Indonesia Makes New Oil Find

Printer Friendly Version

Indonesia, the rapidly growing Asian economy that was once an OPEC member, announced significant discoveries of coal, natural gas and oil reserves on the island of Sumatra, news that could be a boon for the country's economic development, according to Indonesian officials.

The discoveries were made in the tiny village of Muaro Sekalo on Sumatra. Exact numbers of reserves were not disclosed because teams have yet to officially test the area. Officials highlighted the importance of finding credible and trusted investors and development teams to tap the natural resources, according to Indonesian press reports.

Indonesia joined OPEC in 1962, but withdrew from the cartel in 2008 when its economy began expanding at such a rapid pace that the country became a net oil importer. The country has said it would look to rejoin OPEC if it once again becomes a net exporter of crude.

Indonesia pumped 1.02 million barrels of oil per day last year, a 4.71% increase over 2009's production and 2011 output is expected to be on par with 2010's level.