However, according to BP Migas head Rachmat Sudibyo, "The government expects oil production to improve next year on the back of a better investment climate in the oil and gas industry."

Sudibyo admitted, "The country's oil production had indeed been declining in recent years due to natural depletion at oil wells and a lack of new investment. However, recent new oil discoveries [will] improve declining oil production."

"We have many new discoveries that have not been developed. It would need at least three years to develop them as far as initial production. But by next year, we expect production to improve," added Sudibyo.

Sudibyo was confident that, despite the country's less than triumphant performances in the sector since the financial crash of 1997, things were going to be better in 2004. "The government [is] targeting oil production to reach 1.15 million bpd this year," said Sudibyo.