STATEMENT of HIZB-UT TAHRIR INDONESIA On THE MANAGEMENT OF MAHAKAM OIL & GAS BLOCK

NO : 234  30^th of October 2012/14 Dzulhijjah

 After going through lengthy and tough debates on the management of Mahakam Oil & Gas Block at the time when the contract of Total Indonesie will expire in 2017, it was reported that the Indonesian government finally made a decision that Mahakam Block will be managed by Pertamina with the sharing scheme of 70% goes to Pertamina while another 30 % goes to Inpex and Total. According to the government, the presence of the Non-Pertamina management is still needed because there are technical issues to be considered either during 5 years before the contract ends or during another 5 year of contract at the beginning of the transition period.

In fact, not only will the contract of Mahakam Oil & Gas Block be over, but also the contracts of  26 out of 72 oil and gas companies will expire in 2021, namely:

1. Expan Nusantara, Kampar Block, July 5, 2013

2. Expan Nusantara, South Sumatra Extension, July 5, 2013;

3. Chevron Pacific Indonesia, Siak, 28-Nov-13;

4. Intermega Sabaku, Salawati (A and D Salawati), January 9, 2015;

5. JOB Pertamina-Costa Intl Group, Gebang, 29-Nov-15;

6. ConocoPhillips Indonesia, Corridor, 7-Sep-16;

7. PetroChina, Kepala Burung, October 15, 2016;

8. Total E & P Indonesie, Mahakam, 30-Mar-17;

9. Chevron Indoneisa Company, Attaka, 31-Mar-17;

10. ExxonMobil Oil Indonesia, Block “B”, 1-Aug-17;

11. JOB Pertamina-PetroChina East Java, Tuban, 28-Feb-18.

12. JOB Pertamina-Talisman Ogan Komering, (Ogan Komering), 28-Feb-18;

13. PetroChina, Tuban, 28-Feb-18;

14. VICO Indonesia, Sanga-Sanga, 7-Aug-18:

15. CNOOC SES, South East Sumatra, 6-Sep-18;

16. Maxus South East Sumatra BV, South East Sumatra 6-Sep-18;

17. Mobil Exploration Indonesia, NSO and NSO Extension Block, 16-Sep-18;

18. ConocoPhillips Indonesia, South Natuna Sea Block “B”, 16-Oct-18;

19. Chevron Indonesia Company, West Sand, 25-Oct-18.

20. Operator (son Diski Kencana Petroleum), Major Block (Diski), 16Nov-18;

21. Intermega Sabaku Linda, (A, B, C / G and Sele), 1-May-19;

22. JOB Pertamina-Golden Spike Indonesia, Raja Block, July 6, 2019;

23. Kalrez Petroleum (Seram), Renewal-Bula Block, 31-Oct-19,

24. JOB Pertamina-PetroChina Salawati, Salawati 23-Apr-20;

25. Lapindo Brantas, Brantas, 23-Apr-20;

26. Kondur Petroleum SA, Malacca Strait Block, 4-Aug-20

In this regard, along with other Islamic organizations, Hizb ut-Tahrir Indonesia states :

1. Reject the plan or discourse to hand over the management of Mahakam Block with a scheme of 70% to Pertamina and the rest to Total Indonesie – Inpex. In the view of Islam, mining (oil and gas), which are abundant such as found in the Mahakam Block belong to public property or people property. The state must manage it fully 100%, not only 70%, so that the revenue  will be used for the welfare of the people. Continuing to provide 30% of the share to Total Indonesie or other private companies is clearly contrary to the principles of public ownership and management of natural resources for the purpose of welfare of the people. The rationale that Pertamina does not master the technology in mining technology is questionable. According to the Chairman of IAGI (Indonesian Association of Geologists), Rovicky Dwi Putrohari, Indonesia has capable human resources to manage oil and gas blocks everywhere. Financial excuse is, in fact, no longer an issue, because all of the facilities used to produce oil, belonging to the companies whose contracts have expired, have been paid off.
2. As mentioned above, not only will the  contract of Mahakam Block expire, but also those of all blocks also expire and should be returned to the state to be managed by the state-owned Pertamina. The fully 100% management by the state will affect to the welfare of the people and will also guarantee  the domestic production of oil and gas as a strategy to achieve energy security which is very much needed in the future.
3. Emphasize to all the people of Indonesia to be  together in the struggle for the enforcement of sharia and the khilafah because only with the application of total Islamic law under the shade  of  Khilafah will all natural resources of this country be completely managed by the state for the welfare of the people, and this country will be completely independent either ideologically, politically, economically or  militarily and to avoid the grips of imperialist countries as happens today. Insha Allah.

Hasbunallah wa ni’mal wakiil, ni’mal mawla wa ni’man nashiir.

Spokesman of Hizb-ut Tahrir Indonesia

Muhammad Ismail Yusanto

Hp: 0811119796 Email: Ismailyusanto@gmail.com