REPUBLIKA.CO.ID, JAKARTA - Indonesia was heading for energy crisis that could be averted only by increasing its oil and gas production, an official warned. A deputy at the upstream oil and gas regulator (SKK Migas) Aussie B. Gautama said energy crisis was imminent and it was time for the country to carry out own explorations. 

The government should encourage Indonesian companies to carry out oil and gas explorations, Gautama said at a panel discussion on enhance oil recovery (EOR) on Thursday. 

He said the government should not rely only on foreign oil companies to carry out explorations, adding, currently foreign investors were less interested in oil explorations in Indonesia.

Gautama said state energy company Pertamina should be given greater share of explorations. He believed the question was not only about cost or the availability of fund to finance explorations. 

He pointed out Pertamina has acquired an oil block at a price of 1.75 billion USD in Algeria. 

Gautama said China has succeeded in using the EOR technology to produce 1 million barrels of crude oil per day for 38 years. 

"If China could why we could not," he said, adding "we could start with determination even if it will take time." 

According to Gautama oil reserves in 94 percent of primary oil fields are shrinking that explorations for secondary and tertiary layers are a must. EOR technology is one of efforts that could be used to increase the countrys oil output, although it would take up to three years to start production, he said. 

The country has set lower target of only 804,000 barrels of oil per day this year because of dwindling production form oil field and no new fields have been found, he said. 

"With EOR technology production could be increased by 5-10 percent," he added.

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