JAKARTA: Indonesia said on Friday it will allocate Total and Japan's Inpex a 30 percent stake in the offshore Mahakam oil and gas block once the French major's operating rights to Indonesia's top gas field expire in December 2017.
The decision resolves a more than seven-year tussle over the future of the block, and follows nationalistic calls for it to be handed over entirely to Indonesia's state-owned enegy giant
Pertamina.
"We want to show our appreciation to the (current) contractors that have shown their commitment to invest," Energy and Mineral Resources Minister Sudirman Said told reporters. The division of the 30 percent stake between Inpex and Total was still subject to discussion, he added.
Spokesmen for Total and Inpex did not answer phone calls or respond to written requests for comment.
Indonesia is one of the world's top five liquefied natural gas (LNG) exporters, but has started to consume more of its output to feed growing local demand.
The Indonesian government said in February it would hand 100 percent of the block to Pertamina, while Total had previously proposed a five-year transition period and warned of a decline
in production.
Mahakam is one of numerous Indonesia oil and gas contracts due to expire under uncertain terms.
Said said President Joko Widodo's administration had now made decisions on the future of five expiring contracts since taking office last October as it works to clear a backlog that has frustrated foreign companies.
Pertamina will operate the Mahakam block from January 2018 and will share a 70 percent participating interest with a regional government-owned enterprise, Said said, noting that this stake would not exceed 10 percent.
"Pertamina must truly be able to act as an operator controlling a majority participating interest," he said.
Pertamina CEO Dwi Soetjipto said he expected the firm to invest $2.5 billion a year on Mahakam once it becomes operator.
Total has said it expects output from Mahakam of 1.4 billion cubic feet per day (bcfd) in 2016, down around 12.5 percent from its targetted 1.6 bcfd this year. Total's spending is also expected to drop by at least 35 percent to below $1.5 billion in 2016 from a targetted $2.3 billion this year.
Total has held a 50 percent operating interest in the Mahakam block since 1970, when it took over as operator from Inpex, which had operated the block independently since 1966 and holds the other 50 percent.
Total, Inpex to share 30% stake in Indonesia’s Mahakam gas block
Total, Inpex to share 30% stake in Indonesia’s Mahakam gas block
PwC Middle East and Sirar by stc’s CISO500 program advances cyber leadership
The fifth edition of the CISO500 program ran from Feb. 8-12. Delivered in partnership between PwC Middle East and Sirar by stc, the program featured five intensive days of rich discussions and hands-on practical experiences, aimed at strengthening leadership capabilities in cybersecurity and keeping pace with rapid technological transformation.
The program is designed to develop the capabilities of executive cybersecurity leaders and enhance their strategic role in supporting organizations’ digital transformation. It equips participants to address contemporary challenges in the cyber landscape and expand their influence within decision-making ecosystems.
Yasser Al-Swailem, CEO of Sirar by stc, said that the program represents an important step toward strengthening the readiness of cyber leaders in the region. He noted that the CISO500 program is a fundamental pillar in the journey toward building a secure and trusted Saudi cyberspace aligned with national ambitions. He added that investing in national cybersecurity leadership is no longer optional but a strategic necessity for ensuring sustainable digital development. The program reflects a commitment to empowering national talent to lead the digital security landscape according to the highest global standards.
He further emphasized that such initiatives contribute to strengthening digital security ecosystems and enabling organizations to confidently and sustainably address future challenges.
Samer Omar, cybersecurity and digital trust leader at PwC Middle East, added: “CISO500 is a long-term investment in Saudi leadership. Over the past year, we’ve seen how bringing together senior Saudi cybersecurity professionals in a structured executive environment accelerates capability, builds confidence and deepens collaboration. As the program enters its second year, our focus remains on equipping Saudi CISOs with the strategic perspective and technical depth required to secure the Kingdom’s digital ambitions.”
The program addressed a range of advanced topics, including common cyber transformation pitfalls, mechanisms for securing enterprise digital transformation, and cybersecurity budgeting and financial governance. These topics enhanced leaders’ ability to translate cyber risks and security investments into financial indicators that support executive decision-making.
It also covered the latest technological developments, particularly artificial intelligence, emerging technologies, quantum computing, and the protection of critical and operational infrastructure. Emphasis was placed on the importance of security governance for AI technologies and strengthening enterprise-wide risk management perspectives associated with them.
The program adopted an interactive learning methodology combining strategic discussions, collaborative work, and creative practical exercises, contributing to a deeper understanding of concepts and enabling their translation into applicable organizational practices.
Abdullah Al-Asmari, global cybersecurity director at the Saudi Research and Media Group and one of the program participants, said that the experience added significant strategic and practical value: “The program provided a rich experience that strengthened the leadership perspective of cybersecurity, particularly in linking technical practices with strategic and financial dimensions within the organization. It also offered valuable space for exchanging expertise on emerging technologies such as AI and quantum computing, and the challenges of securing critical infrastructure. This experience enhances cyber leaders’ ability to adopt a more influential role in supporting digital transformation and enabling decision-making based on a comprehensive understanding of risk and value.”
He added that the program facilitated the exchange of insights on emerging challenges and strengthened the ability to align cybersecurity with institutional objectives and executive decision requirements.
Participants said that the program constituted a valuable professional and knowledge-driven experience that enhanced the readiness of cyber leaders to keep pace with rapid digital transformation, reinforcing cybersecurity’s role as a strategic enabler that supports innovation while preserving business trust, reliability, and sustainability.
