Natural Gas Business in Indonesia

1724 words 7 pages
Show More
3Natural Gas Business in Indonesia

Introduction

Gas is an energy future of Indonesia. It is a fact that cannot be denied anymore. Based on existing data, throughout 2010 there were new discoveries of gas reserves are significant enough to achieve 2.09 trillion cubic feet, while the discovery of oil only amounted to 140 million barrels only. On January 1, 2011, proved reserves position and potential of gas in Indonesia reached 153.72 trillion cubic feet of proven and potential reserves and crude oil for 7.41 billion Barrels. (BPMIGAS Bulletin Issue, 2011)

If the reserves are produced with current production levels then the Indonesia's oil reserves will run out for 12 years, while Indonesia's natural gas reserves are still able to survive …show more content…

Increased production of oil and gas
2. Fertilizer Industry
3. Electricity Supply
4. Local Region Government Evaluation
Not Approve
Approval Procedures
Evaluation & Approval from IP
Evaluation of Purpose & Proposal
OK
Purpose & Proposal
Direct Appointment
Purpose and Proposal Direct Appointment Revision procedures for other buyers selection

Approval of Purpose & Proposal
Direct Appointment Preparation and discussion of SAA
MoU, MoA, HoA, GSA Approval
Application for Price Approval to Minister
Approval and SAA Signed
MoU, MoA, HoA, GSA Preparation
MoU, MoA, HoA, GSA Signed
Direct Appointment Buyer
BPMIGAS
KKKS
BUYER
BPMIGAS
KKKS
BUYER
1
2
3
4
5
6
7
8
9
10
11
12
13
14
15
16

Figure 6. BPMIGAS Natural Gas Direct Appointment Procedure (PTK No. 029/PTK/VII/2009)
Guidelines for Working Procedure No. 029/PTK/VII/2009 BPMIGAS are reinforced by the issuance of Ministerial Regulation No. 3 of 2010 regarding the allocation and utilization of natural gas to meet domestic needs. Determination of Allocation Policies and Utilization of Natural Gas Utilization implemented with priority for Natural Gas (Peraturan Menteri ESDM No 3, 2010):
a. increased production of the National Oil and Gas;
b. fertilizer industry;
c. electricity supply;
d. other industries.

In the period after the issuance of Working Procedure No. 029/PTK/VII/2009 BPMIGAS, many

Related

  • Inflation and Indonesia
    3618 words | 15 pages

    PESTEL analysis of Indonesia | October 3 2009 | SUBMITTED TO: MR. SUNDERASAN SUBMITTED BY: Hitesh GoyalNirupan ChakravarthiSainath.V MBA 12 and PGPRM-9 | | Introduction: Indonesia is one of the largest countries in South-east Asia, between the Indian Ocean and the Pacific Ocean which contain mainly mountainous and covered with rain forests, swamps and consists over 13000 islands. Jakarta is the capital of Indonesia. Indonesia declared its independence on 17th August 1945 from Japan but Netherlands….

    Show More
  • Using the Cultural Dimensions Explored in Module 1, Discuss Some of the Ways in Which Australian and New Zealand Citizens Are Members of Cultures or Clusters That Are Different from the Clusters in Indonesia (About 800
    4394 words | 18 pages

    Using the cultural dimensions explored in Module 1, discuss some of the ways in which Australian and New Zealand citizens are members of cultures or clusters that are different from the clusters In Indonesia (about 800 words). Insert the bar chart that you created in the research activity as an Appendix , but use the descriptions of differences between the countries in the text. Hofstede (2005) describes the five dimensions of basic cultural values as follows: • Expectations regarding equality among….

    Show More
  • Ethics and Corporate Social Responsibility in Driving Organizational Success for Multinational Companies in Oil/Mining Industry
    4566 words | 19 pages

    ROYAL MELBOURNE INSTITUTE OF TECHNOLOGY GRADUATE SCHOOL OF BUSINESS AND LAW ETHICS AND CORPORATE SOCIAL RESPONSIBILITY IN DRIVING ORGANIZATIONAL SUCCESS FOR MULTINATIONAL COMPANIES IN OIL/MINING INDUSTRY Submitted in partial fulfillment of the degrees Masters in Business Administration Lecturer: Eileen O'Leary 2010 By: Albertus Rendy Buntaran (S3264165) Executive Summary This paper provides a broad definition of ethical behavior and Corporate Social Responsibility (CSR) in the competitive….

    Show More
  • Methanex Case Study
    20419 words | 82 pages

    Bachelor in Business Administration, Simon Fraser University, 2000 PROJECT SUBMITTED IN PARTIAL FULFILLMENT OF THE REQUIREMENTS FOR THE DEGREE OF MASTER OF BUSINESS ADMINISTRATION In the Faculty of Business Administration © Gabriel Wong, 2010 SIMON FRASER UNIVERSITY Summer 2010 All rights reserved. This work may not be reproduced in whole or in part, by photocopy or other means, without permission of the author. APPROVAL Name: Gabriel Wong Degree: Master of Business Administration….

    Show More
  • Zara
    14841 words | 60 pages

    STRATEGIC MANAGEMENT PAPER ZARA Created By: Anggita Sulisetiasih 1006718706 Kenji Wibawa Junardy 1006718990 Patricia M. A. Adam 1006805694 International Undergraduate Program Faculty of Economics University of Indonesia Depok 2013 TABLE OF CONTENTS Chapter 1 4 INTRODUCTION 4 1.1. Company Background 4 1.2. Vision and Mission 4 1.3. Long-term Objectives 5 Chapter 2 6 VISION – MISSION ANALYSIS 6 2.1. Importance (Benefits) of Vision and Mission Statements 6….

    Show More
  • Bp 7s Analysis
    10009 words | 41 pages

    BP plc[3][4] (LSE: BP, NYSE: BP) is a British multinational oil and gas company headquartered in London, United Kingdom. It is the third-largest energy company and fourth-largest company in the world measured by 2011 revenues and is one of the six oil and gas "supermajors".[5][6] It is vertically integrated and operates in all areas of the oil and gas industry, including exploration and production,refining, distribution and marketing, petrochemicals, power generation and trading. It also has renewable….

    Show More
  • Emerging Market Essay Malaysia
    1484 words | 6 pages

    the U.S. dollar by January 1998. There was a heavy outflow of foreign capital. To counter the crisis the International Monetary Fund (IMF) recommended austerity changes to fiscal and monetary policies. Some countries (Thailand, South Korea, and Indonesia) reluctantly adopted these. The Malaysian government refused and implemented independent measures; the ringgit became non-convertible externally and was pegged at RM 3.80 to the US dollar, while foreign capital repatriated before staying at least….

    Show More
  • Comparative Analysis of Toyota and Gm
    5161 words | 21 pages

    General Motors and Toyota Comparative Organization Analysis Organizational Theory Week 3 May 2013 Table of Contents Introduction 3 Organizations and Industry Context 3 Firm Structures 6 Strengths, Weaknesses, Opportunities and Threats 9 Insights from the Structural Frame 14 Conclusion 15 Illustrations 18 Works Cited 21 Introduction General Motors (GM) and Toyota are both well-known companies in the automotive industry. They offer quality products to their….

    Show More
  • Coca-Cola Analysis
    2482 words | 10 pages

    This is an essay to discuss the economics phenomenon with a particular product in the beverage area. Trying to analyze the relationships among the price, demand and supply and other factors in the beverage industry, such as substitute and complement products, market competitors and input prices or costs, etc. Introduction Coke refers to Coca-cola which is a dominant product of the Coca-Cola Company. There are six parts in this essay to display the market structure, factors affecting price, demand….

    Show More
  • Development and Globalisation
    7711 words | 31 pages

    Development and Globalisation Development A process of social and economic advancement in terms of the quality of human life. Development can involve can involve economic, demographic, social political and cultural changes. Development is a term that can be used in many different contexts whether it is social, economical, political etc. However generally development refers to an improvement in certain areas: • Economic o An increase in the country’s economy with….

    Show More

Popular Essays