JAKARTA (TheInsiderStories) - The Indonesia government plans to issue a ministerial decree on the construction of mini refineries development that will stipulate the price formulation, security of supply and incentives, said the Energy and Mineral Resources Minister Sudirman Said.
The mini refineries will be built near the mouth of the well of marginal fields to lower production cost. There will be eight of mini refinery clusters located in North Sumatra, Selat Panjang Malacca, Riau, Jambi, South Sumatra, cluster VI South Kalimantan, North Kalimantan and Maluku.
The production sharing contract contractors have managed marginal fields with relatively low production yield to transport crude oil to floating storage and far away from the marginal fields. (*)