Head Of Agreement Chevron

Arifin added that he would continuously monitor implementation to ensure that all parties would stick to the agreement, particularly the implementation of drilling activities that will begin in November 2020. Former CEO of PT Semen Indonesia Tbk and Pertamina said that in the agreement, Chevron had obtained clarification on investment returns. The government hopes that with this investment, Rokan block production will continue. “This is a win-win agreement, as it allows and supports continued drilling investments at the end of the Rokan PSC in order to cope with declining production and provide a solution for this generation of production sharing contracts (PSCs) where the CSP remains at the abandonment and site reserve funds (ASR), ” said Dwi Soetjipto , director of SKK Migas. Agreement with SKK Migas allows for continued drilling and continued production prior to delivery to Pertamina in 2021 “The commitment of PT CPI and SKK Migas and other parties involved in the implementation of the provisions of the agreement is able to achieve what was agreed when determining production targets and government revenues , as agreed upon when the APBN 2021 state budget macro-assumptions were determined by mutual agreement. Arifin said in his speech. “The withdrawal agreement also eliminates uncertainty for Pertamina and allows Chevron to make a net exit when the operator is transferred. However, Chevron and PTTEP have not yet reached a similar agreement on the impending transition of the Erawan bloc in Thailand,” he added. The head of SKK Migas, Dwi Soetjipto, said the signing was assured of the continuation of Chevron`s investment in the block until management is transferred to the state-owned energy company PT Pertamina in August 2021. Previously, the U.S. company had prepared $152 million for the development of the project. “Today`s agreement is the result of a strong and cooperative partnership with the Indonesian government and ensures that this strategic bloc will continue to play a central role in Indonesia`s energy sovereignty in the years to come.” The NOC hopes that the agreement with Chevron in Rokan will contribute to a smooth transition to Pertamina by providing the mechanism for further drilling prior to remission.