ExxonMobil Release Done October

The finalization of the transfer of rights to ExxonMobil Cepu Limited as the Jamabaran-Tiung Biru Field partner to PT Pertamina EP Cepu is targeted for completion in October 2017.

President Director of PT Pertamina EP Cepu (PEPC) Adriansyah said the negotiations with ExxonMobil have been completed. Currently still in the administrative stage of ExxonMobil's internal residence at headquarters in the United States. He called the longest time to complete the administration for three weeks.

"Three weeks is the longest because we are waiting for this to board Exxon [board of directors]," he said after attending the ground breaking event of Jambaran-Tiung Biru Field in Bojonegoro on Monday (25/9).

After the transfer of management rights is formally completed, then the gas purchase agreement (PJBC) with PT Perusahaan Listrik Negara (PLN) can be signed. The reason is that the transfer of management rights contains aspects of taxation. Thus, PJBG needs to wait for the transfer of rights process.

The project is a merger of two fields and two different working areas. Jambaran Field is part of the work area of ​​Cepu and Tiung Biru Field which is part of Pertamina EP work area. In Cepu Block, ExxonMobil Cepu Limited (EMCL) becomes operator and controls 20.5% of participating interest, Ampolex 24.5%, Pertamina EP Cepu (PEPC) 45%, and some 10% BUMD.

Meanwhile, in the project, PEPC becomes operator and with EMCL each has 41, 4% share. Regional-owned enterprises (BUMD) has a share of 9.2% and the remaining 8% controlled by Pertamina EP. When the transfer of management rights is over, PEPC will control 82.8% of the rights to manage the Jambaran-Tiung Biru field.

According to him, for every transaction of rights will lead to taxation. As for, since the beginning of negotiations with EMCL, the tax value to be borne has been calculated. However, it is necessary to ascertain the amount of tax to be paid in order to avoid any more impacts on the gas sale price.

"Transactions of this size we can not allocate taxes based on our assumptions because if the slip difference can be very significant. Therefore we need official documents so there is certainty of the amount of tax to be paid, "he said

TRANSITION RULES

Adriansyah considers that the tax problem is not the main one in the process of transferring the right to manage in the Jambaran-Tiung Biru project. The issue of drilling responsibilities and subsurface data should also be regulated.

"Tax is not the main thing. Many other issues relate to managing technical activities such as drilling and subsurface data that need more complex transition rules, "he said.

The transfer of rights is carried out under a sole risks scheme, ie the partners disclaim their rights and obligations on the project even though the project is a field and two different working areas. Although the risk will be borne alone, he hopes that the gas sale price will no longer change and the agreement in the form of heads of agreement (HoA) signed in August and the project can be completed on schedule.

Otherwise, the project's economy continues to decline even though to continue the project PEPC has received a 5% profit-sharing share so the contractor gets 45%. Separately, Vice President of Public & Government Affairs ExxonMobil Cepu Limited Erwin Maryoto said that the key points in the negotiations have been reached. Currently, entering the final stage for the administration process.

"All that matters important is done all just the legal language that is being finalized."

IN INDONESIA

Pelepasan ExxonMobil Selesai Oktober

Finalisasi pengalihan hak kelolaPT ExxonMobil Cepu Limited sebagai mitra Lapangan Jamabaran-Tiung Biru kepada PT Pertamina EP Cepu ditargetkan selesai pada oktober 2017.

Direktur Utama PT Pertamina EP Cepu (PEPC) Adriansyah mengatakan negosiasi dengan ExxonMobil telah tuntas. Saat ini masih dalam tahap administrasi di internal ExxonMobil yang berada di kantor pusat di Amerika Serikat. Dia menyebut waktu paling lama untuk penyelesaian administrasi selama tiga pekan.

"Tiga minggu paling lama karena kita menunggu ini masuk ke board [direksi] Exxon,” ujarnya usai menghadiri acara peletakan batu pertama Lapangan Jambaran-Tiung Biru di Bojonegoro, Senin (25/9).

Setelah pengalihan hak kelola selesai secara formal, barulah perjanjian jual beli gas (PJBC) dengan PT Perusahaan Listrik Negara (PLN) bisa diteken. Alasannya, pengalihan hak kelola tersebut mengandung aspek perpajakan. Dengan demikian, PJBG perlu menanti proses pengalihan hak kelola.

Proyek tersebut merupakan penggabungan dua lapangan dan dua wilayah kerja berbeda. Lapangan Jambaran merupakan bagian dari wilayah kerja Cepu dan Lapangan Tiung Biru yang menjadi bagian dari wilayah kerja Pertamina EP. Pada Blok Cepu, ExxonMobil Cepu Limited (EMCL) menjadi operator dan menguasai saham partisipasi sebesar 20,5 %, Ampolex 24,5%, Pertamina EP Cepu (PEPC) 45%, dan beberapa BUMD 10%.

Sementara itu, dalam proyek itu, PEPC menjadi operator dan bersama EMCL masing-masing memiliki porsi 41 ,4%. Badan usaha milik daerah (BUMD) itu memiliki saham 9,2% dan sisanya sebanyak 8% dikuasai oleh Pertamina EP. Bila peralihan hak kelola usai, PEPC akan menguasai 82,8% hak kelola atas Iapangan Jambaran-Tiung Biru.

Menurutnya, untuk setiap transaksi hak kelola akan menimbulkan perpajakan. Adapun, sejak awal negosiasi dengan EMCL, nilai pajak yang harus ditanggung sudah dihitung. Namun, perlu dipastikan jumlah pajak yang harus dibayarkan agar tidak ada lagi pembahan yang berdampak pada harga jual gas.

“Transaksi sebesar ini kan kita tidak bisa mengalokasikan pajak berdasarkan asumsi kita karena kalau meleset selisihnya bisa sangat signifikan. Karena itu kita butuh dokumen resmi sehingga ada kepastian jumlah pajak yang harus dibayar,” ujarnya 

ATURAN TRANSISI

Adriansyah menilai bahwa masalah pajak bukanlah yang utama dalam proses peralihan hak kelola dalam proyek Jambaran-Tiung Biru. Masalah tanggung jawab pengeboran dan data bawah permukaan juga harus diatur.

“Tax bukanlah hal yang utama. Banyak isu lain terkait alih kelola kegiatan teknis seperti drilling [pengeboran] dan data subsurface yang perlu aturan-aturan transisi yang lebih kompleks,” katanya.

Pengalihan hak kelola dilakukan dengan skema sole risks, yakni mitra melepas hak dan kewajibannya atas proyek tersebut meskipun proyek merupakan lapangan dan dua wilayah kerja berbeda. Kendati risiko nantinya ditanggung sendiri, dia berharap agar harga jual gas tidak lagi mengalami perubahan dan kesepakatan berupa heads of agreement (HoA) yang diteken pada Agustus dan proyek bisa selesai sesuai jadwal yang ditetapkan. 

Bila tidak, keekonomian proyek terus turun meskipun untuk melanjutkan proyek tersebut PEPC telah mendapat tambahan bagi hasil sebesar 5% sehingga kontraktor mendapat bagian 45%. Secara terpisah, Vice President Public & Government Affairs ExxonMobil Cepu Limited Erwin Maryoto mengatakan bahwa poin-poin penting dalam negosiasi telah tercapai. Saat ini, masuk tahap final untuk proses administrasi. 

“Semua yang penting penting sudah selesai semua hanya bahasa hukumnya yang sedang difinalisasi."

Bisnis Indonesia, Page-28, Thursday, Sept 28, 2017

Continue to Increase Oil and Gas Production in Bukit Tua

The Bukit Tua block of oil and gas fields is still sweet to Petronas (Petroliam Nasional Berhad), a Malaysian company playing in upstream oil and gas sector in Indonesia. From the oil and gas field on the north coast of Madura Island, Petronas operations show a positive performance. Since the signing of PSC [production sharing contrast] contract with Indonesian government through SKK Migas in 1998, there are already five oil and gas wells producing.

Total gas production from the five wells reached 37 mmsfd [million standart cubic feet per day]. Its oil production is around 15,000 barrels per day [bph]. The results that make Petronas increasingly eager to lift the fortune from the bowels of the earth. Two drilling points are currently underway with a target of 4,000 bpd.

"We expect oil production to be boosted to an optimum yield of 20,000 bpd, while gas production is up to 50 mmsfd," he said. Senior Manager of Corporate Affairs and Administrative PC Muriah, Andiono Setiawan in Gresik, Wednesday (27/9).

The two new wells are all located in the Bukit Tua field, which is the result of exploration in 2012. The two new wells are scheduled to open in February 2018.

"Our target in 2018 is to maximize gas production to 50 mmsfd and oil production up to 20,000 bpd." he said.

During this time, the production gas from the Bukit Tua field is channeled to PT PLN to support electricity supply in East Java through PT PJU [Petrogas Jatim Utama], BUMD owned by East Java Provincial Government. Petronas itself, in cooperation contract with PT PJU, maximum supply gas up to 50 mmsfd. 

     But so far the supply from Petronas to PJU only about 37 mmsfd. To channel gas production from the Bukit Tua field, Petronas built a 110 km-long seabed pipe from a 70 mmsfd Onshore Receiving Facilities (ORF) facility located in Maspion Industrial Area, Manyar, Gresik.

In addition, Petronas also uses FPSO units (floating production storage and offloading), a floating unit used to extract oil in the ocean as well as process it into finished oil and directly discharged into Pertamina.

IN INDONESIA

Terus Genjot Produksi Migas di Bukit Tua

Lapangan minyak dan gas Bukit Tua blok Ketapang masih berasa manis bagi Petronas (Petroliam Nasional Berhad), perusahaan asal Malaysia yang bermain di sektor hulu migas di Indonesia. Dari lapangan migas di pantai utara Pulau Madura itu, kegiatan operasi Petronas menunjukkan kinerja positif. Sejak ditandatanganinya kontrak PSC [production sharing contrast) dengan pemerintah Indonesia melalui SKK Migas tahun 1998 silam, sudah ada lima sumur migas yang berproduksi.

Total produksi gas dari lima sumur itu mencapai 37 mmsfd [million standart cubic feet per day). Sedang produksi minyaknya berkisar 15.000 barel per hari [bph). Hasil itu membuat Petronas semakin bersemangat mengangkat rejeki dari perut bumi. Dua titik pengeboran sedang dikerjakan saat ini dengan target 4.000 bph.

"Kami berharap produksi minyak dapat digenjot hingga hasil optimum 20.000 bph. Sedang produksi gas hingga 50 mmsfd," kata Senior Manager Corporate Affairs and Administrative PC Muriah, Andiono Setiawan di Gresik, Rabu (27/ 9).

Dua sumur baru yang disiapkan itu semuanya juga berada di lapangan Bukit Tua, yang merupakan hasil eksplorasi tahun 2012. Dua sumur baru tersebut dijadwalkan beroperasi Februari 2018 mendatang. 

"Target kami di 2018 memang itu. Memaksimalkan produksi gas sampai 50 mmsfd dan produksi minyak hingga 20.000 bph." kata dia.

Selama ini, gas produksi dari lapangan Bukit Tua dialirkan ke PT PLN untuk mendukung penyediaan listrik di Jawa Timur melalui PT PJU [Petrogas Jatim Utama), BUMD milik Pemerintah Provinsi Jatim. Petronas sendiri, dalam kontrak kerjasamanya dengan PT PJU, maksimal menyuplai gas hingga 50 mmsfd. 

     Tapi selama ini suplai dari Petronas ke PJU baru sekitar 37 mmsfd. Untuk mengalirkan produksi gas dari lapangan Bukit Tua, Petronas membangun pipa dasar laut sepanjang 110 km dari fasilitas penerimaan darat atau Onshore Receiving Facilities (ORF) berkapasitas 70 mmsfd yang terletak di Kawasan Industri Maspion, Manyar, Gresik.

Selain itu, Petronas juga menggunakan unit FPSO (floating production storage and offloading), unit terapung yang digunakan untuk mengambil minyak di lautan sekaligus memprosesnya menjadi minyak jadi dan langsung dialirkan ke Pertamina.

Surya, Page-17, Thursday, Sept 28, 2017

Oil Prices Rise Up US $ 52

West Texas intermediate (WTI) crude oil is moving in a positive trend. Although it had corrected after reaching its highest level since May 2017, now energy commodities are back up.

As of 6:30 pm yesterday, WTI oil futures for November delivery climbed 0.1396 to $ 51.95 a barrel. Even in the middle of the trading session had touched US $ 52.28 per barrel. Oil prices rose as market participants believe the Organization of Petroleum Exporting Cotuitries (OPEC) will continue its production cuts program.

Monex Investindo Futures analyst Putu Agus Pransuamitra said there was an expectation of OPEC's production cuts program to be extended, although there has been no official decision yet. With this price increase, analysts say OPEC will be able to meet the set price target. The organization of this oil-producing country set a target price of oil at US $ 55 per barrel.

However, according to Asia Tradepoint Futures analyst Deddy Yusuf Siregar, if until the end of the year target oil prices have been reached, OPEC will re-regulate the production level. Russian Energy Minister Alexander Novak once said, if prices are as expected, then production cuts will end in March 2018.

Supply disruption in Iraq also contributed to positive sentiment. On Monday (25/9), Turkish President Tayyip Erdogan threatened to cut the Kurdish pipeline supplying world oil. In addition, Deddy said oil prices bounced on the back of data sentiment The American Petroleum Institute (API), on Tuesday (26/9). The data shows, US crude oil stock (US) down.

"The decline is slim, around 761,000 barrels, but this reinforces Baker Hughes's previous data that calls for drilling activity in America to decline," said Deddy, Wednesday (27/9).

In the week ending September 22, Baker Hughes released the number of active drilling rigs reduced by five to 744 from the previous week. Putu said the strengthening of oil prices could still continue if oil stock data released by the US Energy Information Administration (EIA) also showed a decline. So far, US oil stockpiles in the week ending September 22, 2017 is estimated to only rise about 2.9 million barrels. Whereas in the previous week the increase reached 4.6 million barrels.

Technically, Putu sees oil prices moving above the moving average (MA) 50, MA 100 and MA 200. This indicates oil prices are still strong. MACD rose to the level of 0.9, But RSI dropped to 83 and the stochastic level 87 indicates potential weakness.

Today Deddy predicts oil price will move between US $ 51.70-USS 52.50 per barrel. Putu's prediction, oil prices range from US $ 50.80 - US $ 53.00 today and between US $ 50.80-US $ 53.60 per barrel at the end of the third quarter.

IN INDONESIA

Harga Minyak Naik Tembus US$ 52

Minyak mentah jenis west Texas intermediate (WTI) tengah bergerak dalam tren positif. Meski sempat terkoreksi setelah mencapai level tertingginya sejak Mei 2017, kini komoditas energi tersebut kembali naik.

Per pukul 18.30 WIB kemarin, harga minyak WTI kontrak pengiriman November 2017 menguat 0,1396 menjadi US$ 51,95 per barel. Bahkan di tengah sesi perdagangan harganya sempat menyentuh US$ 52,28 per barel. Harga minyak naik lantaran pelaku pasar yakin Organization of the Petroleum Exporting Cotuitries (OPEC) bakal melanjutkan program pemangkasan produksi. 

Analis Monex Investindo Futures Putu Agus Pransuamitra menyebut, ada ekspektasi program pemangkasan produksi oleh OPEC akan diperpanjang, meski kini belum ada keputusan resmi. Dengan penguatan harga ini, analis menilai OPEC akan mampu memenuhi target harga yang ditetapkan. Organisasi negara penghasil minyak ini mematok target harga minyak US$ 55 per barel.

Hanya saja, menurut analis Asia Tradepoint Futures Deddy Yusuf Siregar, jika sampai akhir tahun target harga minyak sudah tercapai, OPEC akan kembali mengatur tingkat produksi. Menteri Energi Rusia Alexander Novak pernah mengatakan, jika harga sudah sesuai harapan, maka pemangkasan produksi akan diakhiri pada Maret 2018.

Gangguan pasokan di lrak juga turut memberi sentimen positif. Pada Senin (25/9) lalu, Presiden Turki Tayyip Erdogan mengancam akan memotong pipa Kurdi yang memasok minyak dunia. Selain itu, Deddy menyebut harga minyak kembali melambung didorong sentimen rilis data The American Petroleum Institute (API), pada Selasa (26/9).  Data tersebut menunjukkan, stok minyak mentah Amerika Serikat (AS) turun.

"Penurunannya memang tipis, sekitar 761.000 barel, tapi ini semakin mengokohkan data Baker Hughes sebelumnya yang menyebut aktivitas pengeboran di Amerika menurun," papar Deddy, Rabu (27/9). 

Pada pekan yang berakhir 22 September kemarin, Baker Hughes merilis jumlah rig pengeboran aktif berkurang lima menjadi 744 buah dari pekan sebelumnya. Putu mengatakan, penguatan harga minyak masih bisa berlanjut jika data stok minyak yang dirilis US Energy Information Administration (EIA) juga menunjukkan penurunan. Sejauh ini stok minyak AS pada pekan yang berakhir 22 September 2017 diperkirakan hanya naik sekitar 2,9 juta barel. Padahal di pekan sebelumnya kenaikan mencapai 4,6 juta barel.

Secara teknikal, Putu melihat harga minyak bergerak di atas moving average (MA) 50, MA 100 dan MA 200. Hal ini mengindikasikan harga minyak masih menguat. MACD naik ke level 0,9, Tapi RSI turun ke level 83 dan stochastic level 87 menunjukkan potensi pelemahan.

Hari ini Deddy memprediksi harga minyak akan bergerak antara US$ 51,70-USS 52,50 per barel. Prediksi Putu, harga minyak berkisar di US$ 50,80 - US$ 53,00 hari ini dan antara US$ 50,80-US$ 53,60 per barel di akhir kuartal tiga.

Kontan, Page-11, Thursday, Sept 28, 2017

For Gas Network, Medco Sells Gas to PGN

PT Medco E & P Indonesia (Medco E & P) again supplied gas production for the needs of the city's gas network program. After being in Kota Tarakan, North Kalimantan, Palembang, South Sumatra, on September 27, 2017, it is the turn of the citizens of Sekayu City, Musi Banyuasin Regency, South Sumatra to enjoy gas supplied from the gas field owned by the national private oil and gas company.

In managing the gas supply, Medco E & P and PT Perusahaan Gas Negara Tbk will agree on a gas purchase agreement (PJBG) known by the Upstream Oil and Gas Upstream Business Unit (SKK Migas). The amount of gas to be supplied from Medco E & P to PGN is planned at 0.25 mmscfd over 10 years. The gas supply that will be used for this household needs is expected to save the cost of living of Kota Sekayu residents.

Indonesia Public Affairs and Security Manager West PT Medco E & P Indonesia Sutami said Medco E & P's gas supply for city gas program has been enjoyed by 21,000 houses in Tarakan and 5,000 in Palembang. According to the plan, gas from Medco E & P field in South Sumatra Block will be channeled by PGN to 6,031 household gas connections in Kota Sekayu gradually.

"Supply to Kota Sekayu reaffirms the company's commitment to produce gas for domestic needs," he said.

IN INDONESIA

Demi Jaringan Gas, Medco Menjual Gas ke PGN

PT Medco E&P Indonesia (Medco E&P) kembali memasok produksi gas untuk kebutuhan program jaringan gas kota. Setelah di Kota Tarakan, Kalimantan Utara, Palembang, Sumatra Selatan, pada 27 September 2017, giliran warga Kota Sekayu, Kabupaten Musi Banyuasin, Sumatra Selatan akan menikmati gas yang dipasok dari lapangan gas milik perusahaan migas swasta nasional ini. 

Dalam mengelola pasokan gas tersebut, Medco E&P dan PT Perusahaan Gas Negara Tbk akan menyepakati perjanjian jual beli gas (PJBG) yang diketahui oleh Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas). Jumlah gas yang akan dipasok dari Medco E&P kepada PGN rencananya sebesar 0,25 mmscfd selama 10 tahun. Pasokan gas yang akan dimanfaatkan untuk kebutuhan rumah tangga ini, diharapkan menghemat pengeluaran biaya hidup warga Kota Sekayu.

Manajer Public Affair and Security Indonesia West PT Medco E & P Indonesia Sutami menyatakan hingga saat ini pasokan gas Medco E&P untuk program gas kota sudah dinikmati oleh 21,000 rumah di Tarakan dan 5.000 runah di Palembang. Menurut rencana, gas dari lapangan-lapangan Medco E&P di Blok South Sumatra akan disalurkan oleh PGN ke 6.031 sambungan gas rumah tangga di Kota Sekayu secara bertahap. 

"Pasokan ke Kota Sekayu ini menegaskan kembali komitmen perusahaan dalam memproduksi gas untuk kebutuhan domestik," kata dia.

Kontan, Page-18, Thursday, Sept 28, 2017

Pertamina Returns Two Oil and Gas Blocks to Government

Gross split still seems to be an obstacle for PT Pertamina to manage oil and gas blocks that are out of contract period. Earlier the Ministry of Energy and Mineral Resources (ESDM) gave eight oil and gas blocks that will expire in 2018, but Pertamina does not want to manage all.

Based on the evaluation, Pertamina declared East Kalimantan Block uneconomical by using the revised gross split share contract in Ministerial Regulation No. 52/2017. But it turns out Pertamina will also return the Attaka Block which is included in the eight termination blocks.

Director of Upstream Oil and Gas Supervision at the Ministry of ESDM Tunggal confirmed that it is likely Pertamina will return the Attaka Block, having previously returned East Kalimantan Block to the government.

"The two blocks are a unitization package, Pertamina wants to return East Kalimantan alone or both with Attaka, but East Kalimantan and Attaka are unitisation, so the production is not separated," said Tunggal, Wednesday (27/9).

The government is still waiting for the official letter and Pertamina related to the return of both blocks. If the letter has been filed, the government will immediately conduct a special auction of both blocks. The target before next year's special auction East Kalimantan Block and Attaka Block has begun to be auctioned.

"If it is returned, prepare data, announce, then process," he said.

IN INDONESIA

Pertamina Kembalikan Dua Blok Migas ke Pemerintah

Gross split tampaknya masih menjadi ganjalan bagi PT Pertamina mengelola blok migas yang habis masa kontrak. Sebelumnya Kementerian Energi dan Sumber Daya Mineral (ESDM) memberikan delapan blok migas yang akan habis masa kontraknya pada tahun 2018 nanti, tapi Pertamina tidak ingin mengelola semua.

Berdasarkan hasil evaluasi, Pertamina menyatakan Blok East Kalimantan tidak ekonomis dengan menggunakan kontrak bagi hasil gross split yang telah direvisi dalam Peraturan Menteri Nomor 52/2017. Tapi ternyata Pertamina juga akan mengembalikan Blok Attaka yang termasuk dalam delapan blok terminasi.

Direktur Pembinaan Hulu Migas Kementerian ESDM Tunggal membenarkan, kemungkinan Pertamina akan mengembalikan Blok Attaka, setelah sebelumnya mengembalikan Blok East Kalimantan ke pemerintah. 

"Dua blok itu merupakan paket unitisasi. Pertamina mau mengembalikan East Kalimantan saja atau dua-duanya dengan Attaka. Tapi East Kalimantan dan Attaka itu merupakan unitisasi, jadi produksinya tidak dipisah," jelas Tunggal, Rabu (27/9). 

Pemerintah masih menunggu Surat resmi dan Pertamina terkait pengembalian kedua blok tersebut. Jika Surat tersebut sudah diajukan, pemerintah akan segera melakukan lelang khusus kedua blok tersebut. Targetnya sebelum tahun depan lelang khusus Blok East Kalimantan dan Blok Attaka sudah mulai dilelang. 

"Kalau memang dikembalikan, siapkan data, umumkan, lalu proses," katanya.

Kontan, Page-18, Thursday, Sept 28, 2017

Increase Production, Petronas Drill Two Wells

Malaysian oil and gas company Petronas is committed to long-term investments in Indonesia. This is shown by investment Petronas Carigali Indonesia in the field of oil and gas Bukit Tua Ketapang Work Area. Production sharing contracts in the oil and gas working area on the north coast of Madura Island have been signed since June 1998. So far, five wells have been produced.

"The production is not only petroleum, but also gas," said Senior Manager of Corporate Affairs & Administration Petronas Carigali Andiono Setiawan in Gresik (27/9).

To channel gas production from Ketapang, Petronas constructed a 110 km seabed pipeline to the onshore receiving facilities (ORF) in Gresik. The facility has a capacity of 70 million standard cubic feet per day (mmscfd). In addition, Petronas uses a floating production storage and offloading (FPSO) unit that produces oil and flows it to Pertamina.

Although the contract was signed in 1998, the Ketapang Working Area just produced oil in May 2015. The number reached 17 thousand barrels per day (bpd). Meanwhile, gas production is conducted since August 2016 of 37 million standard cubic feet per day (mmscfd).

"We expect oil production to be boosted to an optimum yield of 20,000 bpd for gas, reaching up to 50 mmscfd of optimum production," explained Andiono.

To increase oil production, Petronas is drilling two wells in Old Quarter to develop and increase production by a target of 4 thousand bpd. The drilling is targeted for completion in February 2018. The gas produced and Bukit Tua Tua field is channeled to PLN to support electricity supply in East Java through East Java Regional Government (BUMD), Petrogas Jatim Utama (PJU).

Andiono said, Bukit Tua Field is the largest upstream oil and gas project of Petronas in Indonesia. Its investment reaches USD 800 million. Petronas owns an 80 percent stake in the operator of the Ketapang Block. The rest is controlled by PT Saka Ketapang Perdana, a subsidiary of PGN.

IN INDONESIA

Tingkatkan Produksi, Petronas Bor Dua Sumur 

Perusahaan migas asal Malaysia, Petronas, berkomitmen untuk berinvestasi jangka panjang di Indonesia. Hal itu ditunjukkan dengan investasi Petronas Carigali Indonesia di lapangan minyak dan gas Bukit Tua di Wilayah Kerja Ketapang. Kontrak bagi hasil di wilayah kerja migas di pantai utara Pulau Madura tersebut ditandatangani sejak Juni 1998. Sejauh ini, ada lima sumur yang telah berproduksi. 

”Produksinya bukan hanya minyak bumi, tapi juga gas,” ucap Senior Manager Corporate Affairs & Administration Petronas Carigali Andiono Setiawan di Gresik (27/9).

Untuk mengalirkan produksi gas dari Ketapang, Petronas membangun pipa dasar laut sepanjang 110 km ke onshore receiving facilities (ORF) di Gresik. Fasilitas itu berkapasitas 70 juta standar kaki kubik per hari (mmscfd). Selain itu, Petronas menggunakan unit floating production storage and offloading (FPSO) yang memproduksi minyak sekaligus mengalirkannya ke Pertamina.

Meski kontraknya telah ditandatangani pada 1998, Wilayah Kerja Ketapang baru saja memproduksi minyak pada Mei 2015. Jumlahnya mencapai 17 ribu barel per hari (bpd). Sementara itu, produksi gas dilakukan sejak Agustus 2016 sebesar 37 juta standar kaki kubik per hari (mmscfd). 

"Kami berharap produksi minyak dapat digenjot hingga hasil optimal 20 ribu bph. Untuk gas, dapat mencapai hingga produksi optimum 50 mmscfd,” jelas Andiono.

Untuk meningkatkan produksi minyak, Petronas sedang mengebor dua sumur di Lapangan Tua untuk mengembangkan dan meningkatkan produksi dengan target 4 ribu bph. Pengeboran itu ditargetkan selesai pada Februari 2018. Gas yang diproduksi dan Lapangan Bukit Tua dialirkan ke PLN untuk mendukung penyediaan listrik di Jawa Timur melalui BUMD Jatim, Petrogas Jatim Utama (PJU).

Andiono menuturkan, Lapangan Bukit Tua merupakan proyek hulu migas terbesar Petronas di Indonesia. Investasinya mencapai USD 800 juta. Petronas menguasai 80 persen saham di perusahaan operator Blok Ketapang. Sisanya dikuasai PT Saka Ketapang Perdana, anak usaha PGN.

Jawa Pos, Page-5, Thursday, Sept 28, 2017

SKK Migas Visits Pondok Pesantrem Tebuireng

Special Unit for Upstream Oil and Gas Business Activities (SKK Migas) held a public lecture at KH Yusuf Hasyim Hall, Pondok Pesantren (PP) Tebuireng Jombang, Wednesday (27/9). Hundreds of participants attended the public lecture. They are students and lecturers Unhasy (Hasyim Asy'ari University), as well as students of Tebuireng.

Also present were the guardians of Pustok Pesantren Tebuireng KH Salahuddin Wahid or Gus Sholah, while one of the speakers was the Head of Representative of SKK Migas Java Bali and Nusa Tenggara (Jabanusa), Ali Masyhar.

Students seem enthusiastic to follow the classroom. Evidently a number of questions from them coloring the running of the forum. Similarly, the santri who attended the event. They follow the lecture from the end until the end. Ali Masyhar said, in general, oil and gas is one of the wealth of natural resources owned by Indonesia and East Java in particular. Therefore, the public must know about the natural resources.

"So we held this public lecture, so that people know how the condition of oil and gas and what kind of management. This must be known by the students as a young generation, "said Ali Masyhar.

Ali added, speaking the East Java context, can not be separated from the culture of nahdliyin and santri. Therefore, santri should know the wealth of natural resources in the area.

"Well, about santri, pesantren Tebuireng is an icon in East Java. Hence in the general lecture we present a competent speaker in his field. Primarily about oil and gas management and its rules, "he said.

The caretaker of Pesantren Tebuireng KH Salahuddin Wahid has a view, general lecture on oil and gas is very important for santri and students. Because so far they are still blind about the condition of oil and gas in Indonesia. Because the material is not given in college.

"With the material, students can better prepare themselves in the face of competition. So, general lecture on oil and gas it is very good for students and students, "said Gus Sholah.

IN INDONESIA

SKK Migas Berkunjung Pondok Pesantrem Tebuireng

Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) menggelar kuliah umum di Aula KH Yusuf Hasyim, Pondok Pesantren (PP) Tebuireng Jombang, Rabu (27/9). Ratusan peserta hadir dalam kuliah umum itu. Mereka adalah mahasiswa dan dosen Unhasy (Universitas Hasyim Asy’ari), serta santri Tebuireng.

Hadir pula pengasuh Pndok Pesantren Tebuireng KH Salahuddin Wahid atau Gus Sholah, sedangkan salah satu pemateri adalah Kepala Perwakilan SKK Migas Jawa Bali dan Nusa Tenggara (Jabanusa), Ali Masyhar.

Mahasiswa nampak antusias mengikuti kuLiah umuM itu. Terbukti sejumlah pertanyaan dari mereka mewarnai berjalannya forum. Demikian juga dengan para santri yang hadir dalam acara tersebut. Mereka mengikuti kuliah dari awaL hingga akhir. Ali Masyhar mengatakan, secara umum, migas merupakan salah satu kekayaan sumber daya alam yang dimiliki Indonesia dan Jawa Timur khususnya. Oleh karena itu masyarakat wajib tahu tentang sumber daya alam tersebut.

“Makanya kami menggelar kuliah umum ini, agar masyarakat mengetahui bagaimana kondisi migas sarta seperti apa pengelolaannya. Ini wajib diketahui oleh mahasiswa sebagai generasi muda,” ujar Ali Masyhar.

Ali menambahkan, berbicara konteks Jawa Timur, tidak bisa dilepaskan dari kultur nahdliyin dan santri. Karena itu juga, santri sudah selayaknya mengetahui kekayaan sumber daya alam di daerahnya. 

“Nah, soal santri, pesantren Tebuireng adalah ikon di Jawa Timur. Makanya dalam kuliah umum tadi kita menghadirkan pemateri yang kompeten di bidangnya. Utamanya tentang pengelolaan migas dan aturan-aturannya,” katanya.

Pengasuh Pondok Pesantren Tebuireng KH Salahuddin Wahid berpandangan, kuliah umum tentang migas sangat penting bagi santri dan mahasiswa. Karena selama ini mereka masih buta tentang kondisi migas di Indonesia. Pasalnya, materi tersebut tidak diberikan di bangku kuliah. 

“Dengan adanya materi itu, mahasiswa lebih bisa menyiapkan diri dalam menghadapi persaingan. Jadi, kuliah umum soal migas tersebut sangat bagus bagi mahasiswa dan santri,” kata Gus Sholah. 

Duta Masyarakat, Page-15, Thursday, Sept 28, 2017

Attaka & East Kal Auctioned One Package

The government not only auction East Kalimantan Block (East Kal), but also Attaka Block because of oil and gas production from both work areas.

Director of Upstream Oil and Gas Business Development at the Ministry of Energy and Mineral Resources (ESDM) Tunggal said that with the scheme of managing two oil and gas fields together, the government must auction both blocks because the processing of their products is united. Therefore, he said, if PT Pertamina will return East Kalimantan Block, it can not be returned without the Attaka Block.

"East Kalimantan and Attaka are unitisasi [merger of two blocks], the production is not separated," he said in the Mining event and Energy at JW Marriott Hotel, Wednesday (27/9).

East Kalimantan and Attaka blocks have previously been assigned to be managed by Pertamina using a gross split contract on its new contract.

In 2016, Chevron Indonesia Company as operator of the East Kalimantan Block has stated it will not renew the contract. Meanwhile, in the Attaka Block, Inex and Chevron, each holding a 50% interest in participation, did not want to manage the block after the contract expired.

On the other hand, Pertamina often mentions that the management of the East Kalimantan Block is burdened with post-mining or abandonment and site restoration (ASR) expenses.

For auction the two work areas are special. After Pertamina declared that officially its stance on both work areas and ESDM Minister Ignatius Jonan has also received an official statement from Pertamina that the auction possible to do.

"Special auction, the special auction does not have to wait next year, if it's returned, prepare the data, announce it, then process."

Upstream Director of Pertamina Syamsu Alam said that the two blocks are indeed difficult to manage. Because the economy is too low field so the company chose to restore the two blocks.

"We think the two blocks are economically heavy for us to manage."

IN INDONESIA

Attaka & East Kal Dilelang Satu Paket

Pemerintah tidak hanya melelang Blok East Kalimantan (East Kal), tetapi juga Blok Attaka karena hasil produksi minyak dan gas bumi dari kedua wilayah kerja tersebut.

Direktur Pembinaan Usaha Hulu Minyak dan Gas Bumi Kementerian Energi dan Sumber Daya Mineral (ESDM) Tunggal mengatakan bahwa dengan skema pengelolaan dua lapangan migas secara bersama-sama, pemerintah harus melelang kedua blok itu karena pemrosesan hasil produksinya disatukan. Oleh karena itu, dia menyebut, bila PT Pertamina akan mengembalikan Blok East Kalimantan, tidak mungkin dikembalikan tanpa Blok Attaka.  

“East Kalimantan dan Attaka itu unitisasi [penggabungan dua blok], produksinya tidak dipisah,” ujarnya dalam acara Pertambangan dan Energi di Hotel JW Marriott, Rabu (27/9).

Blok East Kalimantan dan Attaka sebelumnya telah ditugaskan agar dikelola Pertamina dengan menggunakan kontrak bagi hasil kotor (gross split) pada kontrak barunya.

Pada 2016, Chevron Indonesia Company sebagai operator Blok East Kalimantan telah menyatakan tidak akan memperpanjang kontrak. Sementara itu, pada Blok Attaka, lnpex dan Chevron yang masing-lnasing menguasai 50% saham partisipasi pun tidak ingin mengelola blok itu setelah kontrak berakhir.

Di sisi lain, Pertamina sering menyebut bahwa pengelolaan Blok East Kalimantan terbebani biaya kewajiban pascatambang atau abandonment and site restoration (ASR).

Untuk lelang kedua wilayah kerja tersebut bersifat khusus. Setelah Pertamina menyatakan bahwa secara resmi sikapnya terhadap kedua wilayah kerja itu dan Menteri ESDM Ignasius Jonan juga telah menerima pernyataan resmi dari Pertamina bahwa lelang bisa dilakukan. 

"Lelang khusus, lelang khusus itu tidak perlu menunggu tahun depan. Kalau memang itu dikembalikan, siapkan datanya, umumkan, lalu proses."

Direktur Hulu Pertamina Syamsu Alam mengatakan bahwa dua blok tersebut memang sulit untuk dikelola. Pasalnya, keekonomian lapangan terlalu rendah sehingga perseroan memilih untuk mengembalikan kedua blok tersebut. 

“Menurut kita, dua blok tersebut yang secara keekonomian berat untuk kita kelola." 

Bisnis Indonesia, Page-28, Thursday, Sept 28, 2017

Govt and investors don’t see eye-to-eye on gross-split taxation

A government regulation (PP) intended to manage taxation under the newly-introduced gross split scheme seems to be in a deadlock, due to a disagreement between the government and investors.

Deputy Finance Minister Mardiasmo confirmed that the disagreement was largely regarding whether contractors should be forced to pay taxes during an oil and gas block’s exploitation period, especially as it has become a cash cow. 

While both sides have agreed to implement a capital loss carryover during exploration widely known as being high risk and needing large amounts of investment, the Indonesian Petroleum Association (IPA) has demanded a tax exemption during production.

“If they [contractors] have started making a profit and are becoming rich, then they should start paying value-added tax and property tax. This is something we still need to find a compromise for,” Mardiasmo told reporters on the sidelines of the 2017 Mining and Energy Expo in Jakarta on Tuesday

The gross-split production sharing scheme (PSC) was introduced earlier this year to slowly phase out the current cost recovery scheme - which makes it compulsory for the government to reimburse contractors’ exploration and exploitation activities. 

While it has since been revised to accommodate investor concerns, many have remained hesitant toward the gross-split scheme due to a lack of clarity on the taxation mechanism.

The government has disclosed that the upcoming PP would largely be similar to Government regulation (PP) No. 27/2017 on taxation under cost recovery which provides the minister with the authority to determine the sliding scale split in a cooperation contract and scrap the domestic market obligation (DMO) for investors with an approval from the Finance Minister, as well as detailed fiscal incentives. 

Moreover, Mardiasmo also confirmed that income tax would be cut to 25 percent from the initial 35 percent. Meanwhile, the ReforMiner Institute recently issued a report containing its simulation of the option to tax gross revenue under the gross-split scheme, in comparison to the current taxable income system.

Based on PteforMiner’s simulation, implementing tax on gross revenue caused the oil and gas block’s net present value (NPV) to decrease by 40 percent for every 1 percent hike in taxes. In comparison, using the current tax system would only cause it to decrease by 28 percent.

Furthermore, taxing gross revenue would also cause the internal rate of return (IRR) to decrease by a whopping 0.49 percent, in comparison to 0.09 percent using the taxable income scheme.

“Based on the comparison, a normal taxation system would give a healthier cash How because the level of sensitivity is much smaller, meaning that it will produce better results and tax rates,” the report stated. 

“This is important to ensure an enticing project and also the longevity of the oil and gas industry during a period of unstable oil prices and a change in Indonesia’s fiscal system.”

The recent revision of the gross-split regulation and its subsequent effect on the upcoming Government regulation (PP) on taxation has forced the Energy and Mineral Resources Ministry to once again postpone the deadline until November for the oil and gas blocks it has put on auction this year.

The ministry has put up 15 oil and gas blocks this year, all under the gross-split scheme. “[Investors] have asked us to be clear on taxation before they are willing to resubmit their bids for the blocks they wish to operate,” Deputy Energy and Mineral Resources Minister Arcandra Tahar said.

The gross-split scheme was initially established to entice more investors to Indonesia’s upstream sector, in addition to unburdening the government’s coffers.  In 2015, the government found no suitable winners for all 11 blocks it had put on auction that year. This is in stark contrast to the 2012-2014 period when there were 89 winners in auctions for a total of 50 blocks.

Separately, IPA executive director Marjolijn declined to confirm the contents of the association’s discussion with the government on the issue of taxation. “We cannot speak about it publicly since we are still discussing the details,” she said.

Jakarta Post, Page-19, Wednesday, Sept 27, 2017

Bojonegoro will get DBH Oil Rp 200 Billion

The government of Bojonegoro regency, East Java, will get Rp 200 billion for the third quarter (DBH) of oil and gas revenue, lower than the target set at Rp225 billion due to the new regulation of the Ministry of Finance.

Head of Bojonegoro Regency Revenue Agency, Herry Sudjarwo, in Bojonegoro, Tuesday, explained that according to Finance Minister Decree Noi 112 year 2017 for oil and gas DBH with 80 percent ceiling is reduced to 70 percent. In the region, the target for the acquisition of the third quarter of the oil and gas projection is projected at Rp 225 billion, therefore, due to the new PMK, the gain is only around Rp200 billion.

"The Ministry of Finance will transfer DBH oil and gas in the third quarter next week," he added. He further explained that according to Presidential Regulation (Perpres) no. 2016 on the translation of APBN 2017 for oil and gas DBH in the region is projected to Rp 903.3 billion. However, in Presidential Regulation no. 86 of 2017 on the translation of APBN 2017 changes in the amount of DBH acquisition the oil and gas sector was raised to Rp1,035 trillion, but in the distribution of oil and gas DBH decreased to only 70 percent.

"Yes DBH oil and gas in the APBN Changes rise, but the ceiling is lowered yes the same no change," he said.

He gave an illustration of the increase of oil and gas DBH in the Revised State Budget because of the influence of the increase in oil production in the region so that to Rp 1.035 trillion is no different from before. In the new provision of oil and gas DBH disbursement with 70 percent ceiling, the amount of oil and gas DBH is only Rp 724 billion, whereas the projected oil and gas DBH of Rp 903.3 billion with the ceiling of 80 percent acquisition of oil and gas DBH Rp 722 billion.

"Not to mention the acquisition of oil and gas DBH should be cut by Rp 147 billion (quarter I) due to the excess of saliva remaining in 2015 amounting to Rp 549.5 billion," he said.

IN INDONESIA

Bojonegoro akan  Peroleh DBH Migas Rp 200 Miliar

Pemerintah Kabupaten (Pemkab) Bojonegoro, Jawa Timur, akan memperoleh dana bagi hasil (DBH) migas triwulan III sekitar Rp 200 miliar, lebih rendah dari target yang ditetapkan sebesar Rp225 miliar karena ada ketentuan baru Kementerian Keuangan.

Kepala Badan Pendapatan Daerah Pemkab Bojonegoro Herry Sudjarwo, di Bojonegoro, Selasa, menjelaskan sesuai Peraturan Menteri Keuangan (PMK) Noi 112 tahun 2017 untuk DBH migas dengan pagu 80 persen diturunkan menjadi 70 persen. Di daerahnya, target perolehan DBH migas triwulan III diproyeksikan sebesar Rp 225 miliar, sehingga karena adanya PMK yang baru itu maka perolehan turun hanya sekitar Rp200 miliar.

“Kementerian Keuangan akan mentrasfer DBH migas triwulan III pekan depan,” ucapnya menambahkan. Lebih lanjut ia menjelaskan sesuai Peraturan Presiden (Perpres) No. 2016 tentang penjabaran APBN 2017 untuk DBH migas di daerahnya diproyeksikan sebesar Rp 903,3 miliar. Namun dalam Perpres No. 86 tahun 2017 tentang penjabaran APBN Perubahan 2017 besarnya perolehan DBH

migas daerahnya dinaikkan menjadi Rp1,035 triliun, tetapi dalam penyaluran DBH migas diturunkan menjadi hanya 70 persen.

“Ya DBH migas di dalam APBN Perubahan naik, tetapi pagu diturunkan ya sama saja tidak ada perubahan,” ujarnya.

Ia memberikan gambaran adanya kenaikan DBH migas di dalam APBN Perubahan karena pengaruh kenaikan produksi minyak di daerahnya sehingga menjadi Rp 1,035 triliun tidak ada bedanya dengan sebelumnya. Di dalam ketentuan yang baru penyaluran DBH migas dengan pagu 70 persen maka besarnya perolehan DBH migas hanya Rp 724 miliar, padahal proyeksi DBH migas Rp 903,3 miliar dengan pagu 80 persen perolehan DBH migas Rp 722 miliar. 

“Belum lagi perolehan DBH migas harus dipotong Rp 147 miliar (triwulan I) karena adanya kelebihan sisa salur pada 2015 sebesar Rp 549,5 miliar,” ucapnya.

Investor Daily, Page-23, Wednesday, Sept 27, 2017