Most companies now operating in Indonesia do so under the terms of a Production Sharing Contract (PSC). A contractor may be obliged to offer a 10% participating contract interest to a regional government owned company, following development approval of the first field in the contract area. In addition, since May 2008, Pertamina EP has the option to take up to 15% equity in a newly signed contract. First Tranche Petroleum (FTP), similar to a traditional royalty, has been shared between the...
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Volatility in oil markets has led players in the upstream oil and gas industry to focus on reducing capital spend and operating costs. At the same time, governments need to review fiscal terms to maintain attractiveness and investment.
This country report gives an overview of the key fiscal issues for this country. If you’re interested in identifying and assessing upstream investment and expansion opportunities, this upstream fiscal summary report is your definitive commercial guide.
Potential investors, governments and companies in the oil and gas sector can use it to gain a better understanding of the critical issues for development opportunities in this country.
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Country report | Jun 2016
Indonesia upstream fiscal summary
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