Indonesia lifts oil exploitation (Photo: reuters.com)Jakarta (VNA) – Indonesia’s Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) will strive to achieve oil lifting production in 2024 so as not to be less than 600,000 BOPD amid challenges at the beginning of the year. In 2023, SKK Migas recorded an oil lifting realisation of 605,500 BOPD. This number is down from the 2022 realisation of 612,300 BOPD and is still below the 2023 state budget target of 660,000 BOPD. Executive Director of the Reforminer Institute Komaidi Notonegoro said the main problem of unachieved oil production targets is because the existing fields are old in pattern or trend and are in a continuously declining condition. According to Komaidi, the main problem now is that the oil business system in Indonesia uses a contract system, where at the exploration stage when oil and gas reserves have not been found, 100% of the risk is attached to contractors.

Source: Viet Nam News March 15, 2024 16:15 UTC