The government of the Indonesian province of Maluku is seeking a stake in the offshore Masela gas block owned by Inpex Corp. and PT Energi Mega Persada, the energy regulator said.
"The local government has the right to get involved in developing the project," BPMigas Chairman R. Priyono said in an interview in Jakarta today. "The province of Maluku has submitted a request to own a stake in Masela."
Indonesia, the largest natural gas supplier after Qatar and Malaysia, approved last week a development plan for a $4.9 billion floating liquefied natural gas plant in Masela with an annual capacity of 2.5 million metric tons, Evita Legowo, director general of oil and gas at the Energy Ministry, said on Dec. 13.
The local government should be offered a 10% stake in the gas block, Priyono said.
Inpex, which has a 90% stake in Masela, must allocate about 33% of the output from the LNG plant for the domestic market starting in 2016, BPMigas said in June. Energi Mega owns the rest.
Indonesia is trying to increase production and use of natural gas to make up for declining crude output, which led the country to leave the Organization of Petroleum Exporting Countries in 2008.
"The local government has the right to get involved in developing the project," BPMigas Chairman R. Priyono said in an interview in Jakarta today. "The province of Maluku has submitted a request to own a stake in Masela."
Indonesia, the largest natural gas supplier after Qatar and Malaysia, approved last week a development plan for a $4.9 billion floating liquefied natural gas plant in Masela with an annual capacity of 2.5 million metric tons, Evita Legowo, director general of oil and gas at the Energy Ministry, said on Dec. 13.
The local government should be offered a 10% stake in the gas block, Priyono said.
Inpex, which has a 90% stake in Masela, must allocate about 33% of the output from the LNG plant for the domestic market starting in 2016, BPMigas said in June. Energi Mega owns the rest.
Indonesia is trying to increase production and use of natural gas to make up for declining crude output, which led the country to leave the Organization of Petroleum Exporting Countries in 2008.
