Coastal Plains chopping board

The Indonesian government has reached what it insists will be its final decision on the future of the Coastal Plains Pekanbaru (CPP) block. It says the local Riau administation, which wanted a bigger slice of the action, will only get a 10% stake when operator Caltex's production sharing contract expires this summer.

Indonesian national oil and gas company Pertamina will get 90% in the joint venture company that will operate the block onshore Sumatra. Its minority partner will be the Riau administration.

The provincial government had previously demanded a 70% majority stake in the PSC, a plea most expected to fall on deaf ears given the authority's lack of operational skills and finances.

Oil

Weekly

Coastal Plains chopping board