Tuesday, 28 May 2019 09:06

Investment of 20 Billion US Dollars, Government and Inpex Agree to Share 50% of Masela's Development

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Minister Ignasius Jonan led the Indonesian Government delegation at a meeting with the CEO of Inpex Corporation, in Tokyo, Japan, Monday (27/5). (Photo: Public Relations of the Ministry of Energy and Mineral Resources) Minister Ignasius Jonan led the Indonesian Government delegation at a meeting with the CEO of Inpex Corporation, in Tokyo, Japan, Monday (27/5). (Photo: Public Relations of the Ministry of Energy and Mineral Resources) kemenesdm

The Indonesian government and Inpex Corporation have reached an agreement in the development of the giant gas field in the Masela Block in the Arafuru Sea, Maluku. The investment value of the Masela Block development will reach around 20 billion US dollars.

"Both parties succeeded in achieving a win-win solution with a revenue-sharing scheme, where the government received at least 50 percent," Energy and Mineral Resources (ESDM) Minister Ignasius Jonan said after meeting with CEO of Inpex Corporation Takayuki Ueda in Tokyo, Japan, Monday ( 27/5).

The historic final agreement was marked by the signing of the Minute of Meeting by Head of SKK Migas Dwi Soetjipto and CEO of Inpex Corporation Takayuki Ueda, witnessed by ESDM Minister Ignasius Jonan.

"Finally INPEX and SKK Migas agreed on the main points of the development of the Masela block this afternoon in Tokyo. The discussion has been going on for 18 years. The investment value is between 18-20 billion US dollars with fair distribution for the Republic of Indonesia and contractors. I was touched, "said Jonan.

The signing of the agreement between the Government of Indonesia and Inpex Corporation, according to the Minister of Energy and Mineral Resources, is planned to be held at the G20 countries meeting in Japan in the near future.

Thus the discussion of the Masela Block which has lasted more than 20 years has found an end point, which will have a positive impact on improving the national investment climate and the development of the eastern region of Indonesia.

This meeting is a follow-up meeting of Jonan's meeting with Ueda on May 16 in Tokyo. At a meeting on May 16, the Masela Block's Final Plan of Development (PoD) framework was agreed upon in the Arafuru Sea, Maluku. While at today's meeting discussed the detailed negotiations of the framework, so that an agreement between the Indonesian government and the Japanese Inpex Corporation could be signed immediately.

In this meeting, Jonan was accompanied by the Indonesian Ambassador to Japan Arifin Tasrif, Head of SKK Migas Dwi Soetjipto, Deputy Head of SKK Migas Sukandar, and SKK Migas Planning Deputy Jafee Suardin. (kemenesdm)

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