Coordinating minister for investment and maritime affairs, Luhut Binsar Panjaitan said, PT Chevron Pacific Indonesia (CPI), unit of United States-based oil producer, Chevron Corp., (CVX.N) agreed to operate Rokan block until the contract end on August 2021.
As reported, Chevron rejected the government order to keep the production of Rokan block before the contract ended. But Chevron rejected the order, as the step was considered uneconomical.
After the contract ends, the giant block in Riau province, will be taken over by state-owned energy producer, PT Pertamina. The CEO, Nicke Widyawati has urged Chevron to involve her companies in the transition period to maintained the wheels’ production capacity.