To be efficient, the government must help Pertamina

    The government should be able to help PT Pertamina (Persero) to get a contract to purchase crude oil directly from the National oil company/NOC of another country. Direct import contracts are considered more efficient because they can cut the cost of procuring crude oil.

PT Pertamina (Persero)

    The Executive Director of the Reforminer Institute, Komaidi Notonegoro, said that purchasing crude oil directly from NOCs of other countries would cut the supply chain of crude oil. This will have an impact on cheaper procurement costs, so it is positive for Pertamina, the government, and the community as consumers of fuel oil (BBM).

the Nigerian National Petroleum Corporation (NNPC)

    Pertamina's move to buy crude oil directly from the Nigerian National Petroleum Corporation (NNPC) is considered very positive. However, the company needs to be more aggressive in obtaining long-term direct purchase contracts to secure domestic fuel supplies.

“Generally there is state intervention. The agreement will generally be accompanied by bilateral cooperation in the same sector or other sectors," he said.

    Pertamina is not the first time buying Nigerian crude oil. Previously, for the 2017-2020 period, oil imports from Nigeria reached 30% of the company's total imports. This Nigerian oil belongs to the sweet crude category which is in accordance with the company's refinery specifications.

    However, this crude oil is usually marketed in the international market by International Oil Companies (IOCs) with participating interest (PI) in the oil and gas blocks in the country, such as ExxonMobil, Chevron, Shell, Total, and BP. Thus, this is the first time Pertamina has conducted a direct purchase contract with NNPC. In obtaining this contract, Pertamina must compete with 500 companies that register.

    According to Komaidi, the state usually helps its national companies to obtain similar agreements. He gave an example, the United States government does not even hesitate to intervene directly to help business entities originating from their country, even though they are not state-owned enterprises.

"Especially if this is Pertamina, which is a State-Owned Enterprise (BUMN)," he asserted.

    Currently, Pertamina seems to be left to do it alone. Whereas on the other hand, the government assigns and demands a very large tax contribution and Non-Tax State Revenue (PNBP) from the company. 

    Regarding the crude oil import contract with NNPC, Corporate Secretary of PT Pertamina Indonesia Refinery Ifki Sukarya said the volume will adjust to the development of refinery supply and demand in the coming year. This purchase contract is one of the efforts to ensure a sufficient supply of crude oil at the refinery.

"The estimated volume of crude oil supply from NNPC is currently around 900,000 barrels per quarter," said Ifki.

    Previously, KPI's Vice President of Feedstock & Inventory Management, Sani Dinar Saifuddin, said that Nigeria is Pertamina's largest source of crude oil imports. Meanwhile, the largest oil import is the type of Arabian Light Crude from Saudi Arabia's national oil company, namely Saudi Aramco.

Investor Daily, Page-10, Friday, July 23, 2021

Pertamina Imports Crude Oil from Nigeria

    PT Pertamina (Persero) through PT Pertamina International Refinery (KPI) received a crude oil procurement contract from Nigeria. The import of crude oil was obtained by Pertamina from the Nigerian National Petroleum Corporation (NPCC).

NPCC

    Director of Feedstock and Product Optimization of KPI Yoki Firmandi said this is the first direct contract between Pertamina and NPCC, although Pertamina often buys Nigerian oil. So far, Pertamina has had to buy Nigerian crude oil through the international open market that has a Participating Interest, such as ExxonMobil, Chevron, Shell, Total, and BP.

Pertamina

"With Pertamina's direct deal with NPCC, the procurement process can take place more efficiently. Of course, getting a contract directly will be more efficient. This is in accordance with the refinery feedstock optimization plan in the future,” said Yoki.

    Pertamina was selected as an awardee from a total of 500 companies that registered. NNPC is a Nigerian National Oil Company, like Pertamina in Indonesia. The direct supply contract is very important for bilateral relations between the two countries. Yoki said that Nigerian crude oil is sweet crude.

    This direct contract has a duration from 2021 to 2023. Yoki explained that KPI was not alone in getting this direct contract. Purchasing crude oil directly to the NPCC is expected to increase the efficiency of purchasing crude oil directly to oil producers.

    KPI synergizes with Subholding Shipping PT Pertamina International Shipping (PIS) in terms of transportation. PIS has just launched two new Very Large Crude Oil Carrier (VLCC) vessels, namely MT Pertamina Prime and MT Pertamina Pride. Later the oil will be transported by a ship owned by PIS.

VLCC MT Pertamina Prime

    In addition, Pertamina International Marketing & Distribution, Pte Ltd (PIMD) under Subholding Commercial and Trading also played a role in supporting KPI in obtaining the contract. Vice President of Feedstock and Inventory Management KPI Sani Dinar Saifuddin said Nigerian oil has a large portion of Pertamina's oil import volume. In the 2017-2020 period, 30 percent of the volume of imported crude oil came from Nigeria. Pertamina's crude imports in 2019 amounted to 75.3 million barrels.

"Nigeria is Pertamina's second-largest source of crude oil imports, after Arabian Light Crude supply to FOC I RU IV Cilacap from NOC Saudi Arabia Aramco," said Sani.

 

Aramco

    Meanwhile, crude oil imports this year are projected to increase significantly compared to 2020. According to Pertamina's 2021 projection data, crude oil imports are targeted to reach 118.4 million barrels, an increase of about 50.4 percent compared to last year's crude oil imports which were only 78.7 percent. million barrels.

Nicke Widyawati

    Pertamina President Director Nicke Widyawati said Pertamina needed to maximize the refinery processing capabilities that needed to be supplied with oil. In addition, there was a decrease in GOI entitlement due to the still low Indonesian oil price (ICP).

"We have an increase in imports of 39.7 million barrels," said Nicke.

    Previously, Nicke projected that the volume of crude oil imports this year would increase to 118.4 million barrels. This projection is up 50.4 percent from the realization of crude oil imports throughout 2020 which reached 78.7 million barrels. The increase in crude oil imports is part of Pertamina's refinery optimization strategy.

Republika, Page-9, Wednesday, July 14, 2021

Pertamina Imports Crude Oil Directly from Nigeria

    PT Pertamina (Persero) through PT Refinery Pertamina Internasional (KPI), managed to get a contract to import crude oil directly from the Nigerian national oil and gas company, namely the Nigerian National Petroleum Corporation (NNPC). This direct contract makes the cost of procuring crude oil more efficient. 

the Nigerian National Petroleum Corporation (NNPC)

    In general, Nigerian crude oil is marketed in the international market by the International Oil Company (IOC) which has Participating Interest (PI) in the oil and gas blocks in the country, such as Exxon Mobil, Chevron, Shell, Total, and BP. The direct agreement between Pertamina and NNPC makes the procurement process more efficient.

"Of course, getting a direct contract will be more efficient which is in line with the refinery feedstock optimization plan in the future," said KPI's Director of Feedstock & Product Optimization Yoki Firnandi.

    The crude oil import contract with NNPC is valid from this year until 2023. The entire supply of oil is to meet the feedstock needs of Pertamina's refineries. Previously, for the 2017-2020 period, oil imports from Nigeria reached 30% of the company's total imports. This Nigerian oil belongs to the sweet crude category which is following Pertamina's refinery specifications.

Aramco

"Nigeria is Pertamina's second-largest source of crude oil imports, after Arabian Light Crude supply to the Cilacap Refinery from Saudi Arabia's NOC (national oil company/national oil company), Aramco," said Pertamina's Vice President of Feedstock & Inventory Management, Sani Dinar Saifuddin.

    To get the supply of Nigerian crude oil, Pertamina must compete with 500 companies that register. The direct contract with NNPC is Pertamina's first achievement. Pertamina International Marketing & Distribution Pte Ltd (PIMD) under PT Pertamina Patra Niaga as Subholding Commercial Marketing also supported KPI in getting the contract.

the Pertamina Prime VLCC

    Later, the transportation of crude oil from Nigeria will be carried out by PT Pertamina International Shipping (PIS). Moreover, PIS has completed the procurement of two very large crude carriers (VLCC), namely the Pertamina Prime and Pertamina Pride tankers.

Nicke Widyawati

    Previously, Pertamina President Director Nicke Widyawati said that after forming the sub-holding, subsidiaries were given the freedom to formulate types of crude oil that could produce good quality and better yields of valuable products. So, her party decided to use imported crude oil more. 

    Referring to Pertamina's data, imports of crude oil this year will reach 118.4 million barrels, up 39.7 million barrels or 50.44% from last year's imports of only 78.7 million barrels. Crude oil imports in 2021 are also much higher than imports in 2019 which amounted to 86.9 million barrels.

    This strategy can also reduce the trade balance deficit. This is because the price of imports is lower than the price of Indonesia's oil exports. The average purchase of crude oil imports this year is US$ 57.8 per barrel, while Indonesia's average oil exports reach US$ 59.8 per barrel. She estimates that there will still be a surplus of US$ 75 million.

Investor Daily, Page-10, Tuesday, July 13, 2021

Spur Lifting 1 Million Barrels

Dwi Soetjipto spurred his bicycle fast. Rocky ground that is still wet because of the rain last night passed through it easily. Splashes of water can be seen occasionally when a bicycle wheel splits a puddle.

Dwi Soetjipto

The sun has not been very hot, but the man who served as the Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) was like a race against time. After riding the bike for about 10 minutes, he finally stopped at an area of ​​green pasture. It appears only heavy equipment surrounded by iron chains.

Dwi, then stopped right in front of a rusty board that read Rhinoceros 1, which was the first gas well in Indonesia to produce. It was first drilled on 27 November 1971 and currently the Badak 1 well, in the Badak Field, Sanga Sanga Block is no longer in production.

Sanga Sanga Block

A visit to the old well on Saturday (12/28/2019) closed his trip for 3 days 2 nights in East Kalimantan. Near the end of 2019, there were two oil and gas block operators he visited, namely Senipah Terminal operated by Pertamina Hulu Mahakam (PHM) and Pertamina Hulu Sanga Sanga (PHSS). Specifically at the Senipah Terminal, he reviewed the year-end lifting readiness.

The Mahakam Block East Borneo

According to the schedule, PHM will carry out lifting at the end of the year on 30 and 31 December 2019 with 175 million barrels of oil per day (MBOPD) of Bekapai Crude Oil and 350 MBOPD of Handil Mix Crude (HMC) respectively.

As of December 20, 2019, Senipah Terminal has carried out 74 oil shipments with an average of six to nine times each month. Outlook 2019, Senipah Terminal is targeting to be able to produce oil of 35.7 MBOPD with a lifting of 36.1 MBOPD. 

    The lifting amount covers 99% of the target work program and budget (WP&B) agreed by the Cooperation Contract Contractor (KKKS) together with SKK Migas. Meanwhile, if it is adjusted to the central government's target, the amount of lifting still covers 71.6% of the APBN target.

Realization until 22 December 2019, Senipah Terminal has produced 35.7 MBOPD with 34.6 MBOPD liftings. Oil and gas production in the Mahakam Block experienced a peak in the 1980s. After that, a natural decline in production occurs. Moreover, gas production such as balloons which when stabbed or drilled will experience high production but slowly decreases dramatically. Unlike the relatively flat oil production.

Dwi Soetjipto acknowledged the efforts made by PHM to hold the rate of decline in production were very massive, starting from optimizing the baseline interventions of existing and new wells, and lowering the pressure in existing fields. 

    However, he admitted that the APBN lifting target was not in accordance with the conditions on the ground. For example, the gas lifting target in the Mahakam Block based on the 2019 National Budget is 1,100 million cubic feet per day (MMSCFD), but the realization is only around 720 MMSCFD.

"The Mahakam Block even when Total [operated by Total before the transition to Pertamina Upstream Mahakam] was red, the figure was below 700 [MMSCFD]," he said.

Dwi is optimistic that the Indonesian oil and gas industry will one day enter the second golden era. He gave an example that the United States, which was previously the world's largest oil importer, is now able to become an exporter country thanks to advanced oil drainage with the Enhanced Oil Recovery (EOR) technique. In 2030, Indonesia is believed to be able to lift 1 million barrels of oil per day. Followed by natural gas lifting of 12,000 MMSCFD.

Like driving a bicycle fast, Dwi Soetjipto tried to realize the dream. There are four strategies that will be carried out, namely optimizing existing fields, making reserve wells for production, EOR, and aggressively conducting exploration. 

   Specifically in the Mahakam Block, SKK Migas has approved the Optimization of the Development of the First Field (OPLL-1) PHM of 257 wells in five sector areas namely 200 in the Tunu field, 18 wells in the Handil field, 8 wells in the Tambora field, 22 wells in the Peciko field, and 9 wells in the Bekapai field.

The well's potential resource is believed to be 279 billion cubic feet / BCF and 9 million barrels of oil / MMbbl. Later, field optimization will be followed by the next OPLL. Specifically OPLL-1, will guarantee the development of Mahakam Block production until 2022.

"The SKG MIgas began to change, the Mahakam OPLL was the first to be approved with the highest number of wells in only one approval, which is 257 wells. Usually only 10 of these wells are approved and specifically for Mahakam, "he said.

SKK Migas is also currently evaluating the PHSS OPLL proposal in the Sanga Sanga Block. The plan, PHSS will drill 755 wells which are believed to be able to encourage production until 2031. Exploration is also encouraged in other blocks. In fact, currently, SKK Migas is fighting for a number of incentives that are able to be received by KKKS in managing uneconomic fields.

These incentives can be in the form of taxation, credit, or profit-sharing schemes. Director of Pertamina Hulu Mahakam (PHM) Eko Agus Sardjono said that his party needed incentives from the government because the fields to be produced were not included in the economic scale. 

     In 2020, PHM plans to drill 115 development wells and two exploration wells. Pertamina Upstream General Manager Sanga-Sanga Ateng Surahman also claimed to need support from the government to increase the economic value of the project due to the small nature of the reservoir.

At present, PHSS oil lifting is 10,500 BOPD and gas is 67 MMSCFD. PHSS began to drill 4 new wells in 2018 and continued in 2019. 27 wells were aimed at increasing production. In 2020, the plan is to drill 40 oil and gas wells.

IN INDONESIA

Memacu Lifting 1 Juta Barel

Dwi Soetjipto memacu kencang sepedanya. Tanah berbatu yang masih basah karena hujan semalam di lewatinya dengan mudah. Cipratan air sesekali terlihat ketika roda sepeda membelah genangan.

Matahari belum begitu terik, tetapi pria yang menjabat sebagai Kepala Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) itu seperti berlomba dengan waktu. Setelah mengayuh sepeda kurang lebih 10 menit, akhirnya dia berhenti di sebuah area padang rumput hijau. Tampak hanya sebuah alat berat yang dikelilingi rantai-rantai besi. 

Dwi ,kemudian berhenti tepat di depan papan berkarat bertuliskan Badak 1, yang merupakan sumur gas pertama di Indonesia berproduksi. Pertama kali dibor pada 27 November 1971 dan saat ini sumur Badak 1, di Lapangan Badak Blok Sanga Sanga sudah tidak berproduksi lagi.

Kunjungan ke sumur tua pada Sabtu (28/12/2019) itu menutup perjalanannya selama 3 hari 2 malam di Kalimantan Timur. Jelang akhir tahun 2019, ada dua operator blok migas yang dikunjunginya yakni Terminal Senipah yang dioperatori Pertamina Hulu Mahakam (PHM) dan Pertamina Hulu Sanga Sanga (PHSS). Khusus di Terminal Senipah, dia meninjau kesiapan lifting akhir tahun. 

Menurut jadwal, PHM akan melakukan lifting akhir tahun pada 30 dan 31 Desember 2019 dengan masing-masing sebesar 175 million barrel oil per day (MBOPD) Bekapai Crude Oil dan 350 MBOPD Handil Mix Crude (HMC).

Adapun hingga 20 Desember 2019, Terminal Senipah telah melakukan 74 kali pengapalan minyak dengan rata-rata setiap bulan sebanyak enam hingga sembilan kali. Outlook 2019, Terminal Senipah menarget mampu memproduksi minyak sebesar 35,7 MBOPD dengan lifting 36,1 MBOPD. 

     Besaran lifting tersebut menliputi 99% target work program and budget (WP&B) yang disetujui Kontraktor Kontrak Kerja Sama (KKKS) bersama SKK Migas. Sementara itu, jika disesuaikan dengan target pemerintah pusat, besaran lifting itu masih mencakup 71,6% dari target APBN.

Realisasi hingga 22 Desember 2019, Terminal Senipah telah memproduksi 35,7 MBOPD dengan lifting 34,6 MBOPD. Produksi migas di Blok Mahakam mengalami puncak kejayaan pada era 1980-an. Setelahnya, penurunan produksi secara alami atau natural decline terjadi. 

    Apalagi, produksi gas seperti balon yang ketika ditusuk atau dibor akan mengalami produksi tinggi tetapi perlahan menurun drastis. Berbeda dengan produksi minyak yang relatif datar.

Dwi Soetjipto mengakui, upaya yang dilakukan PHM untuk menahan laju penurunan produksi sangat masif mulai dari optimalisasi baseline intervensi sumur eksisting maupun sumur baru, dan lowering pressure di lapangan-lapangan eksisting. 

      Namun, target lifting APBN diakuinya memang tidak sesuai dengan kondisi di lapangan. Misalnya, target lifting gas di Blok Mahakam berdasarkan APBN 2019 adalah sebesar 1.100 juta kaki kubik per hari (MMSCFD), tetapi realisasinya hanya mencapai sekitar 720 MMSCFD.

“ Blok Mahakam bahkan saat Total [dioperatori Total sebelum transisi ke Pertamina Hulu Mahakam] pun merah, angkanya di bawah 700 [MMSCFD],” katanya.

Dwi optimistis industri minyak dan gas di Indonesia kelak akan memasuki second golden era. Dia mencontohkan Amerika Serikat, yang sebelumnya menjadi importir minyak terbesar dunia, kini justru mampu menjadi negara eksportir berkat pengurasan minyak tahap lanjut dengan teknik Enhanced Oil Recovery (EOR). Pada 2030, Indonesia diyakini akan mampu melakukan lifting 1 juta barel minyak per hari. Diikuti dengan lifting gas bumi sebesar 12.000 MMSCFD.

Seperti memacu sepeda dengan kencang, Dwi Soetjipto berupaya merealisasikan mimpi tersebut. Ada empat strategi yang akan dilakukan yakni optimalisasi lapangan eksisting, menjadikan sumur-sumur cadangan untuk bisa berproduksi, EOR, dan gencar melakukan eksplorasi. 

   Khusus di Blok Mahakam, SKK Migas telah menyetujui Optimasi Pengembangan Lapangan Lapangan Pertama (OPLL-1) PHM sebanyak 257 sumur di lima sektor area yakni 200 di lapangan Tunu, 18 sumur di lapangan Handil, 8 sumur di lapangan Tambora, 22 sumur di lapangan Peciko, dan 9 sumur di lapangan Bekapai.

Potensi sumber daya sumur tersebut diyakini sebanyak 279 miliar kaki kubik/BCF dan 9 million barrels of oil/MMbbl. Nantinya, optimalisasi lapangan akan diikuti dengan OPLL selanjutnya. Khusus OPLL-1, akan menjamin pengembangan produksi Blok Mahakam hingga 2022.

“SKK MIgas mulai berubah, OPLL Mahakam merupakan yang pertama kali disetujui dengan jumlah sumur terbanyak hanya dalam satu approval yakni 257 sumur.

Biasanya hanya 10 sumur ini sekali persetujuan dan khusus untuk Mahakam,” katanya.

SKK Migas juga saat ini sedang melakukan evaluasi proposal OPLL PHSS di Blok Sanga Sanga. Rencananya, PHSS akan mengebor 755 sumur yang diyakini

akan mampu mendorong produksi hingga 2031. Eksplorasi juga didorong di blok blok lain. Bahkan, saat ini SKK Migas sedang memperjuangkan sejumlah insentif yang mampu diterima KKKS dalam mengelola lapangan-lapangan yang tidak ekonomis. 

Insentif tersebut dapat berupa perpajakan, kredit, maupun skema bagi hasil. Direktur Utama Pertamina Hulu Mahakam (PHM) Eko Agus Sardjono mengatakan, pihaknya membutuhkan insentif dari pemerintah karena lapangan-lapangan yang akan diproduksi tersebut tidak masuk dalam skala keekonomian. 

     Pada 2020, PHM berencana mengebor 115 sumur pengembangan dan dua sumur eksplorasi. General Manager Pertamina Hulu Sanga-Sanga Ateng Surahman juga mengaku butuh dukungan dari pemerintah untuk meningkatkan nilai keekonomian proyek karena sifat reservoar yang kecil-kecil.

Saat ini, lifting minyak PHSS sebesar 10.500 BOPD dan gas sebesar 67 MMSCFD. PHSS mulai mengebor sumur baru pada 2018 sebanyak 4 sumur dan dilanjutkan pada 2019. sebanyak 27 sumur dengan tujuan untuk meningkatkan produksi. Pada 2020, rencananya akan dilakukan pengeboran 40 sumur migas. 

Bisnis Indonesia, Page-9, Monday, Dec 30, 2019

Pertamina will immediately invest in the Rokan Block

The government said PT Pertamina (Persero) was immediately involved in investing in Block Rokan after the new production sharing contract / PSC was signed. The discussion of the management of this block between Pertamina and PT Chevron Pacific Indonesia has been started since last year.

The government has set Pertamina as the manager of the Rokan Block in Riau starting August 9, 2021. With the management of the Rokan Block by Pertamina, the contribution of SOE's oil production has increased to 60% of national oil production.

 the Rokan Block

Deputy Minister of Energy and Mineral Resources (ESDM) Arcandra Tahar stated that Pertamina would immediately invest after the signing of a cooperation contract for gross split yields.

"Pertamina will immediately invest in Rokan Block. Immediately after signing the contract, immediately. Pertamina has also reported which wells will be drilled, "diA said.

Head of the Communication Bureau, Public Information Services and Cooperation of the Ministry of Energy and Mineral Resources Agung Pribadi added, since December last year, the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) was moving quickly so that the transition process went well. The collaboration of the working groups from SKK Migas, Pertamina and Chevron Pacific Indonesia has also begun.

According to him, this was done to discuss the preparation of transfer management, which intensively worked on analyzing technical, legal, and commercial aspects to maintain the production level of the Rokan Block until later management switched to Pertamina in 2021. 

     Learning from the transition experience The Mahakam Block, the discussion and preparation for the transition of the Rokan Block was carried out earlier, more intensively, but still effective, so it was expected to be accelerate the transition process with better results.

"Working group collaboration will be intensified in 2019 and in the future," Agung said.

As is known, during the transition to the management of the Mahakam Block, Pertamina began participating in disbursing investment before operatorship rights shifted from Total E & P Indonesie. Pertamina began to spend US $ 180 million in 2017. In fact, Pertamina was officially appointed as the operator since mid-2015 and the contract was signed in December 2015.

The Rokan Block contract is targeted to be signed this month. Previously, the Director General of Oil and Gas at the Ministry of Energy and Mineral Resources Djoko Siswanto said, there had been no further discussions with Pertamina for the new Rokan Block contract, currently, it is completing the preparation of this contract.

"This is finalization," he said.

The new Rokan Block contract uses a PSC gross split scheme, different from the previous one using the cost recovery scheme. Revenue sharing for contractors is set at 65% for oil and 70% for gas. While the government allotment is 35% for oil and 30% for gas, while the potential for state revenues from Block Rokan during Pertamina's management reaches US $ 57 billion.

In Blok Rokan, Pertamina promises a signature bonus of US $ 784 million or Rp. 11.3 trillion. In addition, Pertamina also has a definite work commitment (KKP) for the first five years worth US $ 500 million or around Rp 7.2 trillion. Pertamina has deposited a signature bonus and investment guarantee in the form of a performance bond.

Referring to the definite work commitment promised to the government, Pertamina has planned a number of activities, as contained in the ESDM Ministerial Decree 1923K / 10 / MEM / 2018. Some of these activities are enhanced oil recovery / EOR worth US $ 4 million, drilling of 11 exploration wells of US $ 69.8 million, drilling five Telisa wells US $ 18.1 million, stage-1 C EOR 7 patterns US $ 247 Jutaglan stage-1 steam flood Kulin or Rantau Bais US $ 88.6 million.

Based on SKK Migas data, in 2018, the realization of Block Rokan production was below the target set at only 209,466 barrels per day (bpd), of 213 thousand bpd. Realization of lifting is 10% lower than the realization in 2017 which was recorded at 223 thousand bpd. While in 2019, Blok Rokan oil production is projected to be around 180 thousand bpd. At present, the Rokan Block has oil reserves of 500 million to 1.5 billion barrels of oil equivalent per day.

IN INDONESIAN

Pertamina segera lnvestasi di Blok Rokan

Pemerintah menyatakan PT Pertamina (Persero) segera terlibat investasi di Blok Rokan pasca kontrak kerja sama (production sharing contract/PSC) baru blok tersebut diteken. Pembahasan alih kelola blok ini antara Pertamina dan PT Chevron Pacific Indonesia telah dimulai sejak tahun lalu.

Pemerintah telah menetapkan Pertamina sebagai pengelola Blok Rokan di Riau mulai 9 Agustus 2021 mendatang. Dengan dikelolanya Blok Rokan oleh Pertamina, maka kontribusi produksi minyak BUMN tersebut meningkat menjadi 60% dari produksi minyak nasional. 

Wakil Menteri Energi dan Sumber Daya Mineral (ESDM) Arcandra Tahar menyatakan bahwa Pertamlna segera akan menanamkan investasinya setelah ditandatanganinya kontrak kerja sama bagi hasil gross split.

“Pertamina segera menanamkan investasinya di Blok Rokan. Segera setelah ditandatanginya kontrak, secepatnya. Pertamina juga sudah melaporkan sumur-sumur mana yang akan di bor,” kata diA.

Kepala Biro Komunikasi, Layanan Informasi Publik Dan Kerja Sama Kementerian ESDM Agung Pribadi menambahkan, sejak Desember tahun lalu, Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) bergerak cepat agar proses transisi berjalan dengan baik. Kolaborasi kelompok kerja dari SKK Migas, Pertamina, dan Chevron Pacific Indonesia pun telah dimulai.

Menurutnya, hal ini dilakukan untuk membahas persiapan alih kelola, yang secara intensif bekerja menganalisis aspek keteknikan, legal, dan komersial untuk menjaga tingkat produksi Blok Rokan hingga nanti pengelolaan beralih ke Pertamina pada 2021. Belajar dari pengalaman transisi Blok Mahakam, pembahasan dan persiapan transisi Blok Rokan dilakukan lebih awal, lebih intensif, namun tetap efektif, sehingga diharapkan akan mempercepat proses transisi dengan hasil yang lebih baik.

“Kolaborasi kelompok kerja akan semakin di intensifkan di 2019 dan ke depannya,” ujar Agung.

Seperti diketahui, pada saat transisi pengelolaan Blok Mahakam, Pertamina mulai ikut mengucurkan investasi sebelum hak operatorship beralih dari Total E&P Indonesie. Pertamina mulai mengeluarkan dana sebesar US$ 180 juta pada 2017. Padahal, Pertamina resmi ditunjuk menjadi operator sejak pertengahan 2015 dan kontrak ditandatangani pada Desember 2015.

Kontrak Blok Rokan ditargetkan dapat ditandatangani pada bulan ini. Sebelumnya, Direktur Jenderal Minyak dan Gas Bumi Kementerian ESDM Djoko Siswanto mengatakan, sudah tidak ada pembahasan lagi dengan Pertamina untuk kontrak baru Blok Rokan, saat ini, pihaknya sedang menyelesaikan penyusunan kontrak ini.

“Ini finalisasi,” ujar dia. 

Kontrak baru Blok Rokan ini menggunakan PSC skema bagi hasil kotor (gross split) , berbeda dari sebelumnya yang memakai skema cost recovery. Bagi hasil untuk kontraktor ditetapkan sebesar 65% untuk mninyak dan 70% untuk gas. Sementara jatah pemerintah yakni 35% untuk minyak dan 30% untuk gas, Sementara potensi penerimaan negara dari Blok Rokan selama dikelola Pertamina mencapai US$ 57 miliar.

Di Blok Rokan, Pertamina menjanjikan bonus tanda tangan sebesar US$ 784 juta atau Rp 11,3, triliun. Selain itu, Pertamina juga memiliki komitmen kerja pasti (KKP) untuk lima tahun pertama senilai US$ 500 juta atau sekitar Rp 7,2 triliun. Pertamina telah menyetorkan bonus tanda tangan dan jaminan investasi berupa performance bond tersebut.

Mengacu komitmen kerja pasti yang dijanjikan kepada pemerintah, Pertamina sudah merencanakan sejumlah kegiatan, sebagaimana ada di dalam Keputusan Menteri ESDM 1923K/10/MEM/2018, Beberapa kegiatan itu yakni studi pengurasan minyak tahap lanjut (enhanced oil recovery/EOR) senilai US$ 4 juta, pengeboraan 11 sumur eksplorasi US$ 69,8 juta, pengeboran lima sumur Telisa US$ 18,1 juta, stage-1 C EOR 7 pattern US$ 247 jutaglan stage-1 steam flood Kulin atau Rantau Bais US$ 88,6 juta.

Berdasarkan data SKK Migas, pada 2018 lalu, realisasi produksi Blok Rokan di bawah target yang ditetapkan, yakni hanya 209.466 barel per hari (bph) ,dari 213 ribu bph. Realisasi lifting ,tersebut lebih rendah 10% dibanding realisasi pada 2017 lalu yang tercatat sebesar 223 ribu bph.

    Sementara di 2019, produksi minyak Blok Rokan diproyeksikan sekitar 180 ribu bph. Saat ini, Blok Rokan memiliki cadangan minyak sebesar 500 juta hingga 1,5 miliar barel setara minyak per hari.

Investor Daily, Page-9, Wednesday, Jan 16, 2019

Planned subsidiary to run oil, gas block

State energy holding firm Pertamina is looking to set up a new subsidiary that will manage the Rokan Block, one of the country’s biggest oil and gas blocks, after it was awarded the tender ahead of former operator Chevron Pacific Indonesia (CPI).

Chevron Pacific Indonesia (CPI)

This was revealed by the senior vice president for upstream strategic planning, portfolio and evaluation at Pertamina, Meidawati, at an oil and gas seminar in Jakarta recently.

"We have a plan [to set up a new subsidiary] for the block. It is in the pipeline and we are still assessing the option,” she said, adding that a new unit would help the company speed up the adaptation process of managing the block.

CPI, a subsidiary of United States-based oil and gas giant Chevron, is still operating the block, which will be managed by Pertamina from 2021 to 2041. CPI is operating it under the old Production Sharing Contract (PSC) based on a cost recovery scheme, which will be replaced by a new method called a gross split. 

the Mahakam Block

Pertamina’s plan to establish a new subsidiary is based on its experience with one of its upstream units, Pertamina Hulu Mahakam (PHM), which took over the Mahakam Block in East Kalimantan from France’s Total E&P Indonesie.

Total E&P Indonesie

Meidawati said Pertamina was also assessing the option of managing the Rokan Block with a partner as investors have shown an interest to jointly manage the block The governnients decision to Choose Pertamina to operate the block in July Caused a stir, leading to some alleging that rising nationalistic sentiment in the energy sector was behind it.

However, experts say setting up anew subsidiary to operate the block is a move in the right direction as long as the decision making process emanates from Pertamina’s head office, adding that it would help it to simplify the operating process. 

Pri Agung Rakhmanto, a researcher at Jakarta based energy research group the ReforMiner Institute, said setting up a second tier company was an usual thing for Pertamina to do in light of its upstream strategy, adding that the move would not create problems due to it being directly controlled from head office.

Toto Pranoto, a state-owned enterprises expert at the University of Indonesia, said he believed that creating a new subsidiary was due to Pertamina’s need to ease its performance calculation and its PSC With the government. Based on Pertamina’s previous experience with its upstream subsidiaries, Toto projected that the prospective Rokan subsidiary would likely produce less oil and gas compared to the block’s previous operator, Chevron, due to a long adaptation process in terms of technology use.

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

A case in point, he said, was the weak performance of Pertamina’s upstream subsidiary Pertamina Hulu Energy (PHE), which operates the West Madura Offshore (PHE-WMO) in Gresik, because the unit failed to maintain block oil production in 2011.

the Rokan Block

Several reports at the time stated that production fell from an average of 14,000 barrels of oil per day (bopd) to only 1,200 bopd. Meidawati acknowledged that it would be a challenge to maintain production at Rokan over the next three years as it had matured, or Was entering a phase of decline.

the Rokan Block

“There is something that We could learn there [in the Rokan Block] because it will be a test for us to manage this big block, of which oil production now has declined by 20,000 bopd in less than a year,” the Pertamina’s senior vice president said.

Pertamina is in the process of paying its US$ 784 million signature bonus to the government as one of the requirements in the Rokan Block deal, and the funds will be considered as non-tax revenue (PNBP).

It has vowed that the transaction would be finalized no later than this year. Once the bonus has been transferred to the government, the official contract for Pertamina to take over the block will be signed.

Jakarta Post, Page-13, Friday, Nov 9, 2018

Pertamina Officially Manages Chevron Blocks

Slowly but surely, PT Pertamina began taking management of oil and gas blocks belonging to foreign contractors. Previously, Pertamina took over the Mahakam Block from Total EP, now Pertamina is taking the East Kalimantan-Attaka Block from Chevron Indonesia Company (CICO).

After 50 years of managing the East Kalimantan-Attaka Block, based on the production sharing contract (PSC), the CICO contract expired on Wednesday (24/10). Furthermore, the subsidiary of PT Pertamina Hulu Indonesia (PHI), namely PT Pertamina Hulu East Kalimantan (PHKT) manages East Kalimantan-Attaka for the next 20 years, namely from October 25, 2018 to October 24, 2038.

Upstream Indonesian Pertamina President Director Bambang Manumayoso said, currently East Kalimantan-Attaka is already in the production phase "V" or the fifth phase aka the advanced decline stage. So that his party will conduct an exploratory study to look for new potential, while at the same time holding back the oil and gas block production rate so that it does not decline too far.

"The first three years consist of two exploration study packages. This is the fifth phase, so it's already advanced. So we are rejuvenating with exploration and new development," Bambang said in East Kalimantan-Attaka's handover event.

the East Kalimantan-Attaka Block

For this reason, Pertamina plans 10 workovers and 59 well services, which are estimated to be 13,291 barels of oil per day (bopd) of oil per day and 73.3 million standard cubicfeet per day (mmscfd). Meanwhile, in 2019, three wells will be planned for drilling in the fourth quarter, 37 workovers and 308 well services, which are projected to have an average oil and gas production per day of 10,639 bopd and 59.4 mmscfd.

Pertamina has budgeted a definite commitment of investment for the first three years of US $ 79.3 million which will be taken from internal cash. The East Kalimantan Block Attaka has 15 fields, namely Attaka, Melangin, Kerindingan, Medium, Cow, Santan, Sepinggan, Sedandang, Seguni, Sejadi, Yakin, Mahoni, Bangkirai, Seturian and Beaches.

Bambang said, East Kalimantan-Attaka is one of the three ex termination blocks handled by Pertamina. The other two are Mahakam and Sanga-Sanga. Bambang said, for the size of the block that is quite old, East Kalimantan-Attaka production is still relatively high. However, for the contribution of national production to Pertamina, this is not significant, which is around 5%.

"So it is not very significant in the national context," said Bambang.

As for the contribution to Pertamina Hulu Indonesia, Bambang said, the East Kalimantan Block-Attaka was not much different from the Sanga-Sanga block. which is around 10% -15%. While the biggest contribution is still from the Mahakam Block. But he did not give the details. One thing is certain, next week it will hold a workshop for the three managers to look for new exploration lands.

"We will start next week, we will meet, namely PHM (Mahakam), Sanga-Sanga, and PHKT for the Workshop looking for new exploratory land," said Bambang.

East Kalimantan Block - Attaka is part of the assignment obtained by the Pertamina Group from the Ministry of Energy and Mineral Resources (ESDM). In detail, Pertamina manages eight contract-term blocks (terminations) in 2018 and two termination blocks in 2019, Pertamina invested US $ 693 million in these 10 blocks for three years.

IN INDONESIAN

Pertamina Resmi Kelola Blok Chevron

Perlahan tapi pasti, PT Pertamina mulai mengambil pengelolaan blok migas milik kontraktor asing. Sebelumnya, Pertamina mengambilalih Blok Mahakam dari Total EP, kini Pertamina mengambil Blok East Kalimantan-Attaka dari Chevron Indonesia Company (CICO).

Setelah 50 tahun mengelola Blok East Kalimantan-Attaka, berdasarkan production sharing contract (PSC), maka kontrak CICO telah berakhir pada Rabu (24/10). Selanjutnya, anak usaha PT Pertamina Hulu Indonesia (PHI), yakni PT Pertamina Hulu Kalimantan Timur (PHKT) mengelola East Kalimantan-Attaka Selama 20 tahun ke depan, yakni sejak 25 Oktober 2018 hingga 24 Oktober 2038.

Direktur Utama Pertamina Hulu Indonesia Bambang Manumayoso bilang, saat ini East Kalimantan-Attaka sudah berada di fase produksi "V" atau fase kelima alias tahap decline lanjut. Sehingga pihaknya akan melakukan studi eksplorasi untuk mencari potensi baru, sekaligus menahan laju produksi blok migas ini agar tidak menurun terlalu jauh. 

"Tiga tahun pertama terdiri dari dua paket studi eksplorasi. Ini sudah fase kelima, jadi sudah lanjut. Makanya kami melakukan peremajaan dengan eksplorasi dan new development," kata Bambang dalam acara serah terima East Kalimantan-Attaka.

Untuk itu, Pertamina merencanakan 10 workover dan 59 well services yang diestimasi untuk rata-rata produksi per hari sebesar 13.291 barels of oil per day (bopd) minyak dan 73,3 million standard cubicfeet per day (mmscfd). Sedangkan pada tahun 2019 rencananya akan dilakukan pengeboran tiga sumur pada kuartal ke IV, 37 workover dan 308 well services yang diproyeksikan rata-rata produksi migas per hari sebesar 10.639 bopd dan 59,4 mmscfd.

Pertamina menganggarkan komitmen pasti investasi selama tiga tahun pertama sebesar US$ 79,3 juta yang akan diambil dari kas internal. Adapun Blok East Kalimantan Attaka ini memiliki 15 lapangan, yakni Attaka, Melangin, Kerindingan, Sedang, Sapi, Santan, Sepinggan, Sedandang, Seguni, Sejadi, Yakin, Mahoni, Bangkirai, Seturian dan Pantai.

Bambang bilang, East Kalimantan-Attaka adalah satu dari tiga blok eks terminasi yang ditangani Pertamina. Dua lainnya adalah Mahakam dan Sanga-Sanga. Bambang mengungkapkan, untuk ukuran blok yang sudah cukup tua, produksi East Kalimantan-Attaka masih tergolong tinggi. Namun untuk kontribusi produksi secara nasional kepada Pertamina, hal itu tidak signifikan, yakni sekitar 5%. 

"Jadi tidak signifikan sekali dalam konteks nasional," ungkap Bambang. 

Sedangkan untuk kontribusi terhadap Pertamina Hulu Indonesia, Bambang bilang, Blok East Kalimantan-Attaka tidak jauh berbeda dengan blok Sanga-Sanga. yakni sekitar 10%-15%. Sedangkan kontribusi terbesar masih dari Blok Mahakam. Namun dia tidak memberikan angka detailnya. Satu hal yang pasti, pada pekan depan pihaknya akan menggelar workshop untuk pengelola ketiganya guna mencari lahan-lahan eksplorasi baru.

"Kami akan memulai pada minggu depan, kami akan bertemu, yakni PHM (Mahakam), Sanga-Sanga, dan PHKT untuk Workshop mencari lahan lahan new eksploraion," ungkap Bambang.

Blok East Kalimantan-Attaka merupakan bagian dari penugasan yang didapatkan Grup Pertamina dari Kementerian Energi dan Sumber Daya Mineral (ESDM). Perinciannya, Pertamina mengelola delapan blok habis masa kontrak (terminasi) pada 2018 dan dua blok terminasi di tahun 2019, Pertamina menginvestasikan US$ 693 juta di 10 blok ini selama tiga tahun. 

Kontan, Page-14, Friday, Oct 26, 2018

PT Radians Utama eyeing Mahakam block contract

PT Radiant Utama lnterinsco Tbk will enter the new and renewable energy generation business.

The declining oil price since 2015 to 2016 triggered PT Radiant Utama Interinsco Tbk seeking new contracts. Not only in the oil and gas sector, issuers coded RUIS shares in the Indonesia Stock Exchange also targeted jobs in other sub sectors such as power generation and renewable energy (EBT).

President Director of RUIS Sofwan Farisyi said it expands the business from the oil and gas sector to a company engaged in the energy sector. That way, the company hopes to get a contract also in renewable energy and renewable energy projects.

With this strategy, Sofwan targets to get a contract on hand of Rp 2.2 trillion until the end of the year. Currently RUIS - has booked on hand contract of Rp 2 Trillion, alias still remaining Rp 200 million. In order to achieve the target, RUIS is eyeing a major contract in the Mahakam Block Project which currently exists PT Pertamina Hulu Mahakam as operator. The new contract at Mahakam is a breath of fresh air for service companies like RUIS.

Total EP lndonesie which is a previous Mahakam Block contractor has lowered the investment in the block at the end of the contract. The reason, they do not get the certainty of contract extension from the government.

the Mahakam Block

But since the government decided Pertamina as the new operator of the Mahakam Block as of January 2018, the oil and gas services work in the Mahakam Block began to move again. Sofwan mentioned this year PT Pertamina Hulu Mahakam held 10 tender. The value reached Rp 1 trillion.

"We are targeting two to three contracts, the tender launching from July to August," he said in a public expose.

In addition to targeting contracts from the new tender in the Mahakam block this year, the company hopes to secure contract extension for the dredging vessels over the next three years in the Mahakam Block. Sofwan admitted that the contract extension of dredging ship contract with PT Pertamina Hulu Mahakam is almost complete.

"We were supposed to get a contract extension of the dredging, last Tuesday was the last negotiation," he said.

In addition to targeting projects in Mahakam, RUIS targets to get contract ship dredging in power projects owned by the State Electricity Company (PLN).

"We are trying to get a similar project at PLN power plant, we see that there is more sustain, electricity is needed," he said.

In addition to these two projects, PT Radiant Utama lnterinsco Tbk tries to target geothermal projects. One of them is a geothermal project in Sulawesi. However, RUIS's business development in geothermal projects is still constrained by low geothermal electricity tariffs. Though investing in geothermal projects requires large funds with a high enough risk level.

"The geothermal project in Sulawesi, but there are still obstacles in the rate of how much geothermal, geothermal investment is very expensive, there is a failure, but if successful will not end," he explained.

In addition to the new geothermal project, PT Radiant Utama Interinsco Tbk actually has a geothermal project that already operates, the Sorik Marapi Geothermal (SMGP) project. RUIS holds a 5% stake in the project.

The project is projected to produce geothermal 240 megawatts (MW). So far there have been five wells that have been drilled and confirmed there is a geothermal equivalent of 50 MW. He revealed, this year there are those who can enter the PLN system.

"Our target of delivery is 20 MW this year,". Currently it is conducting trials and has already generated about 2 MW of electricity. Electricity is given free to the public. In the near future there is the approval of PLN. "A total of 20 MW, it is expected to be implemented July-August," he added.

In addition to targeting to generate electricity this year, Sofwan also explained that his company targets to be able to get construction work in this Sorik Marapi geothermal project. The company's target work includes the construction of foundations, substations, and transmission of 20 kilovolts.

IN INDONESIA

PT. Radian Utama Mengincar Kontrak Blok Mahakam

PT Radiant Utama lnterinsco Tbk akan  masuk ke bisnis pembangkit energi baru dan terbarukan.

Harga minyak yang menurun sejak tahun 2015 hingga 2016 memicu PT Radiant Utama Interinsco Tbk berupaya mencari kontrak-kontrak baru. Tidak hanya di sektor migas, emiten berkode saham RUIS di Bursa Efek Indonesia tersebut juga mentarget pekerjaan di sub sektor lainnya seperti pembangkit listrik dan energi baru terbarukan (EBT).

Presiden Direktur RUIS Sofwan Farisyi menyatakan, pihaknya memperluas bisnis dari sektor minyak dan gas menjadi perusahaan yang bergerak di sektor energi. Dengan begitu, perseroan ini berharap bisa mendapat kontrak juga di proyek listrik dan energi baru terbarukan.

Dengan strategi tersebut, Sofwan menargetkan bisa mendapatkan kontrak on hand sebesar Rp 2,2 triliun hingga akhir tahun. Saat ini RUIS- sudah membukukan kontrak on hand sebesar Rp 2 Triliun, alias masih tersisa Rp 200 juta lagi. Agar mencapai target, RUIS sedang mengincar kontrak besar di Proyek Blok Mahakam yang saat ini ada PT Pertamina Hulu Mahakam sebagai operator. Kontrak baru di Mahakam ini menjadi angin segar bagi perusahaan jasa seperti RUIS.

Total EP lndonesie yang merupakan kontraktor Blok Mahakam sebelumnya telah menurunkan investasi di blok tersebut saat akhir kontrak. Penyebabnya, mereka tidak mendapatkan kepastian perpanjangan kontrak dari pemerintah.

Namun sejak pemerintah memutuskan Pertamina sebagai operator baru Blok Mahakam per Januari 2018, pekerjaan jasa migas di Blok Mahakam mulai bergerak kembali. Sofwan menyebut tahun ini PT Pertamina Hulu Mahakam mengadakan 10 tender. Nilainya mencapai Rp 1 triliun.

“Kami menargetkan mendapat dua sampai tiga kontrak, tendernya launch bulan Juli- Agustus," kata nya dalam paparan publik.

Selain mentarget kontrak dari tender baru di Blok Mahakam tahun ini, perseroan ini berharap bisa mendapatkan kepastian perpanjangan kontrak untuk kapal dredging selama tiga tahun ke depan di Blok Mahakam. Sofwan mengaku pembicaraan perpanjangan kontrak kapal dredging dengan PT Pertamina Hulu Mahakam hampir selesai. 

"Seharusnya kami mendapat perpanjangan kontrak dredging tersebut. Selasa kemarin adalah negosiasi terakhir," ungkapnya.

Selain mengincar proyek di Mahakam, RUIS menargetkan bisa mendapatkan kontrak kapal dredging di proyek-proyek pembangkit listrik milik Perusahaan Listrik Negara (PLN). 

"Kami coba mendapatkan proyek sejenis di pembangkit PLN. Kami melihat di sana lebih sustain, listrik terus dibutuhkan," katanya.

Selain kedua proyek tersebut, PT Radiant Utama lnterinsco Tbk mencoba mengincar proyek panas bumi. Salah satunya proyek panas bumi yang ada di Sulawesi. Namun pengembangan bisnis RUIS di proyek panas bumi masih terkendala tarif listrik panas bumi yang masih rendah. Padahal berinvestasi di proyek panas bumi membutuhkan dana besar dengan tingkat risiko yang cukup tinggi. 

"Proyek panas bumi di Sulawesi tersebut tapi masih ada hambatan di rate berapa geotermal. Investasi panas bumi sangat mahal, ada yang berhasil ada gagal. Tapi kalau berhasil tidak akan habis-habis," jelasnya.

Selain proyek baru di bidang panas bumi, PT Radiant Utama Interinsco Tbk sebenarnya juga telah memiliki proyek panas bumi yang telah beroperasi, yaitu proyek Sorik Marapi Geothermal (SMGP). RUIS memegang 5% saham di proyek tersebut.

Proyek ini diproyeksi bisa menghasilkan panas bumi 240 megawatt (MW). Sejauh ini sudah ada lima sumur yang dibor dan telah terkonfirmasi ada panas bumi yang setara 50 MW. Dia mengungkapkan, tahun ini ada yang bisa masuk ke sistem PLN. 

"Target kami delivery sebanyak 20 MW tahun ini,". Saat ini pihaknya sedang melakukan ujicoba dan dan sudah menghasilkan listrik sekitar 2 MW.

Listrik tersebut diberikan gratis kepada masyarakat. Dalam waktu dekat ada persetujuan PLN. " Sebanyak 20 MW itu, diperkirakan Juli-Agustus bisa terlaksana," tambahnya.

Selain menargetkan bisa menghasilkan listrik pada tahun ini, Sofwan juga memaparkan pihaknya menargetkan tetap bisa mendapatkan pekerjaan konstruksi di proyek panas bumi Sorik Marapi ini. Pekerjaan incaran perseroan ini di antaranya pembangunan pondasi, gardu induk, dan transmisi 20 kilovolt.

Kontan, Page-14, Friday, June 29, 2018