Indonesian government today, May 17, launched a licensing round for 21 oil and gas exploration blocks, in an effort to improve chances of increasing the production of oil and natural gas nationwide.
The authorities have classed 19 blocks as conventional and two as unconventional areas. Of the blocks offered, 17 are located in offshore areas, mainly in the eastern part of the archipelago.
According to Reuters, the blocks being offered are estimated to hold up to 3.1 billion barrels of oil and 57.6 trillion cubic feet of gas.
The bidding round is expected to start in mid-June.
According to the U.S. Energy Information Administration (EIA), Indonesia is a significant and well-established player in the international oil and gas industry, though production has failed to keep up with demand in recent years. EIA also says that aging infrastructure and fields suggest the country will struggle to meet production targets in the short term.