Pertamina awaits disbursement of incentives

PT Pertamina (Persero) is waiting for the government to provide incentives in managing the three terminated oil and gas blocks, while making savings to further improve the economics of the project.

Pertamina Upstream Director Dharmawan H. Samsu said there were two ways that could be done to improve the economics of the project. First, from Pertamina's body by reducing the economic constraints of the project through efficiency. Second, get incentives from the government. Efficiency that can be done by Pertamina is through rigless.

the Mahakam Block

Rigless or drilling without rigs is nothing new at Pertamina. Rigless is done during well completion, aka preparation or refining of wells to be produced as well as when cleaning wells from sedimentation or scaling. Massive rigless activities are carried out in the Mahakam Block and the Sanga Sanga Block.

 the Sanga Sanga Block

Currently it also proposes incentives to the government in managing three termination block working areas, including the Mahakam Block managed by Pertamina Hulu Mahakam (PHM) and the Sanga Sanga Block by Pertamina Hulu Sanga Sanga (PHSS).

the East Kalimantan-Attaka Block

The third working area is the East Kalimantan-Attaka Block, which is managed by Pertamina Hulu East Kalimantan (PHKT). Submission of incentives in the East Kalimantan-Attaka Block has not been made because it is still in the evaluation stage of the submission proposal. 

   In the three blocks, Pertamina carries out field development (OPLL) operations to increase oil and gas production. Moreover, the three oil and gas blocks have a very old production age.

Total E&P Indonesia

For example, the Mahakam Block has more than 40 years of age. Previously, the Mahakam Block was managed by Total E&P Indonesia. At present, the Mahakam Block has been managed by Pertamina Hulu Migas (PHM) by being able to maintain production of 740 MMscfd (million metric standard cubic feet per day) of 120 wells since September 2019. 

Previously, the block's production was below the realized figure. According to him, the increase in production was obtained from drilling new wells and the production from the reservoir obtained was greater than projected.

In an effort to maintain this production, PHM has proposed drilling 257 new wells with a potential resource of 279 billion cubic feet / Bcf and 9 million barrels of oil / MMBO.

INCENTIVE FORM

Even though the well drilling has been approved by SKK Migas, Pertamina still gets incentives to improve the economics of the project. These incentives can be in the form of additional revenue sharing from the government or leasing relief for state assets. From the company side, Pertamina will also reduce the limits to the economy. 

Meanwhile, Pertamina is also targeting to drill exploratory wells in the Mahakam Block in the Third Quarter / 2020 or around July 2020. Drilling is carried out in Tunu Field and South Peciko.

"There is such a thing as a commercial breakthrough. Look, for example, Pertamina feels that this is not economical. Come to the government, this can be economical if given this kind of incentive. The government will fair, this can not be per project, "he said.

Pertamina also proposed an incentive to drill 755 new wells in the Sanga Sanga Block. Until now, the government has not yet issued approval for drilling in 755 wells. Pertamina is targeting to drill 755 wells in the Sanga Sanga Block this year.

"It has been proposed [incentives to the government] if I'm not mistaken 2 weeks ago," he said.

According to him, Pertamina will also propose drilling new wells in the East Kalimantan-Attaka Block. At present, Pertamina is still evaluating the proposal to drill a new well in the block.

"We want to do it intensively and aggressively for all termination blocks, including ONWJ [Offshore North West Java]," he said.

Dharmawan explained that the three blocks were prioritized first because they had enormous oil and gas potential. Pertamina sought to continue to extend the life of the fields in the three blocks. Pertamina Hulu Mahakam General Manager John Anis said that his party would continue to do so saving one of them by reducing the cost of drilling wells. One of them is rigless because it is able to reduce material prices while speeding up the processing time.

Previously, the Special Task Force (SKK) for Upstream Oil and Gas Business Activities (Oil and Gas) claimed to be boosting the development of a number of oil and gas fields in three blocks in 2020, following the Mahakam Block whose proposal had been approved. The field development is to boost the production of lifting 1 million barrels per day (BPH) in 2030 and lifting natural gas by 12,000 MMscfd.

the Merakes Field

SKK Migas Head Dwi Soetjipto said field development was boosted in three working areas namely the Sanga Sanga Block in East Kalimantan, the Sakakemang Block in Musi Banyuasin, South Sumatra, and the Merakes Field in the East Sepinggan Block, South Sumatra. 

Fahmy Radhi

UGM Energy Economist Fahmy Radhi said the flexibility provided by the government through the Ministry of Energy and Mineral Resources regarding production sharing contracts will encourage the development of oil and gas fields.

IN INDONESIA

Pertamina Tunggu Kucuran Insentif

PT Pertamina (Persero) menanti pemberian insentif dari pemerintah dalam mengelola tiga blok minyak dan gas bumi terminasi, sembari melakukan penghematan guna makin meningkatkan keekonomian proyek.

Direktur Hulu Pertamina Dharmawan H. Samsu mengatakan ada dua cara yang dapat dilakukan untuk meningkatkan keekonomian proyek. Pertama, dari tubuh Pertamina dengan menurunkan batasan keekonomian proyek melalui efisiensi. Kedua, mendapatkan insentif dari pemerintah. Efisiensi yang dapat dilakukan Pertamina salah satunya melalui rigless. 

Rigless atau melakukan pengeboran tanpa rig bukan merupakan hal baru di Pertamina. Rigless dilakukan saat well completion alias persiapan atau penyempumaan sumur untuk diproduksikan maupun saat pembersihan sumur dari endapan atau scalling. Aktivitas rigless masif dilakukan di Blok Mahakam maupun Blok Sanga Sanga.

Saat ini pihaknya juga mengajukan insentif ke pemerintah dalam mengelola tiga wilayah kerja blok terminasi, termasuk di dalamnya Blok Mahakam yang dikelola oleh Pertamina Hulu Mahakam (PHM) dan Blok Sanga Sanga oleh Pertamina Hulu Sanga Sanga (PHSS). 

Wilayah kerja ketiga adalah Blok East Kalimantan-Attaka yang dikelola oleh Pertamina Hulu Kalimantan Timur (PHKT). Pengajuan insentif di Blok East Kalimantan-Attaka belum dilakukan karena masih dalam tahap evaluasi proposal pengajuan. 

    Di ketiga blok tersebut, Pertamina melakukan operasi pengembangan lapangan lapangan (OPLL) untuk meningkatkan produksi migas. Terlebih, ketiga blok migas tadi telah memiliki usia produksi yang sangat tua.

Sebagai contoh, Blok Mahakam telah memiliki usia lebih dari 40 tahun. Sebelumnya, Blok Mahakam dikelola oleh Total E&P Indonesia. Saat ini, Blok Mahakam telah dikelola Pertamina Hulu Migas (PHM) dengan mampu mempertahankan produksi sebesar 740 MMscfd (million metric standard cubic feet per day) dari 120 sumur Sejak September 2019. 

Sebelumnya, produksi blok tersebut berda di bawah angka realisasi tersebut. Menurutnya, peningkatan produksi ini didapat dari pengeboran sumur baru dan produksi dari reservoir yang didapat lebih besar dari proyeksi.

Dalam upaya mempertahankan produksi tersebut, PHM telah mengajukan pengeboran 257 sumur baru dengan potensi sumber daya sebanyak 279 miliar kaki kubik/Bcf dan 9 million barrels of oil/MMBO.

BENTUK INSENTIF

Meskipun pengeboran sumur telah disetujui SKK Migas, Pertamina tetap mendapatkan insentif untuk meningkatkan keekonomian proyek. Insentif tersebut dapat berupa bagi hasil tambahan dari pemerintah maupun keringanan sewa aset negara. Dari sisi perseroan, Pertamina juga akan menurunkan batasan ke ekonomian. 

Sementara itu, Pertamina juga menarget untuk melakukan pengeboran sumur eksplorasi di Blok Mahakam pada Kuartal III/2020 atau sekitar Juli 2020. Pengeboran dilakukan di Tunu Field dan South Peciko.

“Ada yang namanya commercial breakthrough. Begini, misalnya Pertamina merasa ini tidak ekonomis jangan diam saja. Datanglah ke pemerintah, Ini bisa ekonomis, kalau dikasih insentif semacam ini. Pemerintah akan fair ini bisa, ini tidak bisa per proyek,” katanya.

Pertamina juga mengajukan insentif ke pengeboran 755 sumur baru di Blok Sanga Sanga. Hingga saat ini persetujuan belum dikeluarkan pemerintah terhadap pengeboran di 755 sumur tersebut. Pertamina menargetkan pengeboran 755 sumur di Blok Sanga Sanga dapat dilakukan pada tahun ini. 

“Sudah diajukan [insentif ke pemerintah], kalau tidak salah 2 minggu yang lalu," katanya.

Menurutnya, Pertamina juga akan mengajukan pengeboran sumur baru di Blok East Kalimantan-Attaka. Saat ini, Pertamina masih melakukan evaluasi pada proposal pengeboran sumur baru di blok tersebut.

“Kami mau melakukan secara intensif dan agresif untuk semua blok terminasi, temiasuk ONWJ [Offshore North West Java],” katanya.

Dharmawan menjelaskan ketiga blok tersebut diutamakan terlebih dahulu karena memiliki potensi migas yang sangat besar Pertamina berupaya untuk terus memperpanjang umur lapangan di ketiga blok tersebut. 

General Manager Pertamina Hulu Mahakam John Anis mengatakan pihaknya akan terus melakukan penghematan salah satunya dengan menurunkan biaya pengeboran sumur. Salah satunya dengan rigless karena mampu menurunkan harga material sekaligus mempercepat waktu pengerjaan.

Sebelumnya, Satuan Kerja Khusus (SKK) Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (Migas) mengaku akan menggenjot pengembangan sejumlah lapangan migas di tiga blok pada 2020, menyusul Blok Mahakam yang proposalnya telah disetujui. Pengembangan lapangan tersebut untuk menggenjot produksi lifting 1 juta barel per hari (BPH) pada 2030 dan lifting gas bumi sebesar 12.000 MMscfd.

Kepala SKK Migas Dwi Soetjipto mengatakan pengembangan lapangan digenjot di tiga Wilayah kerja yakni Blok Sanga Sanga di Kalimantan Timur, Blok Sakakemang di Musi Banyuasin, Sumatra Selatan, dan Lapangan Merakes di Blok East Sepinggan, Sumatra Selatan. 

Ekonom Energi UGM Fahmy Radhi mengatakan fleksibilitas yang diberikan pemerintah melalui Kementerian ESDM mengenai kontrak bagi hasil akan mendorong pengembangan lapangan migas.

Bisnis Indonesia, Page-10, Saturday, Jan 4, 2020

PHE Will Cut YYA-1 Platforms

PT Pertamina Hulu Energi ONWJ immediately cut the YYA-1 platform, the Yi Block Offshore North West Java Project in Karawang's north sea affected by an oil spill. PHE Director of Operation and Production Taufik Aditiyawarman said that currently, the cementing process is underway on the YYA-2 and 3. platforms. 

   For the YYA-1 well, the cementing process was completed on December 3, 2019, while in the next week the cementing of the YYA-2 and the wells will be completed. 3

"In the next week, the team will prepare the platform to be taken ashore," he said.

Taufik who is also the Commander Incident for handling oil spill events at YYA-1 Well explained that the process of cutting platforms and moving them ashore can be carried out after the situation has been declared safe by the KPLP (Indonesian Sea and Coast Guard Unit) and KSOP (Kesyahbandaran and Port Authority).

As for moving the YK PHE Pavilion, it has not yet explained the technology used, considering the total weight reaches 800 tons. Taufik admitted, currently, the largest crane capacity is only 600 tons. Although it must be dismantled, some parts of this platform may still be used.

The dismantling of the platform is needed considering that in the seabed where the bridge is located a sewer has formed due to the presence of gas bubbles that appear at the beginning of the oil burst emerging from the YYA-1 well. 

   This condition does not allow the platform to remain in the same location. Taufik said that his company had spent around the US $ 156 million by the end of 2019 as part of the prevention of oil spills in the YYA-1 well.

"Estimates to completion, until the recovery of US $ 225 million," he added.

The allocation of funds incurred can come from company expenses, insurance, or other cost reductions. Meanwhile, Taufik said PHE prepared relief wells instead of YYA-1 wells which were targeted to produce in 2021. Relief wells had previously succeeded in becoming a means of closing leaks at YYA-1 wells. Its existence and the theoretical side can be utilized to produce the remaining oil and gas reserves around the YYA well.

Relief Wells

To become a production well, PHE is conducting a study that is being done is to calculate the remaining oil and gas reserves and how much it really costs. But he ensured that if relief wells were used as production wells, the cost would not be too great. The YYA-1 well, which is certain to not be produced again once it is permanently closed. Previously, PHE will conduct project development in the YYA-2 and YYA-3 Wells.

Bisnis Indonesia , Page-24, Monday, Dec 16, 2019

PHE Targets Increasing Oil and Gas Lifting

PT Pertamina Hulu Energi (PHE), a subsidiary of PT Pertamina (Persero), targets production-ready to sell or lift oil and gas 2020 by 181,510 barrels of oil equivalent per day (boepd) or up 3.32% compared to the target in the Work Plan and Corporate Budget (RKAP) 2019 of 175,674 boepd.

Meanwhile, PHE 2020 oil and gas lifting targets include oil lifting of 83,100 barrels of oil per day (bopd) and gas sales of 570.11 million cubic feet per day (MMscfd). Meanwhile, in the 2019 RKAP, 76,971 bopd of oil lifting and 572 MMscfd of gas. Until the end of October 2019, PHE recorded 178,208 boepd of oil and gas lifting. Oil and gas lifting consists of lifting oil 77,179 bopd and gas sales of 585 MMscfd.

"Projections until the end of the year, oil and gas lifting reaches 178,052 boepd or 101% of the target in the 2019 RKAP. Lifting oil is 100% of the target and gas is 102% of the target," said PHE Managing Director Meidawati.

In the 2020 oil and gas lifting target, Meidawati said it still relies on the Offshore North West Java (ONWJ) PHE as the largest contributor to the lifting of oil PHE, which until October 2019 was recorded at 25,788 boepd. Besides ONWJ, there is also PHE Offshore Southeast Sumatra (OSES) which also contributed greatly to reach 25,331 bopd.

The ready-to-sell production from ONWJ and OSES is part of the PHE which has a 90% participation or participating interest (PI). He added, other contributors came from PHE CPP (BOB) 4,763 bopd, Sulawesi PHE Tomori of 3,729 bopd, PHE Jambi Merang of 3,599 bopd, and PHE West Madura Offshore (PHE WMO) with the acquisition of 3,116 bopd.

Blogger Agus Purnomo in PT. PHE West Madura Offshore (WMO)

In addition, the largest contributor to natural gas lifting was PHE Tomori Sulawesi, amounting to 146.8 MMscfd. Regarding the PI scale, PHE is recorded to control 50% of PHE in the Tomori Block. In addition to the Sulawesi Tomori PHE, WMO PHE recorded 94.5 MMscfd of gas lifting, PHE ONWJ 73 MMscfd, and Jambi Merang PHE 68.3 MMscfd. To succeed in the performance of 2019, PHE has also drilled two exploration wells, 35 development wells, and 39 workover wells per October. For 2D seismic, it reaches 4,291 km, and 3D seismic reaches 95 km2.

The total investment cost that has been spent reaches the US $ 216 million until October 2019. Until the end of 2019, the investment costs used are estimated at US $ 328 million.

"Until the end of 2019, we will try to do total drilling. 5 exploration wells and 43 development wells ", he added.

Although oil and gas lifting is estimated to be higher than the target, net profit is projected to decline. In the 2019 RKAP, PHE's net profit is targeted to reach the US $ 592 million. However, the prognosis until the end of the year is the only US $ 421 million with the realization up to October worth the US $ 370 million. Meidawati explained, oil prices were the main factor in not achieving the net profit target this year. According to him, the target is based on oil price assumptions in the range of US $ 70 per barrel. However, the average oil price this year is in the range of US $ 63 per barrel.

"The target might be achieved if suddenly the oil price becomes the US $ 100 per barrel until the end of the year. When viewed from the maximum production, but this price is indeed very influential and something we cannot control, "he said.

Meanwhile, for next year it targets a net profit of US $ 487.03 million.

TECHNICAL CONSTRAINTS

Meanwhile, Pertamina Upstream Director Dharmawan Samsu said that next year's production target was very heavy and challenging. This year, technical obstacles haunt the achievement of Pertamina's oil and gas production.

"We have to make sure the drilling is no longer late because yesterday we were late for the procurement of offshore rigs," he said.

Dharmawan explained the 2020 oil and gas production target of 923,000 boepd, would be obtained from the contribution of oil and gas production from Pertamina's upstream operations in the country of 765,000 boepd. Oil production is estimated to reach 323,000 BPD of oil production and 2,559 MMscfd of gas production. Meanwhile, contributions from Pertamina's upstream operations abroad (PIEP) of oil and gas production amounted to 158 Mboepd, consisting of oil production of 107 Mbopd and gas 298 MMscfd.

"The overall prognosis of Pertamina's oil and gas production in 2019 reaches 906,000 boepd consisting of 414,000 bopd of oil production and 2,850 MMscfd of gas," he added.

IN INDONESIA

PHE Menargetkan Kenaikan Lifting Migas

PT Pertamina Hulu Energi (PHE), anak usaha PT Pertamina (Persero), menargetkan produksi siap jual atau lifting minyak dan gas bumi 2020 sebanyak 181.510 barel setara minyak per hari (boepd) atau naik 3,32% dibandingkan dengan target dalam Rencana Kerja dan Anggaran Perusahaan (RKAP) 2019 sebanyak 175.674 boepd.

Adapun, target lifting migas PHE 2020 meliputi lifting minyak sebanyak 83.100 barel minyak per hari (bopd) dan penjualan gas sebanyak 570,11 juta kaki kubik per hari (MMscfd). Sementara itu, pada RKAP 2019, lifting minyak sebanyak 76.971 bopd dan gas 572 MMscfd. Hingga akhir Oktober 2019, PHE mencatat lifting migas sebanyak 178.208 boepd. Lifting migas terdiri atas lifting minyak 77.179 bopd dan penjualan gas sebanyak 585 MMscfd. 

“Proyeksi hingga akhir tahun, lifting migas mencapai 178.052 boepd atau 101% dari target pada RKAP 2019. Lifting minyak 100% dari target dan gas 102% dari target,” ujar Direktur Utama PHE Meidawati.

Pada target lifting migas tahun 2020, Meidawati menyatakan pihaknya masih mengandalkan PHE Offshore North West Java (ONWJ) sebagai kontributor terbesar lifting minyak PHE, yang hingga Oktober 2019 tercatat sebanyak 25.788 boepd. Selain ONWJ, ada pula PHE Offshore Southeast Sumatra (OSES) yang juga berkontribusi besar yakni mencapai 25.331 bopd.

Produksi siap jual dari ONWJ dan OSES tersebut merupakan bagian PHE yang memiliki hak partisipasi atau particpating interest (PI) sebesar 90%. Dia menambahkan, kontributor lainnya datang dari PHE CPP (BOB) 4.763 bopd, PHE Tomoli Sulawesi sebesar 3 .729 bopd, PHE Jambi Merang sebesar 3.599 bopd, dan PHE West Madura Offshore (PHE WMO) dengan perolehan lifting 3.116 bopd.

Selain itu, lifting gas bumi kontributor terbesar adalah PHE Tomori Sulawesi sebanyak 146,8 MMscfd. Terkait dengan besaran PI, PHE tercatat menguasai 50% PHE di Blok Tomori. Selain PHE Tomori Sulawesi, PHE WMO mencatat lifting gas sebesar 94,5 MMscfd, PHE ONWJ 73 MMscfd, dan PHE Jambi Merang 68,3 MMscfd. 

    Untuk menyukseskan kinerja 2019, PHE juga telah melakukan pengeboran dua sumur eksplorasi, 35 sumur pengembangan, dan 39 sumur work over per Oktober. Untuk seismik 2D mencapai 4.291 km dan seismik 3D mencapai 95 km2.

Total biaya investasi yang telah dikeluarkan mencapai US$216 juta hingga Oktober 2019. Hingga akhir 2019, biaya investasi yang digunakan diestimasi mencapai US$328 juta.

“Hingga akhir tahun 2019, kami berupaya melakukan pengeboran total. 5 sumur eksplorasi dan 43 sumur pengembangan”, tambahnya. 

Kendati lifting migas diperkirakan lebih tinggi dari target, laba bersih justru diproyeksi mengalami penurunan. Dalam RKAP 2019, laba bersih PHE ditargetkan mencapai US$ 592 juta. Namun, prognosis hingga akhir tahun hanya senilai US$421 juta dengan realisasi hingga Oktober senilai US$ 370 juta. 

     Meidawati menjelaskan, harga minyak menjadi faktor utama tidak tercapainya target laba bersih pada tahun ini. Menurutnya, target tersebut berdasarkan asumsi harga minyak pada kisaran US$70 per barel. Namun, rata-rata harga minyak sepanjang tahun ini berada pada kisaran US$ 63 per barel.

“Target mungkin tercapai kalau tiba-tiba harga minyak jadi US$100 per barel sampai akhir tahun. Kalau dilihatkan dari produksi sudah maksimal, tapi harga ini memang sangat berpengaruh dan sesuatu yang tidak bisa kami kendalikan,” tuturnya.

Adapun, untuk tahun depan pihaknya menargetkan laba bersih senilai US$487,03 juta.

KENDALA TEKNIS

Sementara itu, Direktur Hulu Pertamina Dharmawan Samsu mengatakan bahwa target produksi tahun depan sangat berat dan menantang. Tahun ini, kendala teknis menghantui pencapaian produksi migas Pertamina.

“Kami harus pastikan pengeboran tidak telat lagi, karena kemarin kami telat untuk pengadaan rig offshore,” katanya.

Dharmawan menjelaskan target produksi migas 2020 sebanyak 923.000 boepd, akan didapatkan dari kontribusi produksi migas dari operasi hulu Pertamina di dalam negeri sebanyak 765.000 boepd. Untuk produksi minyak diperkirakan mencapai 323.000 bph produksi minyak dan produksi gas 2.559 MMscfd.

      Sementara itu, kontribusi dari operasi hulu Pertamina di luar negeri (PIEP) produksi migas sebesar 158 Mboepd, terdiri atas produksi minyak sebesar 107 Mbopd dan gas 298 MMscfd.

“Prognosis produksi migas Pertamina 2019 secara keseluruhan mencapai 906.000 boepd terdiri dari produksi Minyak 414.000 bopd dan gas 2.850 MMscfd,” tambahnya.

Bisnis Indonesia, Page-9, Saturday, Dec 14, 2019

When running helter-skelter Pursue 1 Million Bph

The government's dream to restore the glory of upstream oil and gas by targeting oil production of 1 million barrels per day by 2030 needs to be supported by concrete steps through policy or fiscal stimulus.

The hope of increasing oil production is certainly not an easy job. Moreover, the national upstream oil and gas sector is faced with a decline in natural oil production. In the BP Statistical Review 2019, national oil production decreased by 3.5% in 2018 or above the average decline over the past 10 years by 1.5%.

This year's production realization is even expected to decrease by more than 20,000 BPD compared to 2018. Oil production as of October 2019 was recorded at 750,500 BPD, while at the end of 2018 it was recorded at 778,000 BPD. From these data, the hope of oil production returning to reach 1 million BPD needs concrete steps.

For example, there is an equivalent finding of the Banyu Urip Field. Heading there, the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) campaigned for four pillars of the long-term strategy to achieve the production target of 1 million BPD.

The four pillars are maintaining current production, transforming resources into production, implementing advanced oil recovery (EOR), to massive exploration activities.

Feeling that they did not want to lose before the war, SKK Migas was optimistic that the target would be achieved. Moreover, the opportunity for the national oil and gas industry is still large. This can be seen from a total of 128 sedimentary basins in Indonesia, only 54 of which have been explored and whose production is still 19 basins.

Thus there are still 74 basins waiting to be explored and 35 basins that have been explored are expected to find oil and gas reserves through continuous exploration and investment in the basin.

SKK Migas Planning Deputy Jafee Suadin revealed that by looking at the current conditions, the four efforts need to be carried out in parallel. According to him, it is difficult to rely solely on advanced drainage technology (EOR) or wait for the discovery of a new giant oil block.

"Our anchor effort is 1 million BPD. The target is a combination of EOR technology, the discovery of new reserves, and transformation of reserves into

production, "he said.

Regarding the implementation of the EOR, the government considers this to be a solution so that oil production is again attractive. Because, based on the results of a coordination meeting chaired by the Coordinating Minister for Maritime and Investment Luhut Binsar Pandjaitan, EOR is expected to provide an additional 1.6 billion barrels of oil production.

Luhut Binsar Pandjaitan

Maritime and Investment Coordinating Minister Luhut Binsar Pandjaitan said, his party had discussed efforts to increase oil production through EOR activities with oil and gas companies operating in Indonesia. He requested that the oil and gas company identify the potential EOR in oil and gas blocks in Indonesia.

"We have data that there are 1.6 billion barrels that can be produced from EOR activities," he said.

ECONOMY

However, is the production of 1.6 billion barrels using EOR already very economical? This is what seems to influence businesses to count and think again to run the EOR. Executive Director of the Reforminer Institute Komaidi Notonegoro said if the government only prioritizes production without thinking about business factors, then it is difficult for business actors to carry out further stages of drainage. According to him, the implementation of EOR is useless but it is carried out with lifting costs more expensive compared to oil imports.

"If the barrel production is more expensive than imports, will it also be a business decision? If it is seen as a driver of energy independence okay, "he said.

At present, the potential of EOR in Indonesia is spread over 129 oil fields consisting of 15 work areas. Until the middle of the year, the EOR's definite work commitment was the only US $ 446 million. 

     Acting Director-General of Oil and Gas at the Ministry of Energy and Mineral Resources (ESDM) Djoko Siswanto added that the acceleration of EOR can be done by applying this technology to several wells, not one field at a time. According to him, this step is in accordance with the proposal from the Bandung Institute of Technology (ITB).

the Bandung Institute of Technology (ITB).

"So it is injected first, closed for a while, and then the oil will come out, per well. The Minister wants which wells are, what fields the program is, and what obstacles, it will be reported on January 25, 2020, "he said.

Some studies have indeed been carried out by oil and gas contractors that have carried out EOR activities. Unfortunately, this EOR activity has not yet been massive. The government hopes that these activities will produce results, such as those carried out in the Rokan Block, the Offshore North West Java Block (ONWJ), the Rimau Block, and several fields managed by PT Pertamina EP.

Some studies have indeed been carried out by oil and gas contractors that have carried out EOR activities. Unfortunately, this EOR activity has not yet been massive. The government hopes that these activities will produce results, such as those carried out in the Rokan Block, the North West Java (ONWJ) Block, the Rimau Block, and several fields managed by PT Pertamina EP.

"The great potential of EOR is in Rokan Block with Pertamina EP, then in Zulu [ONWJ Block] PHE [Pertamina Hulu Energi], the same in Medco, namely Rimau Block, Kaji-Harapan Field," he added.

IN INDONESIA

Kala berlari pontang-panting Kejar 1 Juta Bph

Mimpi pemerintah untuk mengembalikan kejayaan hulu minyak dan gas bumi dengan menargetkan produksi minyak sebesar 1 juta barel per hari pada 2030 perlu didukung dengan langkah konkret lewat kebijakan ataupun stimulus fiskal. 

Harapan penaikan produksi minyak tentu bukan pekerjaan mudah. Apalagi sektor hulu migas nasional dihadapkan dengan penurunan produksi minyak alamiah. Dalam BP Statistical Review 2019, produksi minyak nasional menurun sebanyak 3,5% pada 2018 atau di atas rata-rata penurunan selama 10 tahun terakhir sebesar 1,5%.

Realisasi produksi tahun ini bahkan diperkirakan mengecil lebih dari 20.000 bph dibandingkan dengan 2018. Produksi minyak per Oktober 2019 tercatat sebesar 750.500 bph, sedangkan pada akhir 2018 tercatat sebesar 778.000 bph. Dari data tersebut, harapan produksi minyak kembali mencapai 1 juta bph perlu langkah konkret. 

Misalnya saja, ada penemuan setara Lapangan Banyu Urip. Menuju ke sana, Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) mengampanyekan empat pilar strategi jangka panjang untuk mencapai target produksi 1 juta bph tersebut.

Empat pilar tersebut yakni menjaga produksi yang ada sekarang, transformasi resource menjadi produksi, implementasi pengurasan minyak tahap lanjut (enhanced oil recovery/EOR), hingga aktivitas eksplorasi yang masif. 

Merasa tidak ingin kalah sebelum berperang, SKK Migas optimistis target tersebut tercapai. Terlebih, peluang industri migas nasional masih besar. Hal itu terlihat dari total sebanyak 128 cekungan sedimen yang ada di Indonesia, hanya 54 cekungan yang telah dieksplorasi dan yang berproduksi masih 19 cekungan.

Dengan demikian masih ada 74 cekungan yang menunggu untuk dieksplorasi serta 35 cekungan yang telah dieksplorasi diharapkan dapat ditemukan cadangan migas melalui eksplorasi dan investasi yang terus menerus di cekungan tersebut. 

Deputi Perencanaan SKK Migas Jafee Suadin mengungkapkan dengan melihat kondisi terkini, empat upaya tersebut perlu dijalankan secara pararel. Menurutnya, sulit hanya mengandalkan teknologi pengurasan tahap lanjut (EOR), atau menanti adanya temuan blok minyak raksasa baru.

“Anchor effort kami 1 juta bph. Target tersebut merupakan perpaduan antara teknologi EOR, penemuan cadangan baru, dan transformasi cadangan menjadi

produksi,” katanya.

Terkait dengan penerapan EOR, pemerintah menganggap hal ini menjadi solusi agar produksi minyak kembali menarik. Pasalnya, berdasarkan hasil rapat koordinasi yang dipimpin oleh Menteri Koordinator Maritim dan Investasi Luhut Binsar Pandjaitan, EOR diharapkan bisa memberikan tambahan produksi minyak 1,6 miliar barel. 

Menteri Koordinator Kemaritiman dan Investasi Luhut Binsar Pandjaitan menuturkan, pihaknya sudah membahas upaya menaikkan produksi minyak melalui kegiatan EOR ini bersama perusahaan-perusahaan migas yang beroperasi di Indonesia. Pihaknya meminta agar perusahaan migas mengidentifikasi potensi-potensi EOR yang ada di blok-blok migas di Indonesia.

“Kami punya data ada 1,6 miliar barel yang bisa diproduksikan dari kegiatan EOR,” katanya.

KEEKONOMIAN

Hanya saja, apakah produksi 1,6 miliar barel menggunakan EOR sudah sangat ekonomis? Hal inilah yang rasanya memengaruhi pelaku usaha berhitung dan dan berfikir ulang untuk menjalankan EOR. Direktur Eksekutif Reforminer Institute Komaidi Notonegoro mengatakan jika pemerintah hanya mengutamakan produksi tanpa memikirkan faktor bisnis, maka pelaku usaha sulit melakukan pengurasan tahap lanjut. Menurutnya, percuma saja implementasi EOR tetapi dijalankan dengan biaya lifting lebih mahal dibandingkan dengan impor minyak.

“Kalau produksi per barelnya lebih mahal dari impor, apakah juga akan menjadi keputusan bisnis? Kalau dilihat sebagai pendorong kemandirian energi oke-lah,” katanya. 

Saat ini, potensi EOR di Indonesia tersebar di 129 lapangan minyak yang terdiri dari 15 Wilayah kerja. Hingga pertengahan tahun  komitmen kerja pasti EOR hanya sebesar US$446 juta. Pelaksana Tugas Direktur Jenderal Minyak dan Gas Bumi Kementerian Energi dan Sumber Daya Mineral (ESDM) Djoko Siswanto menambahkan percepatan EOR ini bisa dilakukan dengan menerapkan teknologi ini untuk beberapa sumur, tidak satu lapangan sekaligus. Menurutnya, langkah ini sesuai usulan dari Institut Teknologi Bandung (ITB).

“Jadi diinjeksi dulu, ditutup sebentar, terus nanti keluar minyaknya, per sumur pelaksanaannya. Pak Menteri inginnya sumur mana saja, lapangan mana saja program-nya apa, dan kendalanya apa, itu nanti dilaporkan pada 25 Januari 2020,” ujarnya.

Beberapa studi memang sudah dilakukan kontraktor migas yang telah melaksanakan kegiatan EOR. Sayangnya, kegiatan EOR ini belum masif. Pemerintah berharap aktivitas ini membuahkan hasil, seperti yang dilakukan di Blok Rokan, Blok Offshore North West Java (ONWJ), Blok Rimau, dan beberapa lapangan yang dikelola oleh PT Pertamina EP.

“Yang besar potensi EOR kan ada di Blok Rokan dengan Pertamina EP, kemudian di Zulu [Blok ONWJ] PHE [Pertamina Hulu Energi], sama di Medco yaitu Blok Rimau, Lapangan Kaji-Semoga,” tambahnya.

Bisnis Indonesia, Page-24, Monday, 9 Dec 2019

Two Oil and Gas Projects Potentially Backward

The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) stated that there are two oil and gas projects whose operational schedule (on stream) will go back to next year 2020, namely the Bukit Tua Phase 3 and Buntal Projects. Both were originally operational at the end of 2019.

SKK Migas Deputy for Operations Julius Wiratno said, not all projects planned to operate by the end of this year will be realized. One project, the Buntal-5 Project, is certain to be delayed in operation until 2020. The same thing has the potential to occur for the Bukit Tua Project Phase 3.

"The pufferfish has been delayed because the drilling rig has entered Indonesia from Vietnam. Bukit Tua may be delayed, but we are recovering, "he said.

The Puffer-5 Project is carried out by Medco E&P Natuna Ltd. The project, with an investment value of US $ 33 million, is targeted to produce gas of 45 million cubic feet per day (mmscfd). The project's scope of work includes the installation of a new 8km umbilical subsea, subsea production control system, subsea protection structure, 8 inch flowline of 175 m, modification of existing SCU software, and pigging facilities.

Furthermore, the Bukit Tua Phase 3 Project in the Ketapang Block was worked on by Petronas Carigali Ketapang II Ltd. The project is estimated to produce 3.82 barrels of oil per day (bpd) and 31 mmscfd of gas. 

    The US $ 15 million project includes the construction of a deck extension on the WHP BTJT-A eskisting, installation of four conductors and clamps, modification of the existing IRCD for chemical injection, addition of a new wellhead control panel, and installation of a wet gas flowmeter.

The two projects are planned to start operating the rest of the year along with four other projects. The Buntal-5 project, according to SKK Migas data, was originally operational in November 2019. While the Bukit Tua Project Phase 3 is scheduled to start operating in December 2019. The other four projects will operate on schedule.

"The remaining projects [which will be operational this year] are Kedung Keris, Bison-Iguana-Gajah Putri, Temelat, Harvest, and Big Bamboo," said Julius.

Premiere Oil Natuna Sea BV

The Bison-Iguana-Gajah Putri project with 163 mmscfd gas production was undertaken by Premiere Oil Natuna Sea BV with an investment of US $ 171 million. The project project by PT Medco E&P Indonesia with an estimated production of 10 mmscfd and an investment of US $ 11 million.

the Cepu Block by EMCL

Harvest Project with an estimated production of 2,000 bpd by PetroChina International Jabung Ltd with an investment of US $ 17 million. Finally, the Full Well Stream Kedung Keris Project in the Cepu Block was undertaken by ExxonMobil Cepu Limited (EMCL) with a production of 3,800 bpd and an investment of US $ 72 million. Regarding the Bamboo Project, Julius said that this was an additional project in 2019.

"We are trying to speed up the Big Bamboo Project to increase oil and gas production in 2019," he said. Although he admitted, the oil and gas production produced by this project was not large to replace the delayed production of Buntal-5 and Bukit Tua Phase 3. "Additional oil from the Great Bamboo Field is approximately 2,700-3,000 bpd," he added.

In addition to two potentially delayed projects, SKK Migas also ensured the cancellation of one project that was originally operational in 2019, namely the YY Project undertaken by PT Pertamina Hulu Offshore North West Java (PHE ONWJ). Because, there was an incident of gas and oil leakage in the project.

PT Pertamina Hulu Offshore North West Java (PHE ONWJ)

The project was originally planned to produce 4,605 ​​bpd of oil and 25.5 mmscfd of gas. However, Julius had revealed, it was difficult to reach the target of lifting oil and gas in 2019, namely 775 thousand bpd of oil and 7,000 mmscfd of gas. Until the end of October 2019, the realization of oil lifting was recorded at 742.9 thousand bpd and 5,892 mmscfd of gas. 

    In addition to pursuing on-stream projects, his office is also trying to realize a work program in 2019, such as well drilling and well maintenance. It will also drain stock in several terminals which can add 500-600 barrels.

"The end of 2019 Outlook is lifting 746.2 thousand bpd of oil and 5,896 mmscfd of gas. It is very challenging (reaching the target), but we are still trying, "he said.

IN INDONESIA

Dua Proyek Migas Berpotensi Mundur

Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) menyatakan terdapat dua proyek migas yang jadwal operasinya (on stream) mundur ke tahun depan 2020, yakni Proyek Bukit Tua Phase 3 dan Buntal. Keduanya sedianya beroperasi di akhir tahun 2019.

Deputi Operasi SKK Migas Julius Wiratno menuturkan, tidak semua proyek yang direncanakan beroperasi pada akhir tahun ini akan terealisasi. Salah satu proyek, yakni Proyek Buntal-5 dipastikan akan tertunda operasinya hingga tahun 2020. Hal yang sama berpotensi terjadi untuk Proyek Bukit Tua Phase 3.

“Buntal delayed karena drilling rig-nya telah masuk Indonesia dari Vietnam. Bukit Tua mungkin delay, tetapi sedang kami recovery,” kata dia.

Proyek Buntal-5 dikerjakan oleh Medco E&P Natuna Ltd. Proyek dengan nilai investasi US$ 33 juta ini ditargetkan bisa menghasilkan gas sebesar 45 juta kaki kubik per hari (million standard cubic feet per day/ mmscfd). Lingkup kerja proyek ini mencakup pemasangan new subsea umbilical 8 km, subsea production control system, subsea protection structure, flowline 8 inch sepanjang 175 m, modifikasi eksisting SCU software, dan pigging facilities. 

Selanjutnya, Proyek Bukit Tua Phase 3 di Blok Ketapang digarap oleh Petronas Carigali Ketapang II Ltd. Proyek ini diperkirakan menghasilkan minyak 3.82 barel per hari (bph) dan gas 31 mmscfd. Proyek senilai US$ 15 juta ini mencakup pembangunan deck extention pada esksisting WHP BTJT-A, pemasangan empat buah conductor dan clamp, modifikasi eksisting IRCD untuk chemical injection, penambahan wellhead control panel baru, serta pemasangan wet gas flowmeter.

Kedua proyek ini direncanakan mulai beroperasi pada sisa tahun ini bersama empat proyek lainnya. Proyek Buntal-5, sesuai data SKK Migas, sedianya beroperasi pada November 2019. Sementara Proyek Bukit Tua Phase 3 dijadwalkan mulai beroperasi pada Desember 2019. Empat proyek lainnya akan beroperasi sesuai jadwal.

“Sisa proyek [yang akan operasi tahun ini] adalah Kedung Keris, Bison-Iguana-Gajah Putri, Temelat, Panen, dan Bambu Besar,” tutur Julius.

Proyek Bison-Iguana-Gajah Putri dengan produksi gas 163 mmscfd dikerjakan oleh Premiere Oil Natuna Sea BV dengan nilai investasi US$ 171 juta. Proyek Temelat oleh PT Medco E&P Indonesia dengan perkiraan produksi 10 mmscfd dan nilai investasi US$ 11 juta. 

Proyek Panen dengan estimasi produksi 2.000 bph oleh PetroChina International Jabung Ltd dengan investasi US$ 17 juta. Terakhir, Proyek Full Well Stream Kedung Keris di Blok Cepu dikerjakan oleh ExxonMobil Cepu Limited dengan produksi 3.800 bph dan investasi US$ 72 juta. Terkait Proyek Bambu, Julius menyebutkan bahwa ini merupakan proyek tambahan di 2019. 

“ Proyek Bambu Besar kami coba speed up untuk menambah produksi migas di 2019,” ujarnya. Walaupun diakuinya, produksi migas yang dihasilkan proyek ini tidak besar untuk mengganti produksi yang tertunda dari Buntal-5 dan Bukit Tua Phase 3. “Tambahan minyak dari Lapangan Bambu Besar kira-kira 2.700-3.000 bph,” tambahnya.

Selain dua proyek yang berpotensi tertunda, SKK Migas juga memastikan batalnya satu proyek yang sedianya beroperadi pada tahun 2019, yakni Proyek YY yang dikerjakan oleh PT Pertamina Hulu Energi Offshore North West Java (PHE ONWJ). Pasalnya, terjadi insiden kebocoran gas dan minyak di proyek tersebut. 

Proyek ini awalnya direncanakan menghasilkan minyak 4.605 bph dan gas 25,5 mmscfd. Meski demikian, Julius sempat mengungkapkan, sulit mencapai target lifting migas tahun 2019, yakni minyak 775 ribu bph dan gas 7.000 mmscfd. Hingga akhir Oktober 2019, realisasi lifting minyak tercatat sebesar 742,9 ribu bph dan gas 5.892 mmscfd. 

     Selain mengupayakan proyek on stream, pihaknya juga berusaha merealisasikan program kerja tahun 2019, seperti pengeboran sumur dan perawatan sumur. Pihaknya juga akan melakukan pengurasan stok di beberapa terminal yang bisa menambah 500-600 barel.

“Outlook akhir tahun 2019 ini lifting minyak 746,2 ribu bph dan gas 5.896 mmscfd. Sangat menantang (mencapai target), tetapi tetap kami usahakan,” kata dia.

Investor Daily, Page-9, Friday, Nov 15, 2019

These are 10 Oil and Gas Contractors with the Largest Waste

Chevron Pacific Indonesia produces the most B3 waste in the year. Environmental problems have been highlighted in the development of oil and gas working areas in Indonesia. The Ministry of Energy and Mineral Resources (ESDM) recorded 10 major oil and gas cooperation contract contractors (KKKS) that managed large-scale hazardous and toxic (B3) waste last year.

The 10 oil and gas contractors are PT Chevron Pacific Indonesia, Petrochina International Jabung Ltd, Medco E & P Natuna PT Pertamina Hulu Mahakam, PT Pertamina Hulu Sanga-Sanga, Conoco-Phillips (Grissik) Ltd, Pertamina Hulu Energi Oses Ltd, ExxonMobil Cepu Ltd, PT Pertamina EP, and Pertamina Hulu Energi ONWJ.

Secretary of the Directorate General of Oil and Gas at the Ministry of Energy and Mineral Resources, Iwan Prasetya Adhi, said that the total tonnage of the 10 oil and gas contractors reached 70,197.35 B3 waste. Meanwhile, the total cost of waste management reached US $ 12.24 million.

Of the 10 contractors, Chevron Pacific Indonesia recorded the largest in the amount of waste and management costs. Chevron's oil and gas region produces 30,791 tons of waste with management costs reaching US $ 4.64 million.

The Director of Oil and Gas Engineering and Environment, Adhi Wibowo assessed the amount of the volume of Chevron B3 waste in line with the wide area of ​​their oil and gas working area. In addition, Chevron has long been producing in Indonesia.

"Yes, because it's vast, it's a percentage of the area. Because the area is vast, especially since the Dutch era they have managed, so they have cumulative tons of waste," Adi said in the House of Representatives Building in Jakarta.

According to him, Chevron has allocated funds to carry out its obligations in managing B3 waste.

"In the rules, they must budget funds. Later the SKK Migas mechanism refers to the rules in the PSC (production sharing contract)," Adi explained

Chevron Pacific Indonesia Senior Vice President of Policy, Government and Public Affrair, Wahyu Budianto said, Chevron always manages waste arising from oil and gas production and operations.

"We are trying to manage waste well. We have domestic waste processing, we divide, there are organic parts, waste used oil operations, we process," he said.

Regarding costs, Wahyu said that every oil and gas waste processing activity is always included in the work program and budget (WP & B), Director General of Law Enforcement of the Ministry of Environment and Forestry (RK), Rasio Ridho Sani. according to permits that have been regulated by the government.

There are several oil and gas companies that have received administrative sanctions for showing non-compliance in waste management. However, all oil and gas contractors only get administrative sanctions.

"Only administrative," he said.

If the administrative sanctions are not heeded, according to Ridho, then it is likely that it can continue until the legal route.

"We also provide sanctions to make repairs. If they are not obedient, the sanctions are quite severe, including those that can be subjected to criminality, it could also be a civil suit, "Ridho explained.

IN INDONESIA

Inilah 10 Kontraktor Migas dengan Limbah Terbesar

Chevron Pacific Indonesia menghasilkan limbah B3 paling banyak pada tahun Ialu. Masalah lingkungan menjadi sorotan dalam pengembangan wilayah kerja minyak dan gas (migas) di Indonesia. Kementerian Energi dan Sumber Daya Mineral (ESDM) mencatatl 10 besar kontraktor kontrak kerja sama (KKKS) migas yang mengelola limbah Bahan Berbahaya dan Beracun (B3) dalam skala besar pada tahun lalu.

Ke-10 kontraktor migas itu adalah PT Chevron Pacific Indonesia, Petrochina Internasional Jabung Ltd, Medco E&P Natuna PT Pertamina Hulu Mahakam, PT Pertamina Hulu Sanga-Sanga, Conoco-Phillips (Grissik) Ltd, Pertamina Hulu Energi Oses Ltd, ExxonMobil Cepu Ltd, PT Pertamina EP, serta Pertamina Hulu Energi ONWJ. 

Sekretaris Direktorat Jenderal Migas Kementerian ESDM, Iwan Prasetya Adhi mengatakan, total tonase dari 10 kontraktor migas itu mencapai 70.197,35 tion limbah B3. Sementara itu, total biaya pengelolaan limbah mencapai US$ 12,24 juta.

Dari 10 kontraktor, Chevron Pacific Indonesia tercatat paling besar dalam jumlah limbah dan biaya pengelolaannya. Wilayah migas Chevron menghasilkan limbah mencapai 30.791 ton dengan biaya pengelolaan mencapai US$ 4,64 juta.

Direktur Teknik dan Lingkungan Migas, Adhi Wibowo menilai besarnya volume limbah B3 Chevron sejalan dengan jumlah area wilayah kerja migas mereka yang cukup luas. Selain itu, Chevron telah lama berproduksi di Indonesia. 

"Ya karena luas saja, kan persentase dari luas. Karena wilayahnya luas, apalagi sudah dari zaman belanda mereka mengelola, jadi kumulatif berton-ton limbahnya," ungkap Adi di Gedung Dewan Perwakilan Rakyat (DPR) di Jakarta.

     Menurut dia, Chevron telah mengalokasikan dana untuk melakukan kewajibannya dalam mengelola limbah B3.

"Dalam aturan, mereka harus menganggarkan dana. Nanti di SKK Migas mekanismenya mengacu aturan dalam PSC (production sharing contract)," jelas Adi

Senior Vice President Policy, Government and Public Affrairs Chevron Pacific Indonesia, Wahyu Budianto mengatakan, Chevron selalu mengelola limbah yang timbul dari hasil produksi dan operasi migas. 

"Kami mengusahakan limbah dikelola dengan baik. Kami punya pengolahan limbah domestik, kami bagi, ada bagian organik, limbah operasi bekas oli, semua kami proses," ungkap dia.

Terkait biaya, Wahyu menyebutkan setiap kegiatan pengolahan limbah migas selalu masuk dalam work program and budget (WP&B) Direktur Jenderal Penegakan Hukum Kementerian Lingkungan dan Kehutanan (BHK), Rasio Ridho Sani mengemukakan Kementerian LHK telah mengeluarkan sanksi administratif kepada kontraktor migas yang tidak mematuhi pengelolaan limbah sesuai izin-izin yang telah diatur oleh pemerintah.

Ada beberapa perusahaan migas yang sudah mendapatkan sanksi administratif karena menunjukkan ketidakpatuhan dalam pengelolaan limbah. Namun seluruh kontraktor migas hanyak mendapatkan sanksi administrasi. 

"Hanya bersifat administrasi," kata dia.

Jika sanksi administrasi tersebut tidak diindahkan, menurut Ridho, maka besar kemungkinan bisa berlanjut hingga jalur hukum. 

“Kami juga memberikan sanksi untuk melakukan perbaikan-perbaikan. Kalau mereka tidak patuh, sanksinya cukup berat, termasuk di dalamnya bisa dikenakan pidana, bisa juga gugatan perdata" jelas Ridho. 

Kontan, Page-14, Tuesday, Jan 22, 2019