AFX Europe (Focus): Indonesia urges Unocal to proceed with Ambalat oil block exploration – report: “The government is asking Unocal Indonesia Ventures Ltd to proceed with exploration activities in the Ambalat oil and gas block although the area is under territorial dispute with Malaysia”: “Tension emerged between Indonesia and Malaysia after the latter's state oil company Petronas granted energy giant Shell a concession in the Ambalat area on February 16.” (ShellNews.net) 7 March 05
JAKARTA (AFX) - The government is asking Unocal Indonesia Ventures Ltd to proceed with exploration activities in the Ambalat oil and gas block although the area is under territorial dispute with Malaysia, Koran Tempo reported, quoting a government official.
"Our target for exploration this year remains, it hasn't changed," Tempo quoted Novian Thayib, the Director for Mineral Exploration at the Ministry of Energi and Mineral Resources as saying.
Thayib said the government wants exploration activity in the Ambalat block to start immediately.
The government awarded the Ambalat block to Italian oil firm Eni Ambalat Ltd in 1999 and the East Ambalat Block to Unocal Indonesia last year, Tempo said.
It said both companies operate the blocks under production sharing contracts, in which the government's revenue share is 75 pct.
Tension emerged between Indonesia and Malaysia after the latter's state oil company Petronas granted energy giant Shell a concession in the Ambalat area on February 16.
Jakarta claims the Ambalat area as part of its territorial waters and said the concession granted by Malaysia overlaps with those granted to Eni and Unocal.
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