(LIVE TRADING NEWS) Because of Kalimantan’s abundant resources and unique geographic features, the nation’s Master Plan has designated it as a Center for Production and Processing of National Mining and Energy Reserves.
To date Oil & Gas and Mining contribute about 50% of the total GDP; but a decline in annual total production in the Oil & Gas sector means there is some pressure on the other sectors to continue driving economic development. These other sectors include Coal, Palm Oil, Steel, Bauxite and Timber.
Indonesia has a growing demand for Crude Oil and is dependent on imports.
The Master Plan proposes to counter this trend by promoting exploration of new Oil and Gas fields, especially in the Kalimantan Economic Corridor, an area known to have large reserves. The region is, however, an important producer of liquefied natural gas (LNG), contributing 37% to Indonesia’s overall production.