2018, Exxon Mobil Working Kedung Keris Field

Exxon Mobil Cepu Limited (EMCL) will start work on Kedung Keris Field which entered Cepu Block area next year. The field is expected to produce oil of 10 thousand barrels per day (BPD).

Exxon Mobil Cepu Limited (EMCL) Field in Bojonegoro East Java

Vice President of Public and Government Affairs of Exxon Mobil Indonesia Erwin Maryoto said it had drilled a well in Kedung Keris Square, and there are no plans to add wells. Thus, it only builds the facilities needed to deliver this field oil production to a processing facility at Banyu Urip Field, Cepu Block.

"We are construction next year, construction of facilities including pipe and Wellpad," he said on the sidelines of Pertamina Energy Forum in Jakarta on Tuesday (12/12).

He said oil production from Kedung Keris Field would increase the production of Cepu Block as a whole. Currently, the block production is recorded at more than 200 thousand BPD. It will strive for the production amount to survive until 2019. At that time, Field Kedung Keris targeted has begun to produce oil.

"We hope later Kedung Keris add Banyu Urip production to be more than 210 thousand BPD, there is an addition of Kedung Keris 10 thousand BPD," said Erwin.

He had mentioned the investment project Kedung Keris is not too big, which is only about the US $ 100 million. However, he declared that Cepu Block production could not reach 300 thousand BPD using the existing facilities. The production target of 300,000 BPD as the Minister of Energy and Mineral Resources (MEMR) Jonant demands, can only be achieved if there are additional facilities.

"That (production 300 thousand BPD) should add facilities of all sorts, the investment will be even bigger," he said. Although, the oil reserves of Cepu Block have been larger than those mentioned in the plan of development (POD), which is 709 billion barrels.

Including Kedung Keris, there are two fields in Cepu Block that have produced oil, the other is Banyu Urip. There are currently 45 wells producing from three wells in Banyu Urip Field, Cepu Block. 

    In addition, the block also features a central processing facility, off-shore and offshore pipelines of 95 kilometers (km), as well as one tanker storage and loading and ship loading and unloading facilities in the Java Sea.

The Banyu Urip field is expected to generate 450 million barrels of oil during the project's operational life. In the last few decades, Banyu Urip Field is the largest oil project in Indonesia. 

    Currently, the composition of shares in Cepu Block is ExxonMobil Cepu Limited as the operator owns 45% shares, PT Pertamina EP Cepu 45%, and four Regional Owned Enterprises 10% The four BUMDs are PT Blora Patragas Hulu, PT Petrogas Jatim Utama Cendana, PT Asri Darma Sejahtera, and PT Sarana Patra Hulu Cepu.

Investor Daily, Page-9, Wednesday, Dec 13, 2017