RI no longer net oil importer in 2008 : expert

Jakarta (Antara News) - Economic Coordinating Ministry senior adviser M Ikhsan predicted that Indonesia would no longer be a net oil importer in 2008 because of increased oil production capacity and economization of domestic fuel oil.

"Possibly 2008 will be the last year for Indonesia to be a net oil importer. Whatever will happen in 2008, there will be an increase in our oil and gas production," he said at a seminar on national growth amid global world oil price fluctuations in Jakarta on Thursday.

So far Indonesia was in the category of net oil importers whereas the total value of its oil imports was higher the value of its oil exports.

According to him, a change could happen in Indonesia`s status as oil production in the Cepu Block would reach at least 30 of capacity in 2009 and 100 percent in 2010.

In addition, according to him fuel oil consumption would sharply decline in 2009 on account of the operation of gas-fired and thermal power plants.

He also said the kerosene-to-gas conversion program would become effective in 2009 and be completed in 2010 while supply of gas would also increase as Tangguh gas fields would start producing with partial capacity in 2008 and with full capacity in 2009.(*)
Jawawa.net: Indonesian Business and Investment News Aggregator