Indonesia's Petroleum Sector Remains Attractive for Investment

Indonesia, with its ownership of oil and gas resources, remained an attractive destination in Southeast Asia for companies interested to invest in the petroleum industry, a top executive at GE Oil & Gas told local daily The Jakarta Post in an article published Friday.
Investors' interest in the region's largest economy – formerly Asia's sole member of the Organization of Petroleum Exporting Countries (OPEC) – has not diminished despite the current downtrend in global oil prices.
Oil price began its downtrend in the second half of 2014, with benchmark Brent oil futures dipping below $100 a barrel in early September, and it settled Feb. 5 at $57.57. U.S. West Texas Intermediate oil futures had fallen below the $100 a barrel mark earlier in late July.–
“The declining oil price makes it more challenging but the long term prospect of the industry (in Indonesia) is still positive,” GE Oil & Gas president and CEO Lorenzo Simonelli commented.
“Indonesia has great resources and opportunity to push through. The new government (of President Joko Widido) is already taking action on looking at projects and moving forward the projects, such as IDD (Indonesia Deepwater Development), Tangguh and Jangkrik. We are active on all of these projects,” he said.
Chevron Corp. is proceeding with the first phase of the IDD project offshore East Kalimantan, comprising the Bangka field development, while BP plc is progressing the Tangguh Train 3 project in West Papua and Italy's Eni S.p.A. is developing the deepwater Jangkrik gas project off East Kalimantan.
GE Oil & Gas begun to enlarge its manufacturing facility in Batam in 2013, with the expansion covering the construction of a high bay for a new line of subsea wellhead equipment, while production of vertical subsea trees in Batam is the first for the firm in Asia Pacific.
12
View Full Article
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- Malaysia's InvestKL Woos Top Oil, Gas MNCs to Base in Kuala Lumpur
- Petrobangla Invites EOIs for 3 Offshore Exploration Blocks in Bay of Bengal
- Malaysia's SapuraKencana Posts 7.1% Gain in 2Q FY17 PAT to $27M
- TH Heavy Engineering, McDermott End Partnership in Malaysia
- Singapore's NUS Slowly Builds its Petroleum Engineering Program
- Oil Inventories Down to Dangerously Low Point
- USA Fuelmakers Shifting Into Higher Gear
- ExxonMobil Selling Shale Assets for $750MM
- Shots Fired During Tanker Loading
- NPD Grants Slew of Drilling Permits
- World's Oil Growth Engine Is About to Slow
- Saudi Arabia Says It Has Done All It Can for the Oil Market
- BlackRock Told Texas It Will Still Invest In Oil And Gas
- Ruble Hits 5-Year High as Gas Buyers Bend to Putin Demand
- DOI Provides Offshore Leasing Program Update
- Russian Oil Producers Start Using Tankers the World Did Not Want
- ADNOC Announces 650MM Barrel Oil Find
- Finland Loses Main Gas Supply
- This Is Where the Oil Price Would Be Without the War
- Ban on Excessive Gasoline Prices Heading for Vote
- Oil and Gas Discovery Confirmed at Hamlet
- Oil Inventories Down to Dangerously Low Point
- Top Headlines: Be Prepared to Pay More at the Pump from June
- USA Fuelmakers Shifting Into Higher Gear
- Gas Prices Could Rocket in the Near Term