Indonesia, May 14 (The Energy Circle) - Indonesia has embarked on a significant initiative marking a pivotal moment in its oil and gas sector with the launch of its inaugural auction on May 14. This event opens access to five highly sought-after blocks, showcasing Indonesia’s commitment to revitalising exploration activities.

Energy Minister Arifin Tasrif emphasised the strategic shift towards exploiting Indonesia’s extensive untapped reserves, noting that out of 128 hydrocarbon basins, 68 remain unexplored, offering substantial prospects for future ventures.

Key among the offerings are the Pesut Mahakam onshore block in East Kalimantan, boasting an estimated gas reserve of 1.1 trillion cubic feet, and the Central Andaman exploration blocks, anticipated to yield 100 million barrels of oil and 500 billion cubic feet of gas. Additionally, the Melati block in Sulawesi, encompassing both onshore and offshore fields, is set to offer vast resources, including 4.7 trillion cubic feet of gas and 850 million barrels of oil.

The government has outlined plans to unveil up to ten new blocks in 2024, with potential gas blocks in the northern Sumatra region earmarked for inclusion. The momentum was further bolstered on Tuesday with the signing of a production-sharing contract with Malaysia's Petronas for the Bobara block off West Papua and the amendment of a contract for the Ketapang block off Java, collectively attracting investments totaling approximately $97 million. As Indonesia charts a course towards revitalising its energy landscape, the inaugural auction is a great opportunity, propelling the nation towards a promising future in the oil and gas arena.