan modal ke Pertamina. Jadi saham-saham PGN dialihkan ke Pertamina, jadi tidak ada kebutuhan dana," kata dia.

Kontan, Page-18, Wednesday, Sept 6, 2017

New gross-split scheme inspires some hope

A revision of the unpopular gross-split scheme has been met with positive reviews from upstream oil and gas business players, but it still leaves the sector’s future uncertain.

The gross-split scheme, a new breed of production-sharing regime (PSC), has been constantly criticized since it was introduced earlier this year for not being economically feasible and too heavy a burden for contractors.

The scheme’s revision, under Energy and Mineral Resources Ministerial Decree No. 52/2017, was signed by Minister Ignasius Jonan last Tuesday and with many additions intended to fulfill investors’ requirements to continue their projects in the country under the scheme.

The Indonesian Petroleum Association (IPA) executive director, Marjolijn Wajong, said the changes in the gross-split scheme were positive as they improved the economic feasibility of upstream projects, and also provided legal and fiscal certainty

“The IPA sees many positive changes in [the governments] efforts to increase the competitiveness of Indonesia’s oil and gas industry with the revision of the gross-split ministerial decree that has just been issued,” she said on Monday.

The scheme was designed to eventually replace the current cost-recovery scheme, which requires the government to reimburse the exploration and exploitation activities of investors.

Unlike cost recovery, the profit split between the government and contractors is decided up front based on the characteristics of an oil or gas working area.

Although only one working area, Offshore Northwest Java (ONWJ), has implemented the gross split, the IPA has been vocal about the scheme’s shortcomings since it was issued.

PT Pertamina Hulu Energi (PHE), a subsidiary of state owned firm Pertamina and operator of ONWJ, has also gone back and forth to the Energy and Mineral Resources Ministry to request a higher profit split under the gross split.

In the latest revision, the starting point for contractors remains at 57 percent and 52 percent for oil and gas respectively with the remainder going to the government. Contractors at the second plan of development (POD) stage will now get an additional 3 percent.

Moreover, the government will not deduct 5 percent from the contractor’s share if the latter continues operations in a terminated working area without submitting a POD.

The government has also added new components that allow an additional 2 percent split for contractors working in frontier offshore regions and 4 percent for frontier onshore regions. It was previously set at 2 percent for both offshore and onshore regions with little infrastructure.

Contractors will also now receive either 6 percent or 10 percent more for working areas at the secondary and tertiary production stages, double the amount in the previous iteration.

Furthermore, the government has changed the calculation for the portion obtained by the companies from a rise in oil prices, and has also added gas prices to the mix. Most significantly, however, is the minister’s ability to use his discretion to add or subtract from a contractorssplit.

Although the changes have been deemed significant, Marjolijn acknowledged that there were still some improvements to be made. The IPA has already recommended that the government make the gross-split scheme optional rather than compulsory for investors.

“In the end, contractors’ investment decisions will be based on their own investment portfolio and other strategic considerations,” she said. 

ReforMinerInstitute researcher Pri Agung Rakhmanto said the revised gross split might not be so, sweet despite greater economic feasibility.

According to Pri Agung, the minister’s discretion in determining the split could lead to business uncertainty, and the gross split in general remained a disadvantage for new contracts at the exploration stage. 

“The exploration stage is such a gamble that no one can say for sure that [investors] will be interested in [the gross split], which is a shame because the country really needs as much exploration as possible,” he said, adding that the governments needs were equally as important as those of investors.

Official data show that the amount of proven crude oil reserves in the country had dropped to 3.3 billion barrels at the end of last year from 3.69 billion in 2013. Moreover, proven gas reserves only amounted to 101 trillion cubic feet (tcf) in 2016 from 102 tcf three years previously.

Despite evidence of the urgency to find additional proven reserves, investment in exploration activities continues to experience a downward spiral. Last year, only US$8O0 million was invested, compared to $1.3 billion in 2012.

Pri Agung noted that while the gross split was revised in favor of investors, the fact that the government continued to issue and revise the regulations would not inspire much confidence for the future.

Jakarta Post, Page-19, Tuesday, Sept 5, 2017

Oil and Gas Company Wait for Gross Split Tax Regulation

The Indonesian Petroleum Association (IPA) states that tax-related regulations imposed in the production sharing contract (PSC) of gross split schemes need to be issued and implemented immediately. This is so that the implementation of gross split scheme can work well.

Executive Director of Indonesian Petroleum Association (IPA) Marjolijn Wajong said after the issuance of Regulation of the Minister of Energy and Mineral Resources No. 52 of 2017 which is a similar beleid revision of gross split contracts, oil and gas companies are now awaiting regulations on taxation of gross split contracts this.

Not just publish, it hopes the government focus on the details of its implementation. This is necessary so that the business process on the oil and gas contract scheme gross split becomes more simple.

"IPA has also provided inputs to the government on tax regulations and facilities for the gross split system that are seen to improve the competitiveness of Indonesia's oil and gas industry at the international level," Marjolijn said in a short message in Jakarta on Monday (4/9).

She explained that the oil and gas industry needs a business climate that has high legal certainty and competitive fiscal provisions. Both of these have become very important today, with oil and gas companies significantly reducing capital spending and being highly selective in investing.

Marjolijn added that each block and oil and gas field has different characteristics, level of risk, and development and production challenges. Therefore, each block and oil and gas field may require different forms of contracts, fiscal provisions, and incentives. This is to ensure the development of an economical and competitive oil and gas project.

"In this regard, IPA sees positive changes in efforts to improve the competitiveness of Indonesia's oil and gas industry on the revision of the Ministerial Regulation on Gross Split issued by the government, "She said.

Some of these positive changes are the increase of several components of the split variable, the addition of the progressive split component in the form of gas prices and the increase of the existing component quantity, there is no additional split limit which can be given by the Minister of Energy and Mineral Resources, and the incentive given for further field development. Another thing is the choice of a contract form for a field whose contract is extended.

"This is important given the possibility of special matters in the extension that need to be discussed further between the Government and the Contractor," Marjolijn said.

However, in the end the investment decision is in each oil and gas company. Because investment decisions should be made based on the portfolio of investment opportunities that are owned and other strategic considerations. In line with Marjolijn, Upstream Director of PT Pertamina Syamsu Alam expects oil and gas investment to improve after the issuance of the revised Ministerial Regulation on Gross Split.

"I have not read the details, but a glance better than before. Hopefully become more attractive for investors in conducting exploration activities, "he said.

As is known, Ministerial Regulation number 52/2017 was signed by the Minister of Energy and Mineral Resources Ignasius Jonan on August 29 last. As written in its consideration, the revised regulation is to increase investments in the upstream oil and gas sector. To comply with this regulation, the government also promised to issue tax regulations on gross split contracts.

"We hear the input whether this gross split tax system can be like Government Regulation number 27/2017 (revision of Government Regulation number 79/2010 on taxation cost recovery contract). Now we are formulating a new Government Regulation whose treatment is the same as Government Regulation number 27, "said Deputy Minister of Energy and Mineral Resources Arcandra Tahar.

Investment Boost

In its official statement, Minister of Energy and Mineral Resources Ignatius Jonan stated that the contract of oil and gas gross split scheme is the Government's efforts in responding to the current sluggish state of investment. Although many parties oppose the policy given oil and gas companies bear all the risks of upstream oil and gas projects.

"I know when we introduce this gross split the opposition must be a lot. Because, the risk is on their own (contractor). If the first risk to the state, "he added.

However, when using cost recovery contracts, the value of oil and gas exploration is not satisfactory. Proven reserves of oil and gas continue to decline from 2013 to 2016. In detail, petroleum reserves of 3.69 billion barrels in 2013 to 3.3 billion barrels in 2016. While gas reserves are reduced from 102 trillion cubic feet in 2013 to 101 trillion cubic feet.

Impact, oil and gas investment value continues eroded in that period. The national oil and gas investment that reached US $ 20.38 billion in 2013 was reduced to only US $ 11.58 billion. Therefore, the government needs to make different policies from the past.

"So if you want different results, what should be done differently," he said.

Until recently, only one oil and gas block contracted using a gross split scheme, the ONWJ Block managed by PT Pertamina Hulu Energi. After the contract was signed early in the year, this split block has been revised to be higher because to raise its economy, from 57.5% to 73.5% for oil and 62.5% to 81% for gas. Along with the split increase,

Pertamina Hulu Energi becomes more aggressive in investment.

IN INDONESIA

Perusahaan Migas Tunggu Peraturan Pajak Gross Split

Indonesian Petroleum Association (IPA) menyatakan peraturan terkait perpajakan yang dikenakan dalam kontrak kerja sama (production sharing contract/PSC) skema bagi hasil kotor (gross split) perlu segera diterbitkan dan diimplementasikan. Hal ini agar pelaksanaan skema gross split bisa berjalan baik.

Direktur Eksekutif Indonesian Petroleum Association (IPA) Marjolijn Wajong menuturkan, setelah diterbitkannya Peraturan Menteri Energi dan Sumber Daya Mineral No 52 Tahun 2017 yang merupakan revisi beleid serupa tentang kontrak bagi hasil kotor (gross split), perusahaan migas kini menunggu peraturan tentang perpajakan kontrak gross split ini.

Tidak sekadar menerbitkan, pihaknya berharap pemerintah fokus pada detail pelaksanaannya. Hal tersebut diperlukan sehingga proses bisnis pada kontrak migas skema gross split menjadi lebih sederhana. 

“IPA juga telah memberi masukan kepada pemerintah tentang peraturan dan fasilitas perpajakan bagi sistem gross split yang dipandang dapat meningkatkan daya saing industri migas Indonesia di tataran internasional,” kata Marjolijn dalam pesan singkat di Jakarta, Senin (4/9).

Dijelaskannya, industri migas membutuhkan iklim usaha yang memiliki kepastian hukum tinggi dan ketentuan fiskal yang kompetitif. Kedua hal ini menjadi sangat penting di masa kini, di mana perusahaan migas secara signifikan mengurangi belanja modal dan sangat selektif dalam melakukan investasi.

Ditambahkan Marjolijn, setiap blok dan lapangan migas memiliki karakteristik, tingkat risiko, serta tantangan pengembangan dan produksi yang berbeda. Karenanya, setiap blok dan lapangan migas ini bisa jadi membutuhkan bentuk kontrak, ketentuan fiskal, dan insentif yang berbeda pula. Hal ini untuk memastikan pengembangan proyek migas yang ekonomis dan kompetitif.

“Dalam kaitan itu, IPA melihat adanya perubahan-perubahan yang positif dalam usaha meningkatkan daya saing industri migas Indonesia

pada revisi Peraturan Menteri tentang Gross Split yang baru dikeluarkan pemerintah,” ujarnya.

Beberapa perubahan positif ini yakni adanya kenaikan besaran beberapa komponen variable split, penambahan komponen progressive split berupa harga gas dan kenaikan besaran komponen eksisting, tidak ada batasan tambahan split yang dapat diberikan Menteri ESDM, serta diberikannya insentif untuk pengembangan lapangan lanjutan. Hal lainnya adalah adanya pilihan bentuk kontrak untuk lapangan yang kontraknya diperpanjang.

“Hal ini penting mengingat kemungkinan terdapat hal-hal khusus dalam perpanjangan yang perlu dibicarakan lebih lanjut antara Pemerintah dan Kontraktor,” tutur Marjolijn.

Meski demikian, pada akhirnya keputusan investasi ada pada masing-masing perusahaan migas. Pasalnya, keputusan investasi harus dibuat berdasarkan portfolio peluang investasi yang dimiliki dan pertimbangan-pertimbangan strategis lainnya. Senada dengan Marjolijn, Direktur Hulu PT Pertamina Syamsu Alam berharap investasi migas bisa membaik setelah diterbitkannya revisi Peraturan Menteri tentang Gross Split. 

“Saya belum baca detail, tapi sekilas lebih baik dibandingkan sebelumnya. Mudah-mudahan menjadi lebih atraktif untuk para investor dalam melakukan kegiatan eksplorasi,” kata dia.

Seperti diketahui, Peraturan Menteri nomor 52/2017 ini ditandatangani oleh Menteri ESDM Ignasius Jonan pada 29 Agustus lalu. Sebagaimana tertulis dalam pertimbangannya, revisi peraturan ini dilakukan untuk meningkatkan investasi-investasi di sektor hulu minyak dan gas. Untuk melengkapi peraturan ini, pemerintah juga menjanjikan segera menerbitkan peraturan perpajakan untuk kontrak gross split.

“Kami mendengar masukan apakah gross split ini sistem perpajakannya bisa seperti Peraturan Pemerintah nomor 27/2017 (revisi Peraturan Pemerintah nomor 79/2010 tentang perpajakan kontrak cost recovery). Sekarang kami sedang menyusun Peraturan Pemerintah baru yang treatment-nya sama dengan Peraturan Pemerintah nomor  27,” kata Wakil Menteri ESDM Arcandra Tahar.

Dongkrak Investasi

Dalam keterangan resminya, Menteri ESDM Ignasius Jonan menyatakan bahwa kontrak migas skema gross split merupakan upaya Pemerintah dalam merespon kondisi lesunya investasi saat ini.  Walaupun banyak pihak menentang kebijakan tersebut mengingat perusahaan migas menanggung seluruh risiko proyek hulu migas.

“Saya tahu waktu kami memperkenalkan gross split ini pertentangannya pasti banyak. Sebab, risikonya ada pada mereka sendiri (kontraktor). Kalau dulu risikonya ada pada negara,” imbuhnya.

Namun ketika menggunakan kontrak cost recovery, dinilainya hasil eksplorasi migas kurang memuaskan. Cadangan terbukti migas terus menurun sejak 2013 hingga 2016. Rincinya, cadangan minyak bumi dari 3,69 miliar barel pada 2013 menjadi 3,3 miliar barel pada 2016. Sementara cadangan gas terkurang dari 102 triliun kaki kubik pada 2013 menjadi 101 triliun kaki kubik.

Dampaknya, nilai investasi migas terus tergerus pada periode tersebut. lnvestasi migas nasional yang sempat mencapai US$ 20,38 miliar pada 2013 terpangkas menjadi hanya US$ 11,58 miliar. Karenanya, pemerintah perlu membuat kebijakan berbeda dari selama ini. 

“Jadi kalau mau hasilnya beda, apa yang dilakukan harus berbeda,” tegasnya.

Sampai saat ini, baru satu blok migas yang kontraknya menggunakan skema gross split, yakni Blok ONWJ yang dikelola PT Pertamina Hulu Energi. Pasca kontrak diteken awal tahun, split blok ini telah direvisi menjadi lebih tinggi lantaran untuk menaikkan keekonomiannya, yakni dari 57,5% menjadi 73,5% untuk minyak dan 62,5% menjadi 81% untuk gas. Bersama dengan kenaikan split, Pertamina Hulu Energi menjadi lebih agresif dalam investasi.

Investor Daily, Page-9, Tuesday, Sept 5, 2017

Gross Split Revision Opens Incentive Opportunities

Contractor of cooperation contract (KKKS) welcomed the positive revision of Minister of Energy and Mineral Resources Regulation No. 8 of 2017 on Gross Split Distribution Contract. The revision contained in Ministerial Regulation 52/2017 is considered quite good for the upstream oil and gas industry.

Director of Medco Energi Hilmi Panigoro stated that the revision was good enough, especially about the flexibility of contract for KKKS.

"I think the new Ministerial Regulation is quite promising, especially the points concerning the flexibility of contracts associated with the economy of oil and gas fields," said Hilmi.

Upstream Director of PT Pertamina Syamsu Alam, who mentioned the addition of a split in the revised gross split will help the contractor to reach the oil and gas field's economy.

"The revision of the Ministerial Regulation I think is helping to improve the field economy and become the spirit of the investors to conduct exploration activities, because there is an incentive in the new Ministerial Regulation in the form of adding split," said Syamsu Alam.

Furthermore, Syamsu Alam also did not mention its objection to article 25A, in Ministerial Regulation 52/2017 which specifically mention that Pertamina must use gross split.

"Regarding the gross split, indeed all new contracts after termination will all use gross split," he added.

Executive Director of Indonesia Petroleum Association (IPA), Marjolijn Wajong said, there are some positive changes in the rules:

First, the increase in the number of split variables that will help the field economy.

Secondly, the addition of progressive split (gas prices) and the adjustment and increase in the magnitude of the existing progressive split to assist the field economy, especially in the early days of production.

Thirdly, there is no longer any limit to the incremental split incentives that the Minister may provide.

Fourth, giving incentives to the development of further fields after POD I.

"We also see that the optionality of the contract form in the extension is still maintained," her said.

IN INDONESIA

Revisi Gross Split Buka Peluang Insentif

Kontraktor kontrak kerja sama (KKKS) menyambut positif revisi Peraturan Menteri ESDM Nomor 8 Tahun 2017 tentang Kontrak Bagi Hasil Gross Split. Revisi yang tertuang dalam Peraturan Menteri 52/2017 ini dianggap cukup baik bagi pelaku industri hulu migas.

Direktur Utama Medco Energi Hilmi Panigoro menyatakan, revisi itu cukup baik terutama soal fleksibilitas kontrak bagi KKKS. 

"Saya pikir Peraturan Menteri baru ini cukup menjanjikan terutama poin-poin yang menyangkut fieksibilitas kontrak dikaitkan dengan keekonomian lapangan migas," kata Hilmi.

Direktur Hulu PT Pertamina Syamsu Alam, yang menyebut adanya penambahan split (bagi hasil) dalam revisi gross split akan membantu kontraktor untuk mencapai keekonomian lapangan migas.

"Revisi Peraturan Menteri tersebut saya kira membantu memperbaiki keekonomian lapangan dan menjadi semangat para investor untuk melakukan kegiatan eksplorasi, karena memang ada insentif dalam Peraturan Menteri yang baru berupa penambahan split," kata Syamsu Alam.

Lebih lanjut Syamsu Alam juga tidak menyebutkan keberatannya terhadap pasal 25A, dalam Peraturan Menteri 52/2017 yang khusus menyebut agar Pertamina wajib menggunakan gross split.

"Mengenai gross split, memang seluruh kontrak yang baru pasca terminasi semuanya akan menggunakan gross split,"imbuhnya.

Direktur Eksekutif Indonesia Petroleum Association (IPA), Marjolijn Wajong bilang, ada beberapa perubahan positif dalam aturan itu :

Pertama, kenaikan besaran beberapa variable split yang akan membantu keekonomian lapangan. 

Kedua, penambahan progressive split (harga gas) dan penyesuaian serta kenaikan besaran terhadap progressive split yang ada sebelumnya untuk membantu keekonomian lapangan, terutama pada masa awal produksi. 

Ketiga, tidak adanya batasan lagi terhadap insentif penambahan split yang dapat diberikan oleh Menteri.

Keempat, diberikannya insentif pada pengembangan lapangan-lapangan lanjutan setelah POD I. 

"Kami juga melihat bahwa adanya optionality bentuk kontrak pada perpanjangan yang masih dipertahankan," ujarnya.

Kontan, Page-18, Tuesday, Sept 5, 2017

North Korean missile impact

Tensions on the Korean peninsula will not break into an armed conflict any time soon, but analysts have foreseen the impact on economic activity, one of which is oil and gas supplies. Last Tuesday, North Korea launched a 2,700-kilometer ballistic missile and crossed over Japan.

The move signaled "early" military operations in the Pacific. Looking at North Korea's track record, it can be estimated that the country will still launch the next missiles.

North Korea's neighboring countries, China, South Korea and Japan, are the largest importers of energy. The country's third crude oil imports were 13.6 million barrels per day (34 percent of world trade), liquefied natural gas (LNG) 143 million tons (55 percent), and 551 million tons (46 percent) of coal. Everything is transported by sea so it is strongly influenced by the security situation of the region.

If the military conflict breaks out, according to Wood Mackenzie Product Suite Director Chris Graham, China is best equipped to take advantage of domestic coal and gas resources reserves. The opposite condition occurs in Japan and South Korea that choose not to store large amounts of oil and gas reserves.

The deterioration of the region's security situation is not impossible to encourage Japan to speed up the re-development of nuclear power plants which temporarily halted after a nuclear reactor leak in Fukushima after the tsunami-causing earthquake in Sana.

In the worst situation, China will use its oil strategic reserves. It became the first use since the reserves were built 3-4 years. Japan and Korea will use up enough domestic reserves for 90 days as an obligation of members of the Organization for Economic Cooperation and Development (OECD).

China does have oil production domestically, but 58 percent risk closing if war broke out. About 1.5 million barrels of crude oil per day of Chinese production from a total of 3.95 million barrels comes from the northern Chinese basin.

The nearest distance of the region's oil fields from the border with North Korea is only 200 km. Another production center that produces 0.8 million barrels per day, the Songliao Basin, is just 400 km from the border. The global oil market will be greatly affected if war broke out on the Korean Peninsula involving China, Japan and South Korea.

Because, 65 percent of the oil and gas processing industry in Asia are in the three countries. Efforts to accumulate reserves in affected countries and increasing logistics costs will raise prices for the short term.

On the other hand, Nomura's financial consultants lowered the chances of war on the Korean Peninsula to 35 percent today from the previous 50 percent. Tension increases, but keeps it under control. The reason, three signals that indicate the escalation of open war has not been seen.

These three signals are the orders of the United States Government to ask its citizens to leave South Korea, increase US military forces around the Korean Peninsula as in 1994, and increase the US defense preparedness from three to four.

Indonesia is relatively far away from the Korean Peninsula. Indonesia's crude oil is also not through the waters that become conflict areas. However, Indonesia exports oil, gas and coal to China, Japan and South Korea which will be disrupted if conflict broke out.

Prices may increase, but the price of Indonesian petroleum imports will also rise. Tensions on the Korean Peninsula should be a reminder of the importance of building energy security in the country. With the depletion of Indonesia's petroleum reserves for just 11 more years, the development of renewable energy based on domestic resources, can not help it, must continue to be pursued from now on.

IN INDONESIA

Dampak Rudal Korea Utara

Ketegangan di Semenanjung Korea belum akan pecah menjadi konflik bersenjata dalam waktu dekat, tetapi analis sudah memperkirakan dampaknya terhadap kegiatan ekonomi, salah satunya pasokan minyak dan gas bumi. Selasa pekan lalu, Korea Utara meluncurkan rudal balistik yang mencapai jarak 2.700 kilometer dan melintas di atas Jepang. 

Langkah itu memberi sinyal ”awal” operasi militer di Pasifik. Melihat rekam jejak Korea Utara, dapat diperkirakan negara itu masih akan meluncurkan rudal-rudal berikutnya. 

Negara tetangga Korea Utara, yaitu China, Korea Selatan, dan Jepang, adalah pengimpor terbesar energi. Impor minyak bumi ketiga negara itu 13,6 juta barrel per hari (34 persen perdagangan dunia), gas alam cair (LNG) 143 juta ton (55 persen), dan batubara 551 juta ton (46 persen). Semuanya diangkut melalui laut sehingga sangat dipengaruhi situasi keamanan kawasan.

Jika konflik militer pecah, menurut Product Suite Director Wood Mackenzie Chris Graham, China yang paling siap memanfaatkan cadangan sumber daya domestik batubara dan gas. Kondisi sebaliknya terjadi pada Jepang dan Korea Selatan yang memilih tidak menyimpan cadangan migas dalam jumlah besar.

Memburuknya situasi keamanan kawasan bukan tidak mungkin mendorong Jepang mempercepat pengembangan kembali pembangkit listrik tenaga nuklir yang sementara dihentikan setelah kebocoran reaktor nuklir di Fukushima setelah gempa bumi yang menyebabkan tsunami di Sana.

Dalam situasi terburuk, China akan memakai cadangan strategis minyaknya. Ini menjadi penggunaan pertama sejak cadangan dibangun 3- 4 tahun. Jepang dan Korea akan memakai cadangan dalam negeri yang cukup untuk 90 hari sebagai kewajiban anggota Organisasi untuk Kerja Sama Ekonomi dan Pembangunan (OECD).

China memang memiliki produksi minyak di dalam negeri, tetapi 58 persen menghadapi risiko tutup jika pecah perang. Sekitar 1,5 juta barel minyak mentah per hari produksi China dari total 3,95 juta barrel berasal dari cekungan China  utara. 

Jarak terdekat ladang minyak kawasan itu dari perbatasan dengan Korea Utara hanya 200 km. Pusat produksi lain yang menghasilkan 0.8 juta barrel per hari, Cekungan Songliao, berjarak hanya 400 km dari perbatasan. Pasar minyak global pasti akan sangat terpengaruh jika pecah perang di Semenanjung Korea yang melibatkan China, Jepang, dan Korea Selatan. 

Pasalnya, 65 persen industri pengolah migas Asia berada di tiga negara itu. Upaya menumpuk cadangan di negara-negara yang terdampak dan meningkatnya ongkos logistik akan menaikkan harga untuk jangka pendek 

Di sisi lain, konsultan keuangan Nomura menurunkan peluang terjadi perang di Semenanjung Korea menjadi 35 persen saat ini dari sebelumnya 50 persen. Ketegangan meningkat, tetapi tetap terkontrol. Alasannya, tiga sinyal yang menunjukkan eskalasi menjadi perang terbuka belum tampak. 

Ketiga sinyal itu adalah perintah Pemerintah Amerika Serikat meminta warga negaranya meninggalkan Korea Selatan, peningkatan kekuatan militer AS di sekitar Semenanjung Korea seperti pada 1994, dan peningkatan kesiapan pertahanan AS dari aras tiga menjadi empat.

Indonesia berada relatif jauh dari Semenanjung Korea. Minyak mentah Indonesia juga tidak melalui perairan yang menjadi wilayah konflik. Akan tetapi, Indonesia mengekspor minyak, gas dan batubara ke China, Jepang dan Korea Selatan yang akan ikut terganggu jika pecah konflik. 

Harga boleh menjadi meningkat, tetapi harga impor minyak bumi Indonesia juga akan naik. Ketegangan di Semenanjung Korea sebaiknya menjadi pengingat pentingnya membangun ketahanan energi di dalam negeri. Dengan menipisnya cadangan minyak bumi Indonesia hanya untuk 11 tahun lagi, pengembangan energi terbarukan berbasis sumber daya dalam negeri, tidak bisa tidak, harus terus diupayakan dari sekarang.

Kompas, Page-17, Monday, Sept 4, 2017