Pertamina ships First LNG from Sanga-sanga

State-owned energy holding company Pertamina has shipped the first cargo of liquefied natural gas (LNG) from its recently awarded Sanga-Sanga oil and gas block in East Kalimantan in what has become the first LNG shipment for a unit operated under the gross-split scheme.

Pertamina subsidiary Pertamina Hulu Sanga-Sanga (PHSS) took over the asset from oil and gas company PT Virginia indonesia Company (VICO), which had operated the block for more than four decades. PHSS director Andi Wisnu expressed his appreciation to all stakeholders that had helped in the production, commercialization and monetization of LNG from the block.

”We appreciate [the efforts of] all that were involved, starting from the preparation and processing to the LNG shipment from the Badak LNG refinery, which is operated by PT Badak NGL in Bontang, East Kalimantan,” he said. He did not disclose the volume of LNG on the maiden shipment.

Sanga-Sanga Block East Kalimantan

The block currently produces around 16,000 barrels of oil equivalent per day (boepd) and 70 million metric standard cubic feet per day (mmscfd) of gas.

Jakarta Post, Page-14, Thursday, Nov 15, 2018

Fate 3 of the Termination Block 2023 Still Discussed

The government is still discussing the fate of the three oil and gas working areas whose contracts will expire in 2023. The oil and gas blocks which will expire in 2023 are Jabung Block (February 26, 2023), Rimau Block (April 22, 2023), and Block Corridor (December 19, 2023).

Corridor Block

Deputy Minister of Energy and Mineral Resources (ESDM) Arcandra Tahar said that the announcement of the 2023 termination block management was still under discussion.

"Blok Jabung will also be discussed later," he said.

The ESDM Ministry prioritizes the preparation of the signing of oil and gas block contracts terminated in 2022 before deciding on the management of the 2023 termination block. Arcandra said that he would first focus on signing a new oil and gas block contract which had terminated (termination) in 2022.

There are four oil and gas blocks terminated in 2022. The government has auctioned four oil and gas termination blocks. However, there is still one block, the Sengkang Block, which the winner has not yet announced.

the Sengkang Block

"We have completed [the signature of the new 2022 oil and gas block termination contract], this is the production sharing contract [completed] first," he said.

The three oil and gas blocks terminated in 2022 that have received auction winners are the Tarakan Block, Coastal Plains and Pekanbaru (CPP), and Tungkal. The Ministry of Energy and Mineral Resources extends the contracts of the three blocks to contractors exist for 20 years, namely until 2042. However, the scheme used is a gross split contract replacing the cost recovery scheme.

the Tarakan Block Kalimantan

The total signature bonus that the government will receive from the three blocks is US $ 13.95 million or around Rp. 186 billion. Meanwhile, the total investment value from the plan for definite work commitments for the first 5 years is US $ 179.15 million Rp 2.4 trillion.

Arcandra explained that the announcement of the winner of the Sengkang Block auction will be done as soon as possible in accordance with the applicable procedures. He hopes that the announcement of the winner of the Sengkang Block can be completed by the end of this year.

Executive Director of the Institute for Essential Services Reform (IESR) Fabby Tumiwa said, the auction of exploration oil and gas working areas was not much in demand by investors, indicating that there was a profit-sharing scheme that was not attractive to contractors. The government, according to him, needs to re-analyze the oil and gas block auction not attractive to investors

"SKK Migas says gross split is not the cause [the oil and gas block auction is not attractive to investors], but it must be admitted that it is one of the challenges for the exploration work area. For production work areas it is indeed not because there is already a calculation, "he said.

So far, there have been 30 oil and gas blocks that use gross split schemes. 11 oil and gas blocks are auction results in 2017 and 2018. The oil and gas block auction results of 2017 which use the gross split scheme are Block Andaman 1, Andaman II, Merak Lampung, Pekawai, and West Yamdena. The oil and gas blocks from the 2018 auction using the gross split scheme are the Citarum, East Ganal, East Seram, Southeast Jambi, South Jambi B and Banyumas work areas.

Banyumas

Meanwhile, 19 other oil and gas working areas are termination blocks whose contract period expires from 2017 to 2022. Fabby added, towards the political year, the attitude of investors who choose to wait at least until April 2019.

"Oil and gas investment is risky, of course they count," he said.

Arcandra Tahar said, it is difficult to say that gross split is a problem for the management of exploration blocks. Because, until now there are two exploration oil and gas blocks auctioned in 2018 already taken by investors.

"The oil and gas business is indeed risky. Yes, it is calculated, because there is already initial data, if not from there, relying on government funds is not enough. "

According to him, the exploration block manager uses a definite work commitment fund to manage open areas.

IN INDONESIAN

Nasib 3 Blok Terminasi 2023 Masih Dibahas

Pemerintah masih membahas nasib tiga wilayah kerja minyak dan gas bumi yang kontraknya akan berakhir pada 2023. Blok migas yang akan habis masa kontrak pada 2023 adalah Blok Jabung (26 Februari 2023), Blok Rimau (22 April 2023), dan Blok Corridor (19 Desember 2023).

Wakil Menteri Energi dan Sumber Daya Mineral (ESDM) Arcandra Tahar mengatakan bahwa pengumuman pengelolaan blok terminasi 2023 masih dalam tahap pembahasan.

“Blok Jabung juga sama akan dibahas nanti," katanya.

Kementerian ESDM lebih memprioritaskan persiapan penandatanganan kontrak blok migas yang terminasi pada 2022 sebelum memutuskan pengelolaan blok terminasi 2023. Arcandra mengatakan bahwa pihaknya akan terlebih dahulu fokus dalam penandatanganan kontrak baru blok minyak dan gas bumi yang sudah berakhir kontraknya (terminasi) pada 2022.

Ada empat blok migas yang terminasi pada 2022. Pemerintah telah melelang empat blok migas terminasi itu. Namun, masih ada satu blok, yaitu Blok Sengkang, yang belum diumumkan pemenangnya.

“Kami selesaikan [tanda tangan kontrak baru blok migas terminasi] 2022, ini kontrak bagi hasilnya dulu [diselesaikan],” katanya.

Ketiga blok migas terminasi 2022 yang sudah mendapatkan pemenang lelang adalah Blok Tarakan, Coastal Plains and Pekanbaru (CPP), dan Tungkal. Kementerian ESDM memperpanjang kontrak ketiga blok itu kepada kontraktor eksis selama 20 tahun, yaitu sampai 2042. Namun, skema yang digunakan adalah kontrak bagi hasil kotor (gross split) menggantikan skema bagi hasil bersih (cost recovery).

Total bonus tanda tangan yang akan diterima pemerintah dari ketiga blok itu sebesar US$ 13,95 juta atau sekitar Rp 186 miliar. Sementara itu, total nilai investasi dari rencana komitmen kerja pasti selama 5 tahun pertama sebesar US$ 179,15 juta Rp 2,4 triliun.

Arcandra menjelaskan bahwa untuk pengumuman pemenang lelang Blok Sengkang akan dikerjakan secepatnya sesuai dengan prosedur yang berlaku. Dia berharap agar pengumuman pemenang Blok Sengkang dapat diselesaikan pada akhir tahun ini. 

Direktur Eksekutif Institute for Essential Services Reform (IESR) Fabby Tumiwa mengatakan, lelang wilayah kerja migas eksplorasi tidak banyak diminati investor menunjukkan ada skema bagi hasil yang tidak menarik bagi kontraktor. Pemerintah, menurutnya, perlu menganalisis kembali lelang blok migas tersebut tidak menarik bagi investor

“SKK Migas bilang gross split bukan penyebab [lelang blok migas tidak diminati investor), tetapi harus diakui itu menjadi salah satu tantangan untuk wilayah kerja eksplorasi. Kalau untuk wilayah kerja produksi memang tidak karena sudah ada hitungannya,” katanya.

Sejauh ini, sudah ada 30 blok migas yang menggunakan skema gross split. Sebanyak 11 blok migas merupakan hasil lelang pada 2017 dan 2018. Blok migas hasil lelang 2017 yang menggunakan skema gross split adalah Blok Andaman 1, Andaman II, Merak Lampung, Pekawai, dan West Yamdena. Blok migas hasil lelang 2018 yang menggunakan skema gross split adalah wilayah kerja Citarum, East Ganal, East Seram, Southeast Jambi, South Jambi B, dan Banyumas. 

Sementara itu, 19 wilayah kerja migas lainnya merupakan blok terminasi yang masa kontraknya berakhir mulai 2017 hingga 2022. Fabby menambahkan, menjelang tahun politik, sikap investor yang memilih menunggu setidaknya hingga April 2019. 

“Investasi migas itu berisiko, tentu mereka berhitung,” katanya.

Arcandra Tahar mengatakan, sulit mengatakan bahwa gross split menjadi masalah untuk pengelolaan blok eksplorasi. Pasalnya, hingga kini sudah ada dua blok migas eksplorasi yang dilelang pada 2018 sudah diambil oleh investor.

“Bisnis migas itu memang berisiko. Ya dihitung, karena sudah ada data awalnya, kalau tidak dari situ, mengandalkan dari dana pemerintah tidak cukup.”

Menurutnya, pengelola blok eksplorasi menggunakan dana komitmen kerja pasti untuk mengelola area terbuka.

Bisnis Indonesia, Page-24, Wednesday, Nov 14, 2018

Japan & Algeria buy Indonesian CPO

High demand from Japan and Algeria for Indonesia's crude palm oil (CPO) products shows that the commodity export market is increasingly widespread. Japan and Algeria are included in the country with the largest purchase value during the 2018 Indonesia Trade Expo.

Trade Minister Engartiartio Lukita said that the high demand from the two countries showed that Indonesian CPO began to penetrate the market outside traditional buyer countries such as China, India, and countries in the European Union.

Crude Palm Oil (CPO)

"Many of our CPO buyers are new, not old ones. So palm oil businesses do not complain later when asked to deposit export levies, "he said on Friday (11/9).

Based on data from the Ministry of Trade, the CPO trade agreement produced in the 2018 Indonesia Trade Expo reached US $ 132.5 million. As for, the biggest buyers are Japan, India, Algeria, Bulgaria and Romania with a value of purchases of US $ 111, 87 million, US $ 11.17 million, US $ 6.10 million, US $ 2.73 million and US $ 0.48 million.

However, the Trade Method underlines, Algeria is a country that does not belong to the World Trade Organization (WTO) so that Indonesia cannot resolve trade disputes with these countries in international forums. Director General of Foreign Trade at the Ministry of Trade, Oke Nurwan, explained that despite not being a member of the WTO, Indonesia had never experienced a dispute with Algeria.

"Yes, at this time it hasn't, yes it's still safe, it's not that far, and the risk is still not visible," he said.

COMPETITION

Oke said, Algeria is still not included in developed countries and it is likely that they will need vegetable oils that have competitive prices, namely CPO.

Algeria is likely to be good, because they have potential for us, and the demand for vegetable oil supplied by palm oil is 43%, we are more competitive, "he said.

To answer this potential, the Trade Ministry scheduled a visit to Algeria later this month. For Japan, okay say the Indonesian government will try to make Sakura State recognize the Indonesian Sustainable Palm Oil (ISPO) standard, and at present, Japan has recognized the Roundtable on Sustainable Palm Oil (RSPO) standard.

Chairperson of the Standing Committee for Export Development of the Indonesian Chamber of Commerce and Industry Handito Joewono said that Indonesia had already had to began giving up traditional market CPO dependence. Because, every country must have a mechanism to protect its domestic market from foreign products, including Indonesia.

IN INDONESIAN

Jepang & Aljazair Membeli CPO Indonesia

Permintaan tinggi dari Jepang dan Aljazair untuk produk minyak sawit mentah (CPO) Indonesia menunjukkan pasar ekspor komoditas tersebut semakin Iuas. Jepang dan Aljazair termasuk dalam negara dengan nilai pembelian terbesar selama Trade Expo Indonesia 2018. 

Meteri Perdagangan Enggartiasto Lukita mengatakan, permintaan yang tinggi dari kedua negera menunjukkan CPO Indonesia mulai merambah pasar di luar negara pembeli tradisional seperti China, India, dan negara-negara di Uni Eropa.

“Pembeli CPO kita ini banyak yang baru, bukan yang Iama. Jadi pelaku usaha sawit jangan komplain Iagi kalau diminta menyetorkan pungutan ekspor,” katanya, Jumat (11/9).

Berdasarkan data Kemendag, perjanjian dagang CPO yang dihasilkan dalam Trade Expo Indonesia 2018 mencapai US$ 132,5 juta. Adapun, negara pembeli terbesar adalah Jepang, India, Aljazair, Bulgaria dan Rumania dengan nilai pembelian masing-masing US$ 111 ,87 juta, US$ 11,17 juta, US$ 6,10 juta, US$ 2,73 juta, dan US$ 0,48 juta.

Hanya saja, Meteri Perdagangan menggarisbawahi, Aljazair merupakan negara yang bukan temiasuk ke dalam World Trade Organization (WTO) sehingga Indonesia tidak bisa menyelesaikan sengketa dagang dengan negara tersebut di forum internasional. Direktur Jenderal Perdagangan Luar Negeri Kemeterian PerdaganganOke Nurwan menjelaskan, meski tidak menjadi anggota WTO, Indonesia belum pernah mengalami sengketa dengan Aljazair.

“Iya saat ini belum, iya masih aman saja, belum sejauh itu lah, dan risikonya juga masih belum bisa terlihat,” katanya.

KOMPETISI

Oke mengatakan, Aljazair masih belum termasuk negara maju dan besar kemungkinan mereka akan membutuhkan minyak nabati yang memiliki harga kompetitif, yakni CPO.

Aljazair kemungkinan akan bagus, karena mereka potensi bagi kita, dan kebutuhan minyak nabati dipasok oleh sawit itu 43%, kita lebih kompetitif,” ujarnya.

Untuk menjawab potensi tersebut Meteri Perdagangan menjadwalkan kunjungan ke Aljazair akhir bulan ini. Untuk Jepang, Oke mengatakan pemerintah Indonesia akan berusaha agar Negara Sakura mengakui standar Indonesian Sustainable Palm Oil (ISPO]. Saat ini, Jepang telah mengakui standar Roundtable on Sustainable Palm Oil (RSPO).

Ketua Komite Tetap Pengembangan Ekspor Kamar Dagang dan Industri Indonesia Handito Joewono mengatakan, Indonesia memang sudah harus mulai merelakan ketergantungan CPO pasar tradisional. Pasalnya, setiap negara pasti memiliki mekanisme untuk melindungi pasar dalam negerinya dari produk Iuar negeri, termasuk Indonesia.

Bisnis Indonesia, Page-10, Saturday, Nov 10, 2018 

Old Block Dominates

   The downward trend in crude oil production since 2008-2018 was due to 79% of the oil and gas working area being old so that production decreased naturally.

Oil production ready for sale (lifting) in 2008 amounted to 927,000 barrels per day (bpd), but continued to decline until this year in the range of 750,000-800,000 bpd. On the other hand, consumption of fuel oil (BBM) continues to grow. Therefore, the fuel supply deficit continues to widen so that the volume of imports of oil and fuel oil continues to increase.

Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Amien Sunaryadi said that 79% of oil and gas fields in Indonesia are more than 15 years old.

"This is the case, the oil and gas production volume has been estimated since the beginning of the oil and gas field, since the time of deciding this field will be built. That is, if for example the era of President SBY [Susilo Bambang Yudhoyono] was high lifting, but the era of President Jokowi [Joko Widodo] declined, it had nothing to do because the field was mature, "he said.

Amien added, in addition to production down, old oil and gas fields tend to require greater maintenance costs so that the production costs that must be returned (cost recovery) continue to rise.

"Why do costs increase, even though production drops? It was a false statement because the oil and gas field must be seen from the start [built] to the end. From the beginning of production, it will cost so much, then it will be reduced by capital expenditure and operations, the rest will be shared by the government and contractors

He explained that the new oil and gas fields were in the range of 6-7 years old. The new field will have high production and low costs. "But if the field is old, lifting is down and costs are rising."

BP Indonesia also acknowledges that investment in the energy sector, especially upstream oil and gas in Indonesia, tends to be very slow. This can be seen from oil production that has not experienced growth. BP Chief Economist Spencer Dale previously said, in the last 8 to 10 years, oil production in Indonesia had not experienced growth. In fact, the demand for energy such as oil and gas continues to increase every year.

"That ultimately makes Indonesia have to import [oil and fuel oil]," he said.

Similar to natural gas, Spencer said, gas production in Indonesia in the last 7 years has tended to be lower.

"Natural gas production in 2017 is lower by 20% compared to 2010."

However, unlike oil, the demand for gas has not experienced growth so that Indonesia can still export the commodity.

SLOW INVESTMENT

In addition to the downward trend in oil production, the government also faces the challenges of sloping oil and gas investment. Amien Sunaryadi said that there were many factors that triggered a decline in oil and gas investment in Indonesia. One of the factors is the rate of return that investors will receive.

"Oil and gas investment also has nothing to do with gross split. Their decision is due to the main things like the rate of return. This means, if they invest, what is the Rate of Return (ROR) they will receive. That's what investors are looking for, "he said.

Contracts for gross yields came into effect in early 2017 replacing the cost recovery scheme. However, the scheme only applies to new contracts. In addition to the investment return period, legal certainty has also been a trigger for the lack of investment in the oil and gas sector this year. Amien explained, investors are often hesitant to invest because there is no legal certainty. He stressed that the decline in investment had nothing to do with the president's leadership period.

"Then why is the investment declining, this has nothing to do with the President. There is a condition that Indonesia has increased fuel consumption, production has dropped, therefore crude imports and fuel are very high, they have to pay a lot of money, so the dollar strengthens. "

The downward trend in lifting is also caused by the majority of oil and gas blocks that produce, domestically are old. Therefore, the production of old oil and gas blocks will decline naturally.

Head of country BP Indonesia Moekianto Soeryowibowo said that there were three things that made investment in the energy sector slow. First, Indonesia is not prospective enough in the oil and gas sector. Second, fiscal problems. Regarding fiscal policy, he said the government only allocated very little budget for the energy sector. In fact, the budget for the energy sector is far smaller than the previous period.

"The fiscal is not competitive, so this is the government's challenge how can small budgets attract investors."

Third, very complicated regulations. However, the government continues to encourage investors to carry out oil and gas exploration activities in the country.

IN INDONESIAN

Blok Tus Mendominasi

Tren penurunan produksi minyak mentah sejak 2008-2018 disebabkan 79% wilayah kerja minyak dan gas bumi sudah berusia tua sehingga mengalami penurunan produksi secara alamiah.

Produksi minyak siap jual (lifting) pada 2008 sebesar 927.000 barel per hari (bph), tetapi terus turun hingga pada tahun ini di kisaran 750.000-800.000 bph. Di sisi lain, konsumsi Bahan Bakar Minyak (BBM) terus bertumbuh. Oleh karena itu, defisit suplai BBM terus melebar sehingga volume impor minyak dan bahan bakar minyak terus meningkat.

Kepala Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) Amien Sunaryadi mengatakan bahwa 79% lapangan migas di Indonesia berumur lebih dari 15 tahun. 

“Memang begini, di lapangan migas sejak awal sudah bisa di estimasi [volume produksi migas] , sejak waktu memutuskan lapangan ini akan dibangun. Artinya, kalau misalnya zaman Presiden SBY [Susilo Bambang Yudhoyono] lifting tinggi, tetapi zaman Presiden Jokowi [Joko Widodo] menurun, itu tidak ada hubungannya karena lapangannya sudah mature,” katanya.

Amien menambahkan, selain produksi turun, Iapangan migas berusia tua cenderung membutuhkan biaya perawatan lebih besar sehingga biaya produksi yang harus dikembalikan (cost recovery) terus naik.

“Mengapa biaya naik, padahal produksi turun? Itu pernyataan salah karena lapangan migas harus dilihat sejak awal [dibangun] sampai akhir. Dari awal produksi sekian biayanya sekian kemudian dikurangi belanja modal dan operasi, sisanya dibagi pemerintah dan kontraktor”

Dia menjelaskan bahwa lapangan migas yang masih baru berusia di kisaran 6-7 tahun. Lapangan yang masih baru itu akan memiliki produksi tinggi dan biaya rendah. “Namun kalau lapangan tua, lifting turun dan biaya naik.”

BP Indonesia juga mengakui bahwa investasi sektor energi khususnya hulu migas di Indonesia cenderung sangat lambat. Hal ini terlihat dari produksi minyak yang tidak mengalami pertumbuhan. Chief Economist BP Spencer Dale sebelumnya mengatakan, dalam 8 sampai 10 tahun terakhir, produksi minyak di Indonesia tidak mengalami pertumbuhan. Padahal, permintaan terhadap energi seperti minyak dan gas bumi terus meningkat setiap tahun. 

“Itu yang pada akhirnya membuat Indonesia harus impor [minyak dan bahan bakar minyak],” katanya.

Sama halnya dengan gas bumi, Spencer mengatakan, produksi gas di Indonesia dalam 7 tahun terakhir cenderung lebih rendah.

“Produksi gas bumi pada 2017 lebih rendah 20% dibandingkan 2010.”

Namun, berbeda dengan minyak, permintaan untuk gas tidak mengalami pertumbuhan sehingga Indonesia masih bisa melakukan ekspor komoditas tersebut.

INVESTASI MELAMBAT

Selain tren penurunan produksi minyak, pemerintah juga menghadapi tantangan investasi migas yang melandai. Amien Sunaryadi mengatakan bahwa banyak faktor yang menjadi pemicu penurunan investasi minyak dan gas bumi di Indonesia. Salah satu faktor itu berupa periode pengembalian modal (rate of retutn) yang akan diterima investor. 

“Investasi migas turun juga tidak ada hubungannya dengan gross split [skema kontrak bagi hasil kotor]. Keputusan mereka disebabkan karena hal-hal utama seperti rate of return. Artinya begini, kalau mereka investasi, berapa Rate of Return (ROR) yang akan mereka terima. Itu yang dicari investor,” katanya.

Kontrakbagi hasil kotor mulai berlaku pada awal 2017 menggantikan skema cost recovery. Namun, skema itu hanya berlaku untuk kontrak baru.  Selain periode pengembalian investasi, kepastian hukum juga menjadi pemicu minimnya investasi di sektor migas pada tahun ini. Amien menjeiaskan, para investor sering ragu untuk melakukan investasi karena tidak ada kepastian hukum. Dia menegaskan bahwa penurunan investasi tidak ada kaitannya dengan masa kepemimpinan seorang Presiden.

“Kemudian tentang investasi kenapa menurun, ini tidak ada hubungannya dengan Presiden. Yang ada kondisi Indonesia konsumsi BBM naik, produksi turun, karena itu impor crude dan fuel tinggi sekali harus bayar dolarnya banyak, makanya dolarnya menguatnya.”

Tren penurunan lifting juga disebabkan oleh sebagian besar blok migas yang berproduksi, di dalam negeri sudah berusia tua. Oleh karena itu, produksi blok migas yang sudah tua itu akan menurun secara alamiah.

Head of country BP Indonesia Moekianto Soeryowibowo mengatakan bahwa ada tiga hal yang membuat investasi di sektor energi menjadi Iambat. Pertama, Indonesia tidak cukup prospektif dalam sektor migas. Kedua, masalah fiskal. Terkait dengan kebijakan fiskal, dia mengatakan pemerintah hanya mengalokasikan anggaran sedikit sekali untuk sektor energi.  Bahkan, anggaran untuk sektor energi jauh lebih kecil dibandingkan dengan periode sebelumnya. 

“Fiskalnya tidak kompetitif, jadi ini tantangan pemerintah bagaimana dengan anggaran kecil bisa menarik pada investor.”

Ketiga, regulasi yang sangat rumit. Namun, pemerintah terus mendorong investor untuk melakukan kegiatan eksplorasi migas di Tanah Air.

Bisnis Indonesia, Page-24, Friday, Nov 9, 2018

Cargo LNG Donggi has been sold 88%

As of November this year, PT Donggi Senoro LNG (DSLNG) has sent 36 cargo of liquefied natural gas (LNG). This amount is equivalent to 88% of this year's target of 41 LNG cargoes. Management of Donggi Senoro LNG is optimistic that the target can be achieved.

Corporate Affairs Director of DSLNG, Aditya Mandala said, as of November 7, 2018, he had sent 35 LNG cargoes. Well, on November 13, there will be an 86th cargo shipment with 125,000 cubic meters of vohune (1113) in each cargo.

"This year we have maintenance at the refinery for about two weeks, so we cannot produce optimally. Soon, on November 13 there will be the 36th shipment," he said.

However, Aditya was reluctant to mention, where will the remaining five LNG cargoes be unsold until the end of the year. One thing is certain, currently the export market still dominates DSLNG cargo shipments.

In detail, 81 LNG cargoes for export remain until 2027 to the three companies, namely Kyushu Electric Power Co. Inc., Korea Gas Corporation, and Jera Co Inc.

The other four cargoes are sent to the spot market, with periodic or incidental agreements. The spot market is aimed at companies in several countries, such as South Korea and Japan. Usually, DSLNG sends six to seven cargoes for the spot market every year.

"So if we need it, we immediately send it. If the long term ones are not needed, after that we auction to spot the market, usually to Singapore, China and India," he explained.

DSLNG does not have a fixed domestic market yet. They usually send LNG to PT PLN for electricity needs.

"Never been to Pertamina's Aru," Aditya said.

IN INDONESIAN

Kargo LNG Donggi Sudah Terjual 88%

Hingga November tahun ini, PT Donggi Senoro LNG (DSLNG) telah mengirim 36 kargo liquefied natural gas (LNG). Jumlah tersebut setara 88% dari target sepanjang tahun ini sebanyak 41 kargo LNG. Manajemen Donggi Senoro LNG optimistis target itu bisa tercapai.

Corporate Affairs Director DSLNG, Aditya Mandala menuturkan, per 7 November 2018 ini pihaknya telah mengirimkan 35 kargo LNG. Nah, pada 13 November nanti, akan ada pengiriman kargo yang ke-86 dengan vohune 125.000 meter kubik (1113) di setiap kargo.

"Tahun ini kami ada maintenance di kilang sekitar dua minggu, sehingga tidak bisa berproduksi secara maksimal. Sebentar lagi, yakni pada 13 November akan ada shipment ke-36,” ujar dia.

Namun Aditya enggan menyebutkan, akan dikirim kemana saja sisa lima kargo LNG yang belum terjual hingga akhir tahun nanti. Satu hal yang pasti, saat ini pasar ekspor masih mendominasi pengiriman kargo DSLNG.

Perinciannya, sebanyak 81 kargo LNG untuk ekspor tetap hingga 2027 kepada ketiga perusahaan, yakni Kyushu Electric Power Co Inc, Korea Gas Corporation, serta Jera Co Inc.

Adapun empat kargo lainnya dikirim ke pasar spot, dengan perjanjian periodik yang tidak tetap atau insidental. Pasar spot ditujukan ke perusahaan di beberapa negara, seperti Korea Selatan dan Jepang. Biasanya, DSLNG mengirimkan enam sampai tujuh kargo untuk pasar spot setiap tahun. 

"Jadi kalau butuh, langsung kami kirim. Jika yang long term sedang tidak butuh, setelah itu kami lelang untuk spot market, biasanya juga ke Singapura, China dan India,” jelas dia.

DSLNG belum memiliki pasar domestik tetap. Mereka biasanya mengirim LNG ke PT PLN untuk kebutuhan listrik. 

"Pernah juga ke Aru milik Pertamina," ungkap Aditya.

Kontan, Page-14, Thursday, Nov 8, 2018

Oil and Gas Block Auctions are increasingly attractive

The government's policy to free up data access fees for oil and gas working areas for potential investors is considered capable of increasing investment in the upstream oil and gas sector.

Observer Energy Watch, a community social institution in the field of energy policy supervision, Mamit Setiawan said that all this time access to paid data at quite expensive prices is one of the obstacles to oil and gas investment.

"It is expected that with the free initial data given to investors where they can conduct a prior assessment of the proposed oil and gas working area, this can facilitate investors in making decisions," he said.

He said, the policy is expected to revive to manage the oil and gas working area. Upstream oil and gas investment is expected to be able to increase oil and gas reserves as well as state and sector revenues. 

    Director General of Oil and Gas, Ministry of Energy and Mineral Resources (ESDM) Djoko Siswanto said that the decision to eliminate data access is expected to attract investors.

"Yes, so that there are many who bid for oil and gas blocks and our data is a lot of evaluation and interpretation," he said.

New investors will be charged fees after taking the oil and gas blocks offered by the government.

"Later, those who win the oil and gas block tender must pay. Those who don't win pity if they pay the cost of accessing oil and gas block documents and data. "

The policy began to be implemented in the oil and gas block auction phase III / 2018.

"The policy that we issued for the next auction is that every participant who has taken the bidding document and evaluates the data will be given access to the data at zero rupiah," said the ESDM Ministry's Data and Information Technology Center Head Agus Cahyono Adi.

Previously, auction participants who had taken bidding documents in the oil and gas block auction were required to pay oil and gas data access in the tendered work area. 

    Fees charged vary between work areas depending on data availability. So far, the maximum cost of oil and gas block data access is around US $ 80,000. With this new policy, the fee is waived or zero rupiah.

"During the auction period, we provide access [data on oil and gas blocks being auctioned]," said Agus.

Changes to the rules aim to increase the number of participants in the auction of oil and gas working areas.

IN INDONESIAN

Lelang Blok Migas Semakin Menarik

Kebijakan pemerintah untuk membebaskan biaya akses data wilayah kerja minyak dan gas bumi bagi calon investor dinilai mampu meningkatkan investasi di sektor hulu migas.

Pengamat Energy Watch, lembaga sosial masyarakat di bidang pengawasan kebijakan energi, Mamit Setiawan mengatakan bahwa selama ini akses data yang berbayar dengan harga sangat mahal menjadi salah satu kendala investasi migas.

“Diharapkan dengan gratisnya data awal yang diberikan pada investor di mana mereka bisa melakukan kajian terlebih dahulu terhadap wilayah kerja migas yang diajukan, ini bisa memudahkan investor dalam mengambil keputusan,” katanya.

Dia menuturkan, kebijakan itu diharapkan menggairahkan kembali untuk mengelola wilayah kerja migas. Investasi hulu migas diharapkan mampu meningkatkan cadangan migas sekaligus pendapatan negara dan sektor tersebut. 

     Dirjen Minyak dan Gas Bumi, Kementerian Energi dan Sumber Daya Mineral (ESDM) Djoko Siswanto mengatakan bahwa keputusan untuk menggratiskan akses data ini diharapkan bisa menarik para investor.

“Iya, supaya banyak yang menawar blok migas dan data-data kami banyak yang evaluasi dan interpretasi,” katanya.

Para investor akan dikenakan biaya setelah mengambil blok migas yang ditawarkan pemerintah tersebut. 

“Nantinya yang memenangkan tender blok migas harus membayar. Yang tidak menang kasihan kalau membayar biaya akses dokumen dan data blok migas.”

Kebijakan itu mulai diterapkan dalam lelang blok migas tahap III/2018.

“Kebijakan yang kami keluarkan untuk lelang selanjutnya, yaitu setiap peserta yang sudah mengambil dokumen penawaran dan untuk mengevaluasi data akan diberikan akses datanya dengan tarif nol rupiah,” kata Kepala Pusat Data dan Teknologi Inforrnasi Kementerian ESDM Agus Cahyono Adi.

Sebelumnya, perserta lelang yang sudah mengambil dokumen penawaran dalam lelang blok migas diharuskan membayar akses data migas di wilayah kerja yang ditenderkan tersebut. 

    Biaya yang dikenakan bervariasi antar wilayah kerja tergantung ketersediaan data. Selama ini, biaya maksimal akses data blok migas sekitar US$ 80.000. Dengan kebijakan baru ini, biaya tersebut dibebaskan atau nol rupiah.

“Selama masa lelang, kami berikan akses [data blok migas yang dilelang]” tegas Agus.

Perubahan aturan bertujuan untuk menambah jumlah peserta lelang wilayah kerja migas.

Bisnis Indonesia, Page-24, Thursday, Nov 8, 2018

Pertamina Prepares for Exploration of Oil and Gas Blocks

Since the two rounds of an exploration of oil and gas working area (WK oil and gas) exploration, the name of PT Pertamina is not visible. This time, in the third round of the exploration oil and gas block auction in 2018, Pertamina emerged as the direct bidder of one of the oil and gas WK, the Maratua Block.

     Deputy Minister of Energy and Mineral Resources (ESDM), Arcandra Tahar, mentioned Pertamina's participation in the auction this time because the state-owned company had conducted a joint study in the Maratua Block which had been in North Kalimantan and East Kalimantan since last year.

On the other hand, Arcandra assesses, through this auction Pertamina needs to increase the Reserve Replacement Ratio (RRR) or the replacement of oil and gas reserves that have been produced.

"They have their own counts to strengthen RRR through exploration," he said at the Ministry of Energy and Mineral Resources Office.

Pertamina's participation in the oil and gas exploration WK auction was welcomed by Director General of Oil and Gas Djoko Siswanto. He said, after all this time, Pertamina finally participated in the oil and gas WK auction.

"The joint study is Pertamina, thank God. It seems that the old Pertamina has not taken the oil and gas WK," Djoko said.

In participating in this auction, it seems that Pertamina's plan will be smooth. Because, this state-owned oil and gas company does not need to compete with other Cooperation Contracts (KKKS). As a result, Pertamina has a big chance of obtaining participation rights in the Block.

"The proposal was immediately submitted by Pertamina. In accordance with Minister of Energy and Mineral Resources Regulation No. 35 2008, this WK is specifically Pertamina's participation and is not open to others, "explained Djoko.

But Arcandra said Pertamina must continue to offer to the government in exploring the Maratua Block. The government has set Pertamina's offer for a definite minimum work commitment to carry out geological and geophysical studies (G & G), 500 km2 3D seismic surveys and deposit a minimum signature bonus of US $ 2 million.

The Executive Director of the ReforMiner Institute, Komaidi Notonegoro, assessed that Pertamina has so far been constrained in carrying out exploration efforts on upstream oil and gas. One reason is that Pertamina's business units are too many.

IN INDONESIAN

Pertamina Bersiap Eksplorasi Blok Migas

Sejak dua putaran lelang wilayah kerja minyak dan gas bumi (WK migas) eksplorasi, nama PT Pertamina tidak tampak. Kali ini, di putaran ketiga lelang blok migas eksplorasi di 2018, Pertamina muncul sebagai penawar langsung salah satu WK migas, yakni Blok Maratua. Wakil Menteri Energi dan Sumber Daya Mineral (ESDM), Arcandra Tahar, menyebutkan keikutsertaan Pertamina dalam lelang kali ini karena perusahaan milik negara ini sudah melakukan joint study di Blok Maratua yang berada di wilayah Kalimantan Utara dan Kalimantan Timur sejak tahun lalu. 

Di sisi lain, Arcandra menilai, melalui lelang kali ini Pertamina perlu meningkatkan reserve replacement ratio (RRR) atau penggantian cadangan migas yang telah diproduksi. 

"Mereka punya hitungan sendiri untuk memperkuat RRR lewat eksplorasi," ungkap dia di Kantor Kementerian ESDM.

Keikutsertaan Pertamina dalam lelang WK migas eksplorasi pun disambut gembira oleh Direktur Jenderal Migas Djoko Siswanto. Dia menyebutkan, setelah sekian lama, Pertamina akhirnya ikut dalam lelang WK migas. 

"Yang joint study ada Pertamina, alhamdulillah. Sepertinya sudah Iama Pertamina tidak ambil WK migas," ujar Djoko.

Dalam keikutsertaan lelang ini, agaknya rencana Pertamina akan mulus. Sebab, perusahaan migas milik negara ini  tidak perlu bersaing dengan Kontraktor Kontrak Kerja Sama (KKKS) lainnya. Alhasil, Pertamina berpeluang besar mendapatkan hak partisipasi di Blok itu. 

“Usulan penawaran langsung disampaikan oleh Pertamina. Sesuai Peraturan Menteri ESDM No. 35 2008, WK ini khusus partisipasi Pertamina dan tidak dibuka kepada yang lainnya," jelas Djoko.

Namun Arcandra menyebut Pertamina harus tetap memberikan penawaran ke pemerintah dalam mengeksplorasi Blok Maratua. Pemerintah menetapkan penawaran Pertamina untuk komitmen kerja pasti minimal melakukan studi geologi dan geofisika (G&G), survei seismik 3D 500 km2 dan menyetor bonus tanda tangan minimal US$ 2 juta.

Direktur Eksekutif ReforMiner Institute, Komaidi Notonegoro menilai sejauh ini Pertamina memang terkendala dalam melakukan upaya eksplorasi hulu migas. Salah satu sebabnya adalah unit bisnis Pertamina yang terlalu banyak.

Kontan, Page-14, Wednesday, Nov 7, 2018

Four Exploration Oil and Gas Blocks

The government through the ESDM ministry opened the third phase of the auction. The auction for the oil and gas working area includes four exploration blocks. Four exploration blocks, namely the South Andaman, Anambas, South Sakakemang and Maratua.

INDONESIA OIL AND GAS BID ROUND 2018

Deputy Minister of ESDM, Arcandra Tahar explained that at this auction the Ministry of Energy and Mineral Resources provided convenience to investors to access oil and gas block data for free. 

     In the previous auction, oil and gas data access was charged a maximum of 80 thousand US dollars per work area. Now these costs are eliminated. it's just that if the investor participating in the auction becomes the winner, then it is obligatory to pay the data access fee.

"Our auction is open, and according to the policies that we have issued, in order to make it easier for investors to see the data, please open the oil and gas data," Arcandra said.

Arcandra also explained that the block auction scheme was a direct offer. With this scheme, investors have already carried out joint studies to find out the potential of existing reserves. In fact, in the Maratua Block, Pertamina had already conducted a joint study.

The granting of special rights refers to Ministerial Regulation 35 of 2008 concerning procedures for determining and offering oil and gas working areas. In the regulation in article 35, Pertamina can propose direct offers for work areas.

"This is Pertamina's participation and not opened for other companies. Pertamina's involvement in the exploration block is a corporate action. The aim is to increase Pertamina's oil and gas replacement ratio (Reserve Replacement Ratio (RRR)," Arcandra said.

the South Andaman Block

The auction schedule for the four blocks is open to document access from November 5 to December 17, 201. The document clarification forum starts November 12 to December 17, 2018. Entry of documents ends no later than December 19, 2018. Referring to ESDM Ministry data, the South Andaman Block is off the coast of Aceh. This block is in the area of ​​3,548.69 square kilometers (km2), the depth of the sea is 100-1,500 meters.

The gas reserves are 1,243.37 BCP and oil is 218.92 MMBO. The definite work commitment in the South Andaman Block is minimal Geology & Geoticics (G & G) and three-square-kilometer (3D) seismic in the form of data acquisition.

The signature bonus of 2 million dollars The second block auctioned is South Sakakemang. The area is 2,145.11 km2 and is on the mainland of South Sumatra. This block reserves 106.33 MMBO for oil and gas 603.91 BCP. The minimum definite commitment of this block consists of G & G and two-dimensional (2D) seismic along 250 km.

Third, Blok Anambas off the coast of Riau. This block has an area of ​​3,434.33 km2. The reserves are estimated at 260.36 BCP for gas and 26.04 BSCP for condensate. This block's signature bonus is set at 2 million dollars and the minimum commitment must consist of G & G and drilling of one exploration well.

Fourth, the Maratua Block. This block is on land and off the coast of North Kalimantan and West Kalimantan. The total area is 7,835.07 km2. Reserves for oil 204.86 MMBO and gas 890.09 BCP. This block's signature bonus is 2 million dollars. The minimum commitment must consist of G & G and 3D seismic 500 km2.

IN INDONESIAN

Empat Blok Migas Eksplorasi

Pemerintah melalui kementerian ESDM membuka lelang tahap ketiga. Lelang wilayah kerja migas ini menyertakan, empat blok eksplorasi. Empat blok eksplorasi, yakni South Andaman, Anambas, South Sakakemang dan Maratua. 

Wakil Menteri ESDM, Arcandra Tahar menjelaskan pada lelang kali ini Kementerian ESDM memberikan kemudahan kepada investor untuk mengakses data blok migas secara gratis. Pada lelang sebelumnya akses data migas dikenakan biaya maksimal 80 ribu dolar AS per wilayah kerja. Kini biaya tersebut dihilangkan. hanya saja jika investor yang ikut lelang menjadi pemenang maka wajib membayar biaya akses data tersebut. 

"Lelang kita buka, dan sesuai kebijakan yang sudah kita keluarkan, untuk bisa memudahkan para investor melihat data, silahkan kami buka data migas," ujar Arcandra.

Arcandra juga menjelaskan skema lelang blok tersebut adalah penawaran langsung. Dengan skema ini, investor sudah lebih dulu melakukan studi bersama (joint study) untuk mengetahui potensi cadangan yang ada. SebeIumnya, di Blok Maratua, Pertamina sudah lebih dulu melakukan joint study.

Pemberian hak khusus itu mengacu Peraturan Menteri 35 Tahun 2008 tentang tata cara penetapan dan penawaran wilayah kerja migas. Dalam aturan itu di pasal 35, Pertamina dapat mengusulkan penawaran langsung wilayah kerja.

"Ini partisipasi Pertamina dan tidak dibuka untuk perusahaan lainnya. Keterlibatan Pertamina di blok eksplorasi itu merupakan aksi korporasi. Tujuannya untuk meningkatkan capaian rasio penggantian cadangan migas atau Reserve Replacement Ratio (RRR) Pertamina," ujar Arcandra.

Jadwal lelang empat blok tersebut dibuka akses dokumen mulai 5 November sampai 17 Desember 2018. Forum klarifikasi dokumen dimulai 12 November sampai 17 Desember 2018. Pemasukan dokumen berakhir paling lambat 19 Desember 2018. Mengacu data Kementerian ESDM, Blok South Andaman berada di lepas pantai Aceh. Blok ini berada di area 3.548,69 kilometer persegi (km2), kedalaman laut 100-1.500 meter.

Cadangan gasnya 1.243,37 BCP dan minyak 218,92 MMBO. Komitmen kerja pasti di Blok South Andaman minimal Geologi & Geotisika (G&G) dan

seismik tiga dimensi (3D) sepanjang 500 km persegi berupa akuisisi data. 

Adapun bonus tanda tangannya sebesar 2 juta dolar Blok kedua yang dilelang adalah South Sakakemang. Luas areanya 2.145,11 km2 dan berada di daratan Sumatera Selatan. Cadangan blok ini 106.33 MMBO untuk minyak dan gasnya 603.91 BCP. Minimal komitmen pasti blok ini terdiri dari G&G dan seismik dua dimensi (2D) sepanjang 250 km.

Ketiga, Blok Anambas di lepas pantai Riau. Blok ini luasnya 3.434,33 km2. Cadangannya diperkirakan 260.36 BCP untuk gas dan 26.04 BSCP untuk kondensat. Bonus tanda tangan blok ini ditetapkan 2 juta dolar dan minimal komitmen pastinya terdiri dari G&G dan pengeboran satu sumur eksplorasi.

Keempat, Blok Maratua. Blok ini berada di darat dan lepas pantai Kalimantan Utara dan Kalimantan Barat. Total luasnya 7,835.07 km2. Cadangannya untuk minyak 204.86 MMBO dan gas 890.09 BCP. Bonus tanda tangan blok ini sebesar 2 juta dolar. Minimal komitmen pastinya terdiri dari G&G dan seismik 3D 500 km2.

Harian Bangsa, Page-4, Wednesday, Nov 7, 2018