Jakarta – The Special Task Force for Upstream Oil and Gas Activities (SKK Migas) recognizes that there are obstacles to land acquisition in the Masela Block Abadi Gas Field development project. Though the progress of land acquisition must be completed this year.
SKK Migas Head Dwi Soetjipto said that the land acquisition for the Masela Block uses state-owned land. Land with the status of a forest area has not yet received a permit for land acquisition from the residents.
Dwi said in the forest area there are those who claim to be customary land. The difference makes the land acquisition for oil and gas megaprojects faltered.
“The Maluku people say it is customary land, but according to the government based on data at the center it is state land, forestry land,” Dwi said met at the Ministry of Energy and Mineral Resources, Central Jakarta, Thursday, February 6, 2020.
Dwi said that his party would certainly find a solution to resolve the obstacle. He said he would speak with the Governor of Maluku to find a solution to these different views. Because land acquisition must be completed so that construction can be carried out as soon as possible.
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“Yes, there is already a talk plan. If it is not resolved, what is the target for land acquisition in 2020, we must fight,” Dwi said.
Furthermore, the Former President Director of Pertamina said that the land needed for the project with an investment of around USD 20 billion is above one thousand hectares.
The Abadi Gas Field Project will be worked on by Inpex Corporation (Inpex) through its subsidiary Inpex Masela Ltd which will form a joint venture with Shell Upstream Overseas. Inpex ownership rights in the THIS project are 65 percent, while Shell has 35 percent.
Upstream oil and gas development in Masela is expected to contribute an additional natural gas production of around 10.5 million tons (mtpa) per year (around 9.5 million tons of LNG per year and 150 million cubic feet or mmscfd of gas pipelines), with onstream targets in the pipeline 2027.