ExxonMobil Indonesia Inc. apparently giving up hope to keep control of the Natuna D-Alpha gas block, said it wants to take part in a multi-billion venture of developing the block as partner of state oil and gas company PT Pertamina.
ExxonMobil was once awarded the job but the US oil giant failed to carry out its contract, until the government finally decided to give the project to Pertamina.
ExxonMobil protested the decision saying its contract had not yet expired when the government announced its decision last year.
On Wednesday, company spokesman Maman Budiman said. ExxonMobil has an advantage over other oil companies in developing one of the world’s largest gas blocks.
“We know better the characteristics of Natuna D-Alpha. We know the technology to be used,” Maman told the newspaper Investor Daily.
Royal Dutch Shell Plc has been said strong favourite to be picked up by Pertamina as one of the partners in the project that requires high technology and huge investment.
Pertamina has said it would team with more than one investors in the project.
Shell, however, said it wants to become senior partner with 30%-60% stake in compensation for high level technology it will used in the project and to be transferred to Pertamina.
A number of other world class contractors including PetroChina International, StatOil, Eni SpA have indicated interest in the expensive venture.
Pertamina needs strategic partner to develop the reserve as it will need large investment of around US$50 billion and high technology to process the gas known to have high carbon dioxide content of 70%.