google.com, pub-9591068673925608, DIRECT, f08c47fec0942fa0 Petronas -->
Showing posts with label Petronas. Show all posts
Showing posts with label Petronas. Show all posts

Petronas Interested in Working on the Masela Block


    The Special Task Force for Upstream Oil and Gas Activities (SKK Migas) stated that a Malaysian oil and gas company, Petronas, expressed interest in working on the Masela Block, replacing Shell, which had left the largest gas project in Indonesia.

Petronas

    Petronas is also interested in entering into cooperation with Pertamina in terms of replacing Shell if possible. This is the latest development regarding Shell," said Head of SKK Migas Dwi Soetjipto in a hearing with Commission VII.

The Masela Block

    Apart from Petronas, previously there were two companies that were known to be interested in replacing Shell in acquiring a 35% stake in the Masela Block, namely Pertamina and ExxonMobil. Dwi said Pertamina had opened the Masela Block data room this November. It is hoped that Pertamina can submit a Non-Binding Offer to Shell.

ExxonMobil

    The government is targeting that discussions on the acquisition of Shell's participating interest (PI) in the Masela Block by Pertamina can be completed this year. One of the main conditions for reaching an agreement is the certainty of PI's acquisition value. According to Dwi, Pertamina must find an agreement with Shell to get into the Masela project.

Shell

    According to Dwi, Shell already has a minimum value base that must be prepared by Pertamina. This value is the total funds that have been spent by the company while being Inpex's partner in Masela.

Blogger Agus Purnomo in SKK Migas

"Pertamina is negotiating with Shell. SKK Migas monitors and provides direction so that Shell sells at moderate prices. To keep the project going. We wrote to Shell to support the divestment. Around US$1.4 billion has been spent by Shell," Dwi said.

Inpex Corporation

    Meanwhile, for Pertamina, there is ExxonMobil which was also offered by Inpex to conduct the study. SKK Migas said Dwi hopes that there will be opportunities for cooperation between Pertamina and ExxonMobil to open again, instead of the scent of competition. However, it all comes back to the management of each company whether to continue the collaboration as it has been in the Cepu block.

"If all this time ExxonMobil is also conducting studies, it could be a potential collaboration with Pertamina. But we'll see now that each study has its results, whether we want to continue or not," said Dwi.


IDD Project

    Meanwhile, Dwi also stated that the Indonesia Deepwater Development (IDD) project is expected to start running in early 2023, due to the certainty that the replacement operator for PT Chevron Pacific Indonesia will be completed by the end of this year.

Chevron

“Chevron has decided to leave the IDD project. Now there is a potential replacement. IDD could run next year," said Dwi.

    According to information, an Italian oil and gas company, ENI, is rumored to be controlling 62% of Chevron Pacific Indonesia's (CPI) participating interest in the Indonesia Deepwater Development (IDD) Gas Project. The IDD project has the potential to produce up to 844 million standard cubic feet of gas per day (MMscfd) and 27,000 barrels of oil per day (BOPD). The plan is for the project to be targeted onstream in the fourth quarter of 2027.

Investor Daily, Page-4, Thursday, Nov 17, 2022

Petronas Becomes Pertamina's New Competitor in the Masela Block

    The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) said that a new competitor in the takeover of Shell Upstream Overseas Ltd.'s 35% stake has decided to leave the Masela Block.

    The presence of Petronas has increased the number of potential investors in the Masela Block. Because, previously, Pertamina-INA-Medco and ExxonMobil were reportedly interested in taking over Shell shares. Deputy Head of SKK Migas Fatar Yani Abdurrahman revealed that Petronas has just expressed its interest in replacing Shell in the Masela Block.

the Masela Block

"After someone made an offer, Petronas was interested in joining, but we are currently studying it. We will discuss this," said Fatar.

    Currently, Petronas is only waiting for the government's commitment. However, SKK Migas cannot confirm whether Petronas will enter with partners or alone. What is certain, "Petronas has expressed its interest in investing in this LNG project with a capacity of 9.5 million tons per year," said Fajar.

Blogger Agus Purnomo in SKK Migas

    SKK Migas previously targeted Pertamina to submit an offer to Shell for the acquisition of a 35% stake in the Masela Block this November.

    Until now, the filing of this interest has not been carried out. Pertamina's consortium is currently still being evaluated with various options.

    Potential replacement investors for Shell in the Masela Block must invest around US$ 1.4 billion if they are interested in taking over shell shares. The amount of this investment does not include the funding requirement of US$ 6.3 billion for the first five years of development as capital expenditure.

    In addition, with the addition of the Carbon Capture Utilization & Storage (CCUS) project to the Masela project, there is a potential for additional investment of around US$ 1.2 billion to US$ 1.4 billion.

    Fatar emphasized that learning from Shell's release in the Masela Project, SKK Migas is prepared to strengthen the existing provisions in the future oil and gas block Plan of Development (PoD).

    Fatar revealed that SKK Migas felt like it had been lied to by Shell leaving the Masela Block. Moreover, "When the POD, we provide incentives, but the conditions are poor. For example, until the commercial production is not allowed to leave the Masela Block," said Fatar.

    The Masela Block project is the first very large-scale project in Indonesia. This also makes the government happy. But unfortunately in the terms and conditions of the contract, there is no protection for the project so that investors don't just run away.

    So, in the future, SKK Migas is targeting regulations to provide protection so that investors do not leave the project until the commercial production stage. This provision applies to projects that receive incentives. As a result of Shell's escape, the construction and development of the Masela Block was delayed. Moreover, the release of management shares or Shell's participating interest requires approximately 18 months for a 35% stake in the Masela Block.

Kontan, Page-12, Wednesday, Nov 16, 2022

Phase II Oil and Gas Working Area Auction Brings US$ 14 Million Investment

    A total of four Working Areas (WA/WK) were offered in the Phase II Oil and Gas Block Auction which was held in 2021, all of which attracted investors, and resulted in an investment commitment of US$ 14.14 million and a Signature Bonus of US$ 1.2 million.

    Director-General of Oil and Gas at the Ministry of Energy and Mineral Resources, Tutuka Ariadji, said that the working area auctioned, namely the North Ketapang Working Area, was won by Petronas Carigali Ketapang II Ltd., the Agung I Working Area was won by BP Exploration Indonesia Limited. 

Blogger Agus R Purnomo in Petronas Carigali Ketapang

    The Agung II Working Area was won by BP West Papua I Limited and the Bertak Pijar Quail Working Area was won by PT Mitra Multi Karya.

Auction For Oil and Gas Working Area Phase II 2022

    The investment details for the Firm Commitment and Signature Bonus are US$ 8.1 million and US$ 500 thousand for Petronas Carigali (PC) Ketapang. BP Exploration has a definite commitment of US$ 2.5 million and a Signature Bonus of US$ 100 thousand. Then the BP West Papua Definite Commitment investment is US$ 1.5 million and the Signature Bonus is US$ 100 thousand.

    Meanwhile, Mitra Multi's Fixed Commitment investment is US$ 2 million and the Signature Bonus is US$ 500 thousand. Tutuka said that he was very interested in the Working Area auction this time, giving a positive signal for Indonesia's upstream oil and gas investment at a time of challenging global conditions. 

    In the next stage after the announcement, the Government will send an official notification of the winner and the winner of the auction must submit this letter of intent within 14 working days of receiving the notification of the winner.

    In accordance with the Regulation of the Minister of Energy and Mineral Resources Number 35 of 2021, the signing of the Cooperation Contract is carried out no later than 60 calendar days from the announcement of the winner today.

"For this reason, we hope that the winning bidders can immediately prepare the required documents for signing the KKKS," he said.

Regarding Offer privileges

    Participating Interest 15% PT Pertamina (Persero), Pertamina gets 15% Participating Interest Offering Shares in accordance with the provisions in the Bid Document in accordance with the ESDM Ministerial Regulation Number 35 of 2021, the Government will also submit this to Pertamina.

    In addition to the announcement of the Working Areas, there is currently a Regular Auction for the Oil and Gas Working Area Phase II 2021 which consists of four Working Areas, namely Karaeng, Maratua II, Pope, and West Palmerah. The schedule for access to Bidding Documents is still open until March 24, 2022, while the submission of Participation Documents is from March 24 to 25, 2022.

    Director-General of Oil and Gas at the Ministry of Energy and Mineral Resources, Tutuka Ariadji, said that the working area being auctioned, namely the North Ketapang Working Area was won by Petronas Carigali (PC) Ketapang II Ltd, and BP Exploration Indonesia Limited won the Agung I Working Area. The Great II Working Area was won by BP West Papua I Limited and the Pijar Puyuh Bertak Working Area was won by PT Mitra Multi Karya.

Investor Daily, Page-10, Monday, March 21, 2022

FRESH WIND FROM PETRONAS AND BP

 


    The national upstream oil and gas industry gets fresh air from the commitments of Petronas and BP in three of the four work areas offered by the government through the Ministry of Energy and Mineral Resources.

    The inclusion of Petronas and BP in the Working Areas (WK) or oil and gas blocks North Ketapang, Agung I, and Agung II is considered as the success of the government is seeking to improve the investment climate in the country.

    Moshe Rizal, Executive Director of the Association of National Oil and Gas Companies (Aspermigas), said Petronas in the North Ketapang WK, and BP in the Agung I and Agung II WKs is a good thing. The reason is that the two companies are large National Oil Company (NOC) and International Oil Company (IOC).

Blogger Agus Purnomo in Petronas PC Ketapang 

"We hope like that, we will see the realization in the next three years," he said.

    Moshe also hopes that the government will continue to support oil and gas companies in realizing their investment in the country, especially when conducting exploration activities.

"The challenges that will be faced are both technical and non-technical, and the exploration stage is always the riskiest period."

    When announcing the winner of the direct bid bidding for the oil and gas Working Area phase II 2021, Director General of Oil and Gas at the Ministry of Energy and Mineral Resources (ESDM) Tutuka Ariadji said that the terms and conditions offered by the government this time received a good response from the cooperation contract contractors or KKKS.

“We also received input from KKKS that the terms and conditions offered in this auction are very attractive, and their terms are solid. We can see that in Working Area with high risk, the split can be up to 50-50, and if the risk is reduced, the government's share will be bigger," he said.

    He said the government would seek to improve the investment climate in the national upstream oil and gas industry and offer 17 other Working Areas this year.

    To note, the government received a definite investment commitment of US$14.14 million from PetronasBP, and Mitra Multi Karya in the auction. In addition, there is also a signature bonus of US $ 1.2 million obtained by the State.

Working Area Ketapang Block Petronas 

    In detail, Petronas through PC Ketapang II Ltd. will conduct a G&G study at WK North Ketapang with a budget of US$1 million, 3D seismic covering an area of ​​300 square kilometers worth US$6.39 million, multi-client uplift fee from 3D seismic covering an area of ​​​​262 square kilometers US$750,000, and a signature bonus of US$500,000

    In WK Agung I, BP through BP Exploration Indonesia Limited will conduct a G&G study with a budget of US$500,000, 2D seismic covering an area of ​​2,000 square kilometers worth US$2 million, and a signature bonus of US$100,000. As for WK Agung II, BP through BP West Papua I Limited is ready to conduct a G&G study worth US$500,000, 2D seismic covering an area of ​​2,000 square kilometers with a value of US$1 million, and a signature bonus of US$100,000.

    Then Mitra Multi Karya will do a workover of eight wells with a budget of US$2 million, and a signature bonus of US$500,000.

    Tutuka said that the investment commitments from the three companies were a positive signal for national upstream oil and gas investment in times of challenging global conditions.

Blogger Agus Purnomo in SKK Migas

FULL SUPPORT

    Head of SKK Migas Dwi Soetjipto ensured that his party will provide full support so that the management of the North Ketapang Working Areas (WK) ​​can run smoothly until new reserves are found.

    According to him, the election of Petronas as the manager of North Ketapang shows that Indonesia's upstream oil and gas investment is still attractive to world-class investors.

Petronas is one of the largest oil and gas companies in the world. With the additional investment in Indonesia, hopefully, this will be able to attract other world-class investors to follow Petronas' footsteps."

    Petronas Executive Vice President and Chief Executive Officer of Upstream Adif Zulkifli said his party was very happy with the results of the auction. Moreover, Working Areas (WK) North Ketapang is located close to where the company discovered oil reserves last year.

"We will continue to strengthen our upstream oil and gas business to provide value and contribute to the development of the energy industry in Indonesia. As a progressive energy and solutions partner, Petronas is committed to providing Indonesia with a safe and reliable energy supply," he said.

    Separately, BP through its official statement stated that Working Areas (WK) Agung I and II are unexplored areas. The two Working Areas (WK) with very significant gas sources are close to the increasing demand for gas.

"The addition of Agung I and Agung II Blocks to our portfolio reflects our ongoing commitment to invest and grow our business in Indonesia," said BP Regional President Asia Pacific Nader Zaki.

Bisnis Indonesia, Page-4, Monday, March 21, 2022

Three Upstream Oil and Gas Projects Ready to Onstream

    The Special Task Force for Upstream Oil and Gas Business Activities or SKK Migas stated that as many as three upstream oil and gas projects are projected to start operating or onstream in the remaining time of this year.

Blogger Agus Purnomo in SKK Migas

    SKK Migas Deputy Operations Julius Wiratno said that of the 12 projects that have been onstream until the third quarter of 2021, there are still 3 more projects that are being prepared to increase production by around 3,000 barrels of oil per day/BOPD.

    Julius said Pertamina EP's SP Bambu Besar (Asso) project is estimated to provide additional gas production of 7 MMscfd, the Bukit Tua Project Phase 3 Petronas Carigali Ketapang II Ltd. with the potential for additional production of 14,000 BOPD and 30 MMscfd of gas. Then, one of the National Strategic Projects (PSN) for upstream oil and gas, namely Jambaran Tiung Biru Pertamina EP Cepu with a gas production potential of 330 MMscfd.

Blogger Agus Purnomo in Petronas Carigali Ketapang

"SP Bambu Besar Pertamina EP is about to be completed, the plan is to onstream this November. Bukit Tua Phase 2B will stream in December," he said.

    Meanwhile, as many as 12 oil and gas projects have successfully streamed, making the 2021 target 100% realized. The project provides additional national oil and gas production of 14,486 BOPD and 489 MMscfd of gas, with a total investment of US$1.5 billion, or equivalent to Rp21.75 trillion.

    Julius said, if all these projects can be realized, the investment figure will increase to US$ 2.92 billion or equivalent to Rp. 42.34 trillion. According to him, the acceleration of completion of upstream oil and gas projects cannot be separated from the impact of the high increase in world oil prices, above US$80 per barrel.

"World oil prices that continue to increase throughout 2021 encourage KKKS to accelerate the completion of upstream oil and gas projects so that in the third quarter of 2021 the target has been achieved 100 percent. The performance of the completion of upstream oil and gas projects will have a positive impact on accelerating the realization of upstream oil and gas investment until the end of 2023," he said.

    Referring to the results, said Julius, SKK Migas is optimistic that the entry rate at the beginning of next year will be at an optimal level.

    Regarding the JTB project, Julius said there is still a construction stage, pre-commissioning. According to him, the Covid-19 pandemic has had an impact on the progress of the project.

    Julius said the Covid-19 pandemic also had an impact on the limited workforce that could be deployed to the field. Weather constraints are one of the inhibiting factors for the current construction completion.

    Progress is about 94% more. We are still trying to get gas in at the end of 2021," he said.


    Previously, PEPC President Director Awang Blueuardi said that the synergy between SOEs in the construction of the JTB gas unitization field development project belonging to Pertamina EP Cepu (PEPC) Zone 12 Eastern Indonesia Subholding Upstream Pertamina was expected to remain solid even though it was carried out in the midst of the Covid-19 pandemic.

    He said there were many challenges faced by this project during the pandemic, but his party continued to strive to develop innovations and coordinate so that they could continue to solve them.

Bisnis Indonesia, Page-4, Thursday, Nov 4, 2021

Five Oil and Gas Contractors Sign Joint Contracts for Procurement of Rigs

    A total of five oil and gas companies signed a joint contract to use the jack-up rig Soehanah to realize the target of drilling wells in their respective oil and gas blocks. In addition to speeding up drilling, joint procurement of these rigs will also save costs and ultimately make the realization of investment costs that must be returned (cost recovery) more efficient.

rig Soehanah

    The five companies that signed the Jack Up drilling Rig contract Provision are Medco E&P Natuna Ltd, Mubadala Petroleum, Petronas Carigali, Premier Oil Natuna Sea BV, and Kuwait Foreign Petroleum Exploration Company (KUFPEC), with PT Vantage Drilling Company Indonesia.

Blogger Agus Purnomo in Petronas Carigali Ketapang

    Head of the Supply Chain Management and Cost Analysis Division Erwin Suryadi appreciated the joint procurement of rigs by the five cooperation contract contractors (KKKS) this. The existence of a joint contract provides certainty of the well's drilling schedule. This will ultimately support the achievement of the targets of 1 million barrels per day (BPD) and 12 billion standard cubic feet per day/BSCFD by 2030.

"With this joint contract, the commitment to drilling 12 development wells, 1 workover well, and 5 exploration wells can be fulfilled," he said.

    Not only speeding up the drilling process, but joint contracts will also increase cost recovery efficiency. From the signed contract,

    Medco Natuna E&P achieved efficiencies of up to US$ 5 million and other oil and gas companies of US$ 3.5 million. In the future, he hopes that this joint contract can also be applied to other contracts.

"The strategy of using joint contracts, especially for rig equipment which is very expensive, is one of the strategies that will be developed in the future, especially in stimulating exploitation and exploration activities to support the increase in national oil and gas production in a sustainable manner," said Erwin.

    President Director of Medco E&P Indonesia Ronald Gunawan said that his party always made various exploration and production activities efficient. However, on the other hand, his party still prioritizes the safety aspect in carrying out operations.

"We are grateful for the support of SKK Migas, other KKKS partners, and partners so that this amendment can be carried out," said Ronald.

Blogger Agus Purnomo in SKK Migas

    The realization of Wells drilling that has not been optimal is one of the reasons why the oil and gas production target has not been achieved this year. Referring to SKK Migas data, until last June, the realization of drilling development wells was still 186 wells from the target of 616 wells. 

    Furthermore, the realization of rework (workover) wells was 309 wells or 50% of the target 615 wells and the realization of drilling exploration wells was only 13 wells or 27% of the target 48 wells.

    As of June, the realization of oil and gas lifting was still recorded at 1.6 million barrels of oil equivalent per day (BOEPD) or 95.6% of the target of 1.7 million BOEPD. In detail, oil lifting reached 666.6 thousand BPD or 94.6% of the APBN target of 705 thousand BPD, and gas was 5,430 million standard cubic feet per day/MMscfd or 96.3% of the 5,638 MMscfd targets. 

Investor Daily, Page-9, Saturday, Aug 7, 2021

Pertamina is back in the Fortune Global 500

    PT Pertamina (Persero) re-registered its name as the only Indonesian company to be included in the 2021 Fortune Global 500 list. With a company revenue value of US$ 41.47 billion in the 2020 financial year, Pertamina is in position 287.


"We would like to thank all stakeholders because Pertamina's achievements cannot be separated from the positive support from various parties, both the directors, the board of commissioners and all Pertamina Group employees, as well as shareholders, the government, and the community. This is also an international recognition that Pertamina is equal to other world-class companies," said Pertamina's President Director, Nicke Widyawati.

Nicke Widyawati

    Nicke said, in the challenges of the pandemic since last year, Pertamina faced a triple shock so that it suffered a significant decline in revenue. However, with innovations and business breakthroughs carried out in all business lines and the ongoing organizational transformation, Pertamina was able to increase the company's revenue to US$ 41.47 billion and make a profit of US$ 1.05 billion in 2020. As a BUMN, Pertamina is also consistent. 

    Ensure the supply of energy for the country through various programs, including One Price Fuel, Conversion of Oil to Gas for Fishermen and Farmers, construction of Natural Gas Transmission & Distribution Networks, as well as other downstream infrastructure.

    Through the achievement of Pertamina's operational and financial performance, the total government revenue in 2020 contributed by Pertamina almost reached Rp 200 trillion, namely through tax payments, dividends, Non-Tax State Revenue (PNBP) worth Rp 126.7 trillion, as well as state revenues from oil. The State Shares of Crude and Condensate (MMKBN) from Pertamina's oil and gas blocks amounted to Rp 73.1 trillion.

    With an energy ecosystem that continues from upstream to downstream, Pertamina maintains the survival of 1.2 million direct workers and the multiplier effect on around 20 million workers indirectly. Pertamina's support for the wider community for the recovery of the pandemic also continues to be felt. 

    Starting from the construction of several Covid-19 hospitals, transportation assistance for oxygen distribution, to Pertamina's attention to more than 13,000 MSMEs affected by the pandemic to be able to survive and even upgrade to class.

“The challenges of the Covid-19 pandemic are not light. In addition to strengthening steps to achieve the target market value of US$ 100 billion by 2024, all levels of management and employees remain focused on providing services to the community. We are optimistic that it will continue to grow and continue to provide the widest possible benefits for the community and the country,” said Nicke.

    The Fortune Global 500 ranking is an annual event conducted by Fortune magazine since 1955. The main benchmark is the amount of revenue, including consolidated gross revenue. Other indicators are shareholder equity participation, market capitalization, profits, number of employees, and since 1990 the company's country of origin indicator has also been considered in the Fortune Global 500. Several names of international oil companies are also listed in the 2021 Fortune Global 500 ranking.

    Although financially managed to achieve significant revenues, the company suffered losses. Among them are BP (ranked 18), Royal Dutch Shell (19), ExxonMobil (23), Chevron (75), and Petronas (277). Below Pertamina's ranking, Repsol is in position 381, while from other industries there are Coca-Cola (370), Tesla (392), and Danone (454).

Erick Thohir

Erick: The Form of Hard Work

    Meanwhile, SOE Minister Erick Thohir considered Pertamina's entry into Fortune's list of the world's 500 largest companies as a form of hard work from all elements of the company.

"I am optimistic that Pertamina's performance can be even better. And the frame for Pertamina is to compete with competitors at the world level. Because Pertamina has all the requirements, both quality and capability, to support it as one of the world's big companies," said SOE Minister Erick Thohir.

    Erick views the world's recognition of Pertamina's existence as evidence of ongoing organizational reforms. One of the changes that he considered important as implementing the company's core values ​​that we're trustworthy, competent, loyal, adaptive, and collaborative. So far, Pertamina has never lacked qualified resources.

“But resources without the appropriate value will certainly not be in line with performance. We certainly strive together, so that values ​​that uphold good corporate governance can be the basis. With that, I'm sure performance will follow. Because the results will not betray the process," said Erick Thohir.

    He also highlighted Pertamina's performance from a business and non-business perspective in the midst of the Covid-19 pandemic that is sweeping the world. In the midst of a pandemic that affected the slowdown in the business sector, Pertamina was still able to become one of the driving forces of the economy. Not only that, but Pertamina also plays an active role in efforts to recover from the pandemic from a health perspective.

"Not only performance from the business side, in the current pandemic era we can see the central role of Pertamina through several business lines to support public health. Starting from hospitals, hotels which have been converted as places of isolation and rest for health workers, to actively participating in ensuring the availability of oxygen, "said Erick Thohir.

    Erick hopes that all positive performances, both on the business and non-business sides, can continue to be improved. As a business-oriented company as well as providing services to the public, Pertamina should not be satisfied.

“Our benchmark must be high. So it's not enough just to be in the top 500, we can do even better. Our dream is that Pertamina can become the 50 largest companies in the world and our other SOEs will also enter the top 500," said Erick Thohir.

Investor Daily, Page-1, Wednesday, Aug 4, 2021

East Java Potentially Excess Gas Supply


    The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) stated that East Java will have an excess gas supply of up to 200 million standard cubic feet per day / MMscfd in 2022-2025. This is after the completion of a number of gas projects in the region at the end of this year.

Blogger Agus Purnomo in SKK Migas

    Deputy of Finance and Monetization of SKK Migas, Arief S Handoko, said that at least three oil and gas projects in East Java will be completed by the end of this year, namely the Jambaran-Tiung Biru (JTB) Project, Sidayu and Bukit Tua Phase 2B owned by Petronas


Blogger Agus Purnomo in Petronas PC Ketapang II

    The three of them will increase the gas supply in East Java. With this potential gas supply, SKK Migas hopes that the gas user industry can optimize business deals fairly and stick to the provisions in the Minister of Energy and Mineral Resources Regulation Number 8 of 2020 and Minister of Energy and Mineral Resources Decree Number 89 of 2020 which regulates gas prices for certain industries.

"While gas prices from upstream are very economical, we hope that the government can encourage the growth of the gas user industry in East Java and Central Java so that this gas potential can be purchased so that it can drive the regional economy and create a bigger multiplier effect," said Arief.

    Referring to SKK Migas data, the additional supply from the JambaranTiung Biru, Sidayu, and Bukit Tua Phase 2B projects is estimated at 226.2 MMscfd. The Jambaran-Tiung Biru Field Unitization Project undertaken by PT Pertamina EP Cepu (PEPC) will produce gas up to 192 MMscfd. 

The Jambaran-Tiung Biru Field

    Meanwhile, the additional supply from the Sidayu Project is 4.2 MMscfd for gas and 7 thousand barrels per day (bpd) for oil, and Bukit Tua Phase 2B 30 MMscfd for gas and 12,500 bpd for oil.

"The largest additional supply will be obtained from the JTB Project which we estimate will be on stream in the fourth quarter of 2021. This project can supply gas amounting to 192 MMscfd, which will be supplied not only to East Java but also to Central Java, "said Arief.

    He explained that the Jambaran-Tiung Biru Project, which was included in the list of National Strategic Projects (PSN), was scheduled to start production last year. However, the Covid-19 pandemic last year caused delays in completing this project this year. Apart from the three projects, previously there was a West Pangkah Project operating.

"At the beginning of the year there was also the West Pangkah Petronas Project which increased gas supply from the Pangkah Block, so it can be said that the amount of gas supply in East Java for 2021 will be fulfilled," he explained.

    The West Pangkah project produced 23 MMscfd of gas and 2,200 bpd of oil. To increase the utilization of this gas supply, Arief continued, his party is also encouraging the completion of the Cirebon-Semarang pipeline in order to develop the gas market in Central Java. The reason is, currently, a Gresik-Semarang pipeline has been built that can carry gas from East Java to Central Java.

"In the future, we hope that the Cirebon-Semarang transmission pipeline can be built, so that with this gas pipeline, the excess gas supply in East Java will be channeled to support the fulfillment of gas needs for industries in Central Java," said Arief.

    In fact, referring to the Gas Balance, which was compiled in 2018, East Java is one of the areas projected to have a gas supply deficit. This projection refers to the second scenario in the balance sheet which estimates gas demand based on the previous year's consumption realization and economic growth targets. The gas deficit of 563.23 MMscfd in East Java-based on this scenario will occur in 2027.

Investor Daily, Page-10, Friday,  April 16, 2021

Kepodang Field supplies gas again

 


    The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) stated that the Kepodang Field, Muriah Block, returned to flow gas since last February. This gas supply is around 20 million standard cubic feet per day / Mmscfd. 

Blogger Agus Purnomo in SKK Migas

    SKK Migas Operations Deputy Julius Wiratno said that the gas supply from the Kepodang Field has been flowing since some time ago to PLTGU Tambaklorok owned by PT PLN (Persero).

Kepodang Field

"We have returned gas from the Kepodang Field some time ago at a rate of around 15-20 MMscfd," he said.

    This was also confirmed by the Regional Business Director for Java, Madura, and Bali PLN Haryanto WS.

"It is true, the gas from the Kepodang Field has been flowing again," he said.

    Kepodang Field, Blok Muriah started producing 56 MMscfd of gas for the first time at the end of August 2015. This gas supply is supplied by the Kalimantan-Java (Kalija) I pipeline managed by PT Kalimantan Jawa Gas (KJG) to the Tambak Lorok in Semarang Center Java Steam Gas Power Plant (PLTGU) belongs to PLN. 

Blogger Agus Purnomo In Petronas PC Ketapang II

    However, in July 2017, Petronas stated that the Kepodang Field was in force majeure because reserves did not match predictions.

    This field gas production was then stopped on September 23, 2019. PT Saka Energi Indonesia then received permission from SKK Migas to restart gas production in the Kepodang Field.

    In the future, his party cannot confirm whether the gas production at Kepodang Field can be increased. The reason is that the field development plan is still being discussed by Saka Energi.

"Regarding the next development plan, we are still evaluating it by considering Saka's potential," he said.

    Director of Strategy and Business Development, Syahrial Mukhtar, once revealed that the Kepodang Field has the potential to produce natural gas on average around 15 billion British thermal units per day / BBTUD for 37 months since the first gas flow (gas in).

    This supply is planned to be channeled to PLTGU Tambak Lorok in Semarang and industrial customers in Central Java with a total volume of around 10-20 Mmscfd. PGN has been involved in managing the Kepodang Field, Muriah Block from the start through Saka Energi Muriah Limited (SEML) with a 20% PI ownership.

Blogger Agus Purnomo in PGN Saka Energi Muriah Limited

    However, Petronas Carigali Muriah Limited (PCML) and SEML have signed a legal document for the transfer of Petronas' participating interest or Deed of Assignment (DoA) participating interest shares at the end of January. Thus, now SEML holds 100% participating rights in the Muriah Block.

Investor Daily, Page-9, Saturday,  March 20, 2021

Gas Supply from Kepodang Field Has Been Flowing

 


    Gas distribution from Saka Energi Muriah Ltd (SEML) 's Kepodang Field to meet the gas needs of the Tambak Lorok Power Plant in Central Java Province has started in February 2021. Acting Head of Program and Communication Division of SKK Oil and Gas (SKK Migas) Susana Kurniasih revealed the distribution gas that was previously delayed has been resumed.

Blogger Agus Purnomo in SKK Migas

"The flow has started since February, to be precise February 19, 2021," said Susana.

    Susana continued that the gas distribution volume for the Tambak Lorok Semarang Gas Power Plant (PLTG) is around 8 billion British Thermal Units per Day (BBTUD) to 10 BBTUD. SKK Migas Operations Deputy Julius Wiratno confirmed that the distribution of gas from the Kepodang Field has been carried out.

"Everything is channeled to PLN according to production which is only about 20 MMSCFD," explained Julius Wiratno.


Blogger Agus Purnomo in Petronas Carigali 

    The Muriah Operatorship has shifted from Petronas Carigali Muriah Ltd (PCML) to Saka Energi Muriah Limited (SEML). After the legal document for the transfer of the participating interest or Deed of Assignment (DoA) was signed by the two contractors at the end of January last year. 

Kepodang Field

    Kepodang Field is part of the Muriah Work Area, which is located off the coast of East Java. This field started producing natural gas for the first time of 56 million cubic feet per day (MMSCFD) at the end of August 2015.

Kontan, Page-13, Wednesday,  March 17, 2021

Beauty Secretary

OIL PRICE

Oil Price This Week