JAKARTA (Commodity Online) : Indonesia on Wednesday set its oil output in 2014 at 1.2 million barrels per day, up 25 percent from 960,000 barrels per day in 2009.

In a report issued here by Indonesia’s energy ministry said the target was higher than the actual oil production under the strategic plan of the ministry of energy and mineral resources reaching 1.01 million barrels per day in 2014.



While natural gas production in 2014 had been projected at 1.633 billion barrels of oil equivalent per day.

The action plan which had been prepared to reach the projected oil and gas output, is optimizing the production fields by applying the secondary and tertiary restoration technology, producing new fields, and the exploitation of old wells and martinel fields.

The other five-year program is the total abolition of oil subsidy in December 2014 by way of conversing kerosene to LPG by 77.77 percent, and the use of biodiesel to the extent of 8 percent and bioethanol by five percent4.

Not later than in October 2014, the government guaranteed the availability of petrochemical, textile and fertilizer raw materials and increase in the capacity of the existing and new refineries and the building of an LNG terminal.

The South East Asian nation also projected in 2014 to secure gas supplies as raw material for industries, transportation, and power plants in Java and Sumatra, by developing a gas infrastructure master plan, and the issuance of a decree of the minister of energy and mineral resources on gas allocation by the end of July 2010.

In the next five years, the earnings from oil and gas had been projected to total Rp859.03 trillion, and investment in oil and gas $88.021 billion.

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