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Two Upstream Oil and Gas Projects Will Soon Onstream

    The Special Task Force for Upstream Oil and Gas Business Activities or SKK Migas stated that two projects will start producing in March and April 2021.

    Deputy for Operations of SKK Migas Julius Wiratno said that at the end of March 2021 there would be additional projects to complement domestic crude oil production and the Belato field.

Blogger Agus Purnomo In SKK Migas

    The project is being carried out by the cooperation contract contractor Belida Sele Raya Merangin Dua in Jambi, South Sumatra.

“One well added and a simple tie-in with a flowline. The production is around 500-800 barrels of oil per day, ”he said.

    He emphasized that there are projects that will increase domestic production very large. At the end of April 2021, SKK Migas targets the East Sepinggan Merakes project to be onstream. The project operated by Eni East Sepinggan ltd. It is targeted to increase domestic gas production by around 350 MMscfd-400 MMscfd. The project started in 2019 with an investment of US $ 1.3 billion.


    The project was delayed last year due to the Covid-19 pandemic. The main obstacle to working on the project was restrictions on the movement of goods and human resources. Later, the gas produced from the Merakes field will be flowed to the Bontang LNG refinery to fulfill existing market commitments.

the Merakes field

    Throughout 2021, SKK Migas targets as many as 12 upstream oil and gas projects to operate. That number is an increase of one project compared to last year's target of 11 projects.

"The project value is the US $ 354 million and the potential for additional oil production is 27,000 barrels of oil per day and gas 492 MMscfd," said Julius.

    PT Perusahaan Gas Negara Tbk. (PGN) will build a pipeline interconnection connecting the South Sumatra West Java transmission pipeline with a length of 1,000 km to the West Java Area transmission pipeline with a length of 525 km.

    PGN's Director of Infrastructure and Technology Redy Ferryanto said that through the integration of the transmission pipe, gas from the Sumbagtengsel gas field in the SSJW I-Bojonegara-Cikande-Bitung pipeline will be connected to Bitung Station on a WJA pipe with a pipe size of 24 inches.

    Work on the interconnection of the 1.4 km pipeline will start in March 2021 and is targeted to be completed in the fourth quarter of 2021.

"Bitung Station will supply gas from SSWJ with a maximum capacity of approximately 165 BBtud for the gas needs of Pupuk Kujang Cikampek [PKC] and the Balongan Refinery Unit, as well as a source of supply to anticipate the natural decline in gas supply in the western Java production field," he said.

 Bisnis Indonesia, Page-4, Friday,  March 19, 2021


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