REPUBLIKA.CO.ID, JAKARTA - Johannes Widjonarko expressed optimism that Upstream Oil and Gas Business Activities (SKK Migas) will achieve the oil lifting target set in the revised 2014 state budget at 818 thousand barrels per day.
"Although some constraints exist, we are confident that the target will be achieved," Widjonarko, the head of SKK Migas, said recently.
The constraints include oil production disturbance in the January-March 2014 period and the decline in the production capacity of a number of wells such as that in the Cepu oil Block.
"Of late, production has been about 800 thousand barrels per day (bpd), but could still increase owing to production fluctuation," Widjonarko noted.
It is a heavy burden to meet the target, as oil lifting in the first semester of 2014 was only 788 thousand bpd, or below the target set in the revised 2014 state budget. In the meantime, Governor of Riau Province Annas Maamun had revealed on Monday that a new oil reserve, presumably the largest in Riau, was discovered in Rokan Hilir District by PT Chevron Pacific Indonesia.
Rokan Hilir District would become the richest in the nation if the source was confirmed, he stated, adding that the revenues from the oil reserve would aid to reduce poverty in the region. It was the obligation of the administration and the government to help in overcoming poverty in the region, he stressed.
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