Indonesia’s state-run oil and gas company, Pertamina, has allocated $190 million to explore and develop the Mahakam Block in East Kalimantan, Indonesia’s Antara news agency has reported.
Pertamina subsidiary PT Pertamina Hulu Mahakam (PHM) will operate the block and maintain production at the gas field.
French supermajor Total’s contract for Mahakam ends on 31 December 2017 after 50 years of operating the field. Total holds a 50% "participation right" while the remaining 50% is owned by Inpex.
Total expects Mahakam’s output to fall by more than 80 thousand...