2022 Peak of Natural Gas Supply

Overcome the Relying Deficit of New Projects

Domestic gas needs continue to increase. In fact, based on Indonesia's gas balance, there are two gas import scenarios. Namely, scenario I in 2027 and II in 2025 with a deficit below 500 million standard cubic feet per day (MMSCFD). The Ministry of Energy and Mineral Resources (ESDM) noted that natural gas supply in the 2018-2027 period will reach its peak in 2022 at 8,661 mmscfd. This figure increased compared to Indonesia's gas production in 2018 which reached 7,452 mmscfd.

A number of projects will support homeland gas production during this period. Among other things, Siwah Alur Field, Rambong, and Lulu Rayeu (Medco Blok A) are producing this year. The project can reach peak production of 67.4 mmscfd. Then, Field MDA & MBH and MDK (HCML), Jambaran Tiung Biru, Badik Field, and West Badik (PHE Nunukan) in 2019. Jambaran Tiung Biru has a peak production of 330 mmscfd.

HCML

Then, BP Berau Expansion (LNG Train 3) in 2020 and the Merakes Field (Eni East Sepinggan and Red Kido Smoke) peaked at 709 mmscfd, 391 mmscfd and 170 mmscfd respectively. There is also a Gendalo, Gandang and Gehem Field (GDR Chevron Project) gas project which is projected to operate in 2022.

After 2022, gas production has gradually declined to 8,048 mmscfd in 2027. However, by 2027, Abadi Field (INPEX Masela) operates with a production of 1,200 mmscfd. The East Natuna Block also operates that year. The operation of these projects is expected to meet domestic gas needs in Indonesia.

"Not all of the shortage regions and shortages are handled. For example, 2025 region 3. Connect the pipeline between Gresik and Semarang, the supply will come from Surabaya. This is no longer a shortage," explained EMR Deputy Minister Arcandra Tahar.

Based on Indonesia's gas balance, region 3 or Central Java is one area that does not have the potential for large gas reserves. In 2018 to 2027, there has been no additional gas supply from the region. This year, gas supply in the region reached 79.98 mmscfd. Hopefully, with the connection of the Gresik-Semarang pipeline, the demand for gas in Region 3 can be met from the supply of region 4 or East Java.

IN INDONESIAN

2022 Puncak Pasokan Gas Bumi

Atasi Defisit Andalkan Proyek-Proyek Baru

Kebutuhan gas domestik terus meningkat. Bahkan, berdasar neraca gas Indonesia, ada dua skenario impor gas. Yakni, skenario I pada 2027 dan II pada 2025 dengan defisit di bawah 500 million standard cubic feet per day (mmscfd). Kementerian Energi dan Sumber Daya Mineral (ESDM) mencatat, pasokan gas bumi dalam kurun waktu 2018-2027 akan mencapai puncaknya pada 2022 sebesar 8.661 mmscfd. Angka tersebut meningkat dibandingkan dengan produksi gas Indonesia pada 2018 yang mencapai 7.452 mmscfd.

Sejumlah proyek akan menopang produksi gas tanah air pada masa tersebut. Di antaranya, Lapangan Alur Siwah, Rambong, dan Lulu Rayeu (Medco Blok A) yang berproduksi tahun ini. Proyek itu bisa mencapai produksi puncak sebesar 67,4 mmscfd. Lalu, Lapangan MDA & MBH serta MDK (HCML), Jambaran Tiung Biru, Lapangan Badik, dan West Badik (PHE Nunukan) pada 2019. Jambaran Tiung Biru memiliki produksi puncak 330 mmscfd.

Kemudian, BP Berau Expansion (LNG Train 3) pada 2020 serta Lapangan Merakes (Eni East Sepinggan dan Asap Kido Merah) puncaknya masing-masing sebesar 709 mmscfd, 391 mmscfd, dan 170 mmscfd. Juga ada proyek gas Lapangan Gendalo, Gandang, dan Gehem (IDD Project Chevron) yang diproyeksikan beroperasi pada 2022.

Setelah 2022, produksi gas berangsur turun menjadi 8.048 mmscfd pada 2027. Namun, pada 2027, Lapangan Abadi (INPEX Masela) beroperasi dengan produksi sebesar 1.200 mmscfd. Blok East Natuna juga beroperasi di tahun itu. Beroperasinya proyek-proyek tersebut diharapkan dapat memenuhi kebutuhan gas domestik di Indonesia. 

"Tidak semua region shortage dan yang shortage kami atasi. Misalnya, 2025 region 3. Sambung pipa antara Gresik dan Semarang, maka suplai akan berasal dari Surabaya. Ini tidak shortage lagi,” urai Wakil Menteri ESDM Arcandra Tahar.

Berdasar neraca gas Indonesia, region 3 atau Jawa Tengah merupakan salah satu wilayah yang tidak memiliki potensi cadangan gas yang besar. Pada 2018 hingga 2027, belum ada tambahan pasokan gas yang berasal dari wilayah tersebut. Tahun ini pasokan gas diwilayah itu mencapai 79,98 mmscfd. Diharapkan, dengan tersambungnya pipa ruas Gresik-Semarang, kebutuhan gas pada Region 3 dapat terpenuhi dari pasokan region 4 atau Jawa Timur.

Jawa Pos, Page-5, Tuesday, Oct 2, 2018

Gas Supply Still Surplus Until 2024

Based on the 2018-2027 Indonesia Natural Gas Balance Sheet, gas supply up to 2024 is still surplus, so there is no need for imports. However, the gas balance has a potential deficit from 2025. The gas balance does not take into account production and the Abadi Field, Masela Block and East Natuna Block. Both oil and gas working areas have very significant gas reserves. When calculating gas production from the two jumbo fields, gas supply in the country is still quite abundant.

Indonesian Gas Balance 2018-2027 issued by the Ministry of Energy and can help investors, business entities, and ministries / institutions that want data and information related to national natural gas. The composition of domestic natural gas utilization in 2017 rose to 59%, while exports were 41%. Domestic natural gas utilization consists of industry (23.18%), electricity (14.09%), fertilizer (10.64%), oil and gas lifting (2.73%), and domestic liquefied natural gas / LNG (5, 64%).

In addition, domestic gas is also used for domestic LPG / LPG (2.17%) and household gas networks and gas refueling stations (0.15%). Exports of natural gas amounting to 41% consist of shipping through pipes 12.04% and in the form of LNG amounting to 29.37%. ESDM Deputy Minister Arcandra Tahar said that the preparation of the gas balance resulted in three natural gas consumption and supply scenarios.

The method for preparing the Indonesian Gas Balance Sheet 20-20-2027 has differences with the Indonesia Gas Balance 2009-2017. Based on the previous gas balance, gas demand comes from the need for contracted gas and potential gas needs.

"So today is clarification if there are some doubts [related to our gas balance. For each region, don't misperceive. There are some regions say shortage [gas deficit], this is an assumption now not in the next few years, "he said in the presentation of the Indonesian Gas Balance Sheet 2018-2027.

In the 2009-2017 Indonesia Gas Balance, the growth dynamics of natural gas demand shows fluctuating data. For example, the growth of gas demand in 2010 was 8%, while in 2015 only 5%. Arcandra said that the fluctuations in the growth of gas demand were due to unstable policies and the average price of different gases.

"However, this is not connected to ICP [Indonesian crude oil], the price of the pipeline gas continues to rise. But the key price of gas is upstream and midstream [distribution], "he added.

Meanwhile, the projection of gas needs in the Indonesia Gas Balance 2018-2027 is divided into three scenarios. Scenario I, the gas balance in 2018-2027 is surplus. The surplus gas balance because the gas demand projection calculation refers to the realization of natural gas utilization and the long-term pipeline and LNG gas export contracts are not extended.

The balance sheet uses the projected growth of the gas industry to grow 1.1% and Indonesia's economic growth of 5.5%. Scenario II, the gas balance in 2018-2024 remains surplus. However, the gas balance in 2025-2027 has a potential natural gas deficit. The calculation has not considered the potential gas supply from the discovery of new reserves and future gas contracts such as the Masela Block and East Natuna Block.

East Natuna Block

In the scenario of the Ministry of Energy and Mineral Resources, the assumption of using gas from existing contracts is 100% realized. The use of gas for the electricity sector is also projected in accordance with the 2018-2027 General Electricity Procurement Plan (RUPTL). The assumption of growth in natural gas demand is in line with economic growth, which is 5.5% for the retail industry sector. In addition, the implementation of the revitalization of the oil refinery operates in accordance with the target. The construction of a petrochemical and fertilizer plant is also assumed to operate on schedule.

Scenario III, the gas balance is projected to be surplus in the period 2019-2024. Meanwhile, in 2025-2027 there is a potential natural gas deficit. However, in scenario III, the Ministry of Energy and Mineral Resources has not considered the potential of gas supply from the discovery of new reserves and future gas contracts such as the Masela Block and East Natuna Block.

The projection of gas requirements in scenario III uses the assumption that gas utilization from existing contracts is 100% realized and gas utilization for the electricity sector is in accordance with RUPTL 2018-2027. In addition, the retail industry sector utilizes gas at maximum plant capacity and increases demand from economic growth of 5.5%.

In addition, the implementation of the revitalization of the oil refinery is projected on schedule. Implementation of the construction of a new petrochemical and fertilizer plant on schedule. Arcandra said that with different methodologies, Indonesia's natural gas balance would be recalculated every year. It follows the revised RUPTL which is also revised every year.

"Why change because the biggest off taker is PT. PLN and they also changed [RUPTL]. "

SLOW INFRASTRUCTURE

On the other hand, businesses complain that the development of natural gas infrastructure is operating slowly so that the industry still faces challenges in the price and supply of natural gas. In the 2018-2027 Indonesia Natural Gas Balance Sheet, domestic gas needs until 2024 are still in surplus. However, gas supply from 2025 must be added. Additional gas supply can be done through increasing new gas reserves and accelerating the development of potential gas fields.

Chairman of the Glass and Sheet Glass Association Yustinus H. Gunawan said, from the exposure to the gas balance, the government actually provided an opportunity to reduce gas prices. However, the government only looks at the economic and gas infrastructure factors. In fact, infrastructure development such as gas pipelines can spur industrial growth. The Cirebon-Semarang segment gas pipeline plan can supply gas to industries around the pipeline.

"Floating storage regasification units [gas storage and regasification facilities] also cannot be handled. In fact, the key to the gas is infrastructure because the gas must be flowed continuously. And what is most likely to continue to be used is the pipe, "he said.

According to him, interconnection region 1 (northern Sumatra) -region 3 (Central Java) is most likely to occur with pipeline infrastructure. He cited the connection between the Cirebon-Semarang gas pipeline, not only providing solutions to industrial players in Central Java, but also connecting Sumatra and Java gas connections. Block A gas production in Aceh of 67.4 MMscfd will also increase gas supply in region 1.

Gas supply in the region I (northern Sumatra) can increase from PHE NSO-NSB and ENI Krueng Mane Ltd. Gas supply in region 2 (central, southern and West Java Sumatra) faces the challenge of reducing Pertamina EP Asset II gas production. Lampung FSRU facilities can be an alternative to supply gas in the region. However, the price of gas from the FSRU is still an obstacle because it is still considered too high. There are several strategic upstream oil and gas projects in the region 2, such as Bison, Iguana, Gajah Puteri and field development by Premier Oil with an estimated gas production of 163 MMscfd in the 3/2019 quarter.

In addition, there is a potential supply of East Natuna gas supply of 1,000 MMscfd and PetroChina for Tiung Field in central and southern Sumatra reaching 100 MMscfd in 2027. Region 3 (East Java) can rely on the Semarang-Gresik gas pipeline with gas supply from Jambaran Field -Tiimg Biru. President Director & CEO of PT Bakrie & Brothers Tbk. Bobby Gafur Umar said that the development of gas pipelines must look at the economic aspects, namely from the supply and demand side.

"If we look at the supply, there is a lot of surplus, but if there is no demand, that is what is now being identified in East Kalimantan and South Kalimantan [Bakrie gas pipeline project," he said.

According to him, the concept of gas pipeline development is not much different from toll roads, namely the potential of customers and users of these facilities.

"Deputy Minister Arcandra Tahar said that gas supply would not occur if there was no infrastructure. Well, we are now ready with supply, until the end of the year it is expected that gas demand from consumers will be known.

IN INDONESIA

Suplai Gas Masih Surplus Sampai 2024

Berdasarkan Neraca Gas Bumi Indonesia 2018-2027, pasokan gas hingga 2024 masih surplus sehingga tidak perlu impor. Namun, neraca gas berpotensi defisit mulai 2025. Neraca gas tersebut belum memperhitungkan produksi dan Lapangan Abadi, Blok Masela dan Blok East Natuna. Kedua wilayah kerja migas itu memiliki cadangan gas sangat signifikan. Bila memperhitungkan produksi gas dari kedua lapangan jumbo tersebut, pasokan gas di Tanah Air masih cukup melimpah.

Neraca Gas Indonesia 2018-2027 yang diterbitkan Kementerian Energi dan dapat membantu investor, badan usaha, dan kementerian/lembaga yang menginginkan data dan informasi terkait gas bumi nasional. Komposisi pemanfaatan gas bumi di dalam negeri pada 2017 naik menjadi 59%,sedangkan ekspor 41%. Pemanfaatan gas bumi domestik tersebut terdiri atas industri (23,18%), kelistrikan (14,09%), pupuk (10,64%), lifting migas (2,73%), dan liquefied natural gas/ LNG domestik (5,64%).

Selain itu, gas domestik juga digunakan untuk elpiji/LPG domestik (2,17%) dan jaringan gas rumah tangga dan stasiun pengisian bahan bakar gas (0,15%). Ekspor gas bumi sebesar 41% terdiri atas pengiriman melalui pipa 12,04% dan dalam bentuk LNG sebesar 29,37%. Wakil Menteri ESDM Arcandra Tahar mengatakan bahwa penyusunan neraca gas itu menghasilkan tiga skenario konsumsi dan pasokan gas bumi.

Metode penyusunan Neraca Gas Indonesia 20l8-2027 memiliki perbedadan dengan Neraca Gas Indonesia 2009-2017. Berdasarkan neraca gas sebelumnya, kebutuhan gas berasal dari kebutuhan gas yang sudah terkontrak dan kebutuhan gas yang masih potensial.

“Jadi hari ini klarifikasi kalau ada beberapa keraguan [terkait dengan neraca gas kita. Bagi per region juga, jangan salah persepsi. Ada region katakan shortage [defisit gas] sekian, ini asumsi sekarang bukan beberapa tahun mendatang,” katanya dalam paparan Neraca Gas Bumi Indonesia 2018-2027.

Dalam Neraca Gas Indonesia 2009-2017, dinamika pertumbuhan kebutuhan gas bumi menunjukkan data yang fluktuatif. Sebagai contoh, pertumbuhan kebutuhan gas pada 2010 sebesar 8%, sedangkan pada 2015 hanya 5%. Arcandra menyebut, fluktuasi pertumbuhan kebutuhan gas itu sebagai akibat kebijakan yang tidak stabil dan rerata harga gas yang berbeda.

“Namun, ini tidak tersambung ke ICP [minyak mentah Indonesi], harga gas pipa itu naik terus. Tapi kunci harga gas itu di hulu dan midstream [distribusi],” tambahnya. 

Sementara itu, proyeksi kebutuhan gas dalam Neraca Gas Indonesia 2018-2027 dibagi menjadi tiga skenario. Skenario I, neraca gas pada 2018-2027 surplus. Neraca gas surplus karena perhitungan proyeksi kebutuhan gas mengacu pada realisasi pemanfaatan gas bumi serta tidak diperpanjangnya kontrak-kontrak ekspor gas pipa dan LNG untuk jangka Panjang.

Neraca itu menggunakan proyeksi pertumbuhan industri gas tumbuh 1,1% dan pertumbuhan ekonomi Indonesia 5,5%. Skenario II, neraca gas pada 2018-2024 tetap surplus. Namun, neraca gas pada 2025-2027 ada potensi defisit gas bumi. Hitungan tersebut belum mempertimbangkan adanya potensi pasokan gas dari penemuan cadangan baru dan kontrak gas di masa mendatang seperti Blok Masela dan Blok East Natuna.

Dalam skenario Kementerian ESDM menggunakan asumsi pemanfaatan gas dari kontrak yang sudah ada terealisasi 100%. Pemanfaatan gas untuk sektor kelistrikan juga diproyeksikan sesuai dengan Rencana Umum Pengadaan Tenaga Listrik (RUPTL) 2018-2027. Asumsi pertumbuhan permintaan gas bumi sesuai dengan pertumbuhan ekonomi, yaitu 5,5% untuk sektor industri ritel. Selain itu, pelaksanaan revitalisasi kilang minyak beroperasi sesuai dengan target. Pelaksanaan pembangunan pabrik petrokimia dan pupuk juga diasumsikan beroperasi sesuai jadwal.

Skenario III, neraca gas diproyeksi surplus dalam kurun 2019-2024. Sementara itu, pada 2025-2027 terdapat potensi defisit gas bumi. Namun, dalam skenario III, Kementerian ESDM belum mempertimbangkan potensi pasokan gas dari penemuan cadangan baru dan kontrak gas di masa mendatang seperti Blok Masela dan Blok East Natuna.

Proyeksi kebutuhan gas pada skenario III menggunakan asumsi pemanfaatan gas dari kontrak yang sudah ada terealisasi 100% dan pemanfaatan gas untuk sektor kelistrikan sesuai dengan RUPTL 2018-2027. Selain itu, sektor industri ritel memanfaatkan gas pada kapasitas pabrik maksimum serta penambahan permintaan dari pertumbuhan ekonomi 5,5%. 

Selain itu, pelaksanaan revitalisasi kilang minyak diproyeksikan sesuai jadwal. Pelaksanaan pembangunan pabrik baru petrokimia dan pupuk sesuai jadwal. Arcandra mengatakan bahwa dengan adanya perbedaan metodologi, neraca gas bumi Indonesia akan dihitung ulang setiap tahun. Hal itu mengikuti perubahan RUPTL yang juga direvisi setiap tahun. 

“Kenapa berubah karena off taker [penyerap] terbesarnya itu PT. PLN dan mereka juga berubah [RUPTL].”

INFRASTRUKTUR LAMBAT

Di sisi lain, pelaku usaha mengeluhkan pembangunan infrastruktur gas bumi beroperasi lambat sehingga industri masih menghadapi tantangan harga dan suplai gas bumi. Dalam Neraca Gas Bumi Indonesia 2018-2027, kebutuhan gas domestik sampai 2024 masih surplus. Namun, pasokan gas mulai 2025 harus ditambah. Tambahan suplai gas dapat di lakukan melalui peningkatan cadangan gas baru dan percepatan pengembangan lapangan gas potensial.

Ketua Umum Asosiasi Kaca Lembaran dan Pengaman Yustinus H. Gunawan mengatakan, dari paparan neraca gas itu terlihat pemerintah sebenarnya memberikan peluang untuk menurunkan harga gas. Namun, pemerintah hanya melihat faktor keekonomian dan infrastruktur gas. Padahal, pembangunan infrasturktur seperti pipa gas mampu memacu pertumbuhan industri. Rencana pipa gas ruas Cirebon-Semarang dapat menyuplai gas untuk industri di sekitar jalur pipa tersebut.

“Floating storage regasification unit [fasilitas penyimpanan dan regasifikasi gas] juga tidak bisa dipegang pengerjaannya. Padahal, kunci dari gas itu adalah infrastruktur karena gas itu harus dialirkan terus. Dan yang paling mungkin terpakai terus adalah pipa,” katanya.

Menurutnya, interkoneksi region 1 (Sumatra bagian utara)-region 3 (Jawa Tengah) paling mungkin terjadi dengan infrasturktur pipa. Dia mencontohkan tersambungnya pipa gas Cirebon-Semarang, bukan hanya memberikan solusi kepada pelaku industri di Jawa Tengah, tetapi juga menyambungkan koneksi gas Sumatra dan Jawa. Produksi gas Blok A di Aceh sebesar 67,4 MMscfd juga akan menambah pasokan gas di region 1.

Suplai gas di region I (Sumatra bagian utara) bisa bertambah dari PHE NSO-NSB dan ENI Krueng Mane Ltd. Suplai gas di region 2 (Sumatra bagian tengah, selatan, dan Jawa Barat) menghadapi tantangan penurunan produksi gas Pertamina EP Aset II. Fasilitas FSRU Lampung dapat menjadi alternatif memasok gas di region tersebut. Namun, harga gas dari FSRU masih menjadi kendala karena dinilai masih terlalu tinggi. Ada beberapa proyek hulu migas yang strategis di region 2, seperti Bison, Iguana, Gajah Puteri dan pengembangan lapangan oleh Premier Oil dengan estimasi produksi gas sebesar 163 MMscfd pada kuartal 3/2019.

Selain itu, ada potensi suplai pasokan gas East Natuna sebesar 1.000 MMscfd dan PetroChina untuk Lapangan Tiung di Sumatra bagian tengah dan selatan mencapai 100 MMscfd pada 2027. Region 3 (Jawa Timur) bisa mengandalkan pipa gas ruas Semarang-Gresik dengan pasokan gas dari Lapangan Jambaran-Tiimg Biru. Direktur Utama & CEO PT Bakrie & Brothers Tbk. Bobby Gafur Umar mengatakan bahwa pembangunan pipa gas harus melihat aspek keekonomian, yaitu dari sisi suplai dan permintaan. 

“Kalau dilihat dari suplai memang surplus banyak, tetapi kalau permintaannya tidak ada, itu yang sekarang bahwa sedang diidentifikasikan di Kalimantan Timur dan Kalimantan Selatan [proyek pipa gas Bakrie,” katanya.

Menurutnya, konsep pembangunan pipa gas tidak jauh berbeda dengan jalan tol, yaitu potensi pelanggan dan pengguna fasilitas tersebut.

“Pak Wakil Menteri Arcandra Tahar bilang pasokan gas tidak akan terjadi kalau tidak ada infrasturktur. Nah, kami sekarang sudah siap dengan suplai, sampai akhir tahun diharapkan sudah bisa diketahui permintaan gas dari konsumen.

Bisnis Indonesia, Page-24, Tuesday, Oct 2, 2019

Conoco Phillips Already Complete the Proposal

ConocoPhillips Indonesia is serious about extending the Corridor Block project in Muba Regency, South Sumatra, which will expire in 2023. The company has completed two proposals at once, namely technical proposals and commercial proposals.

the Corridor Block - Sumatra

Conoco-Phillips Indonesia's Senior Vice President of Commercial, Business Development and Relations, Taufik Ahmad, said that ConocoPhillips Indonesia had submitted a proposal to re-manage the Corridor Block after the contract expires in 2023. They submitted the proposal to the government on September 27, 2018.

"We can confirm that ConocoPhillips has submitted an extension for the Corridor Block," said Taufik.

ConocoPhillips Gas Station

However, he has not been able to disclose in detail the contents of the proposal submitted to the government, both from a technical and commercial standpoint.

"For a while, our answer was like that first," said Taufik.

The same thing was revealed by the Director General of Oil and Gas at the Ministry of Energy and Mineral Resources (ESDM), Djoko Siswanto, who stated that Conoco-Phillips had formally submitted a proposal to re-manage the Corridor Block. In the proposal, according to Djoko, CococoPhillips will collaborate with Repsol which is currently also a partner in the Corridor Block.

"Yesterday we received a proposal from ConocoPhillips," he said.

According to Djoko, ConocoPhillips' proposal is complete, both technical proposals for managing the block and commercial proposals. While the proposal submitted by PT Pertamina was still a technical problem.

Repsol Gas Station

Djoko said the government began discussing the offerings of the two companies. The government is targeting, immediately decide the manager of the Corridor Block. Currently, the block located in South Sumatra is managed by ConocoPhillips with 54% participation rights. The Repsol holds 36%, and the remaining Pertamina is 10%.

The Corridor Block management contract was first signed in 1983 and ended for 40 years, in 2023. In the first half of this year, SKK Migas recorded that gas production from the Corridor Block reached 841 mmscfd. Until the end of this year, Block gas production, Corridor is projected to reach 798 mmscfd.

IN INDONESIA

Conoco Phillips Sudah Lengkapi Proposal

ConocoPhillips Indonesia serius ingin memperpanjang koutrak Blok Corridor di Kabupaten Muba, Sumatra Selatan, yang berakhir pada tahun 2023. Perusahaan ini sudah melengkapi dua proposal sekaligus,  yakni porposal teknis dan proposal komersial.

Senior Vice President Commercial, Business Development and Relations Conoco-Phillips Indonesia, Taufik Ahmad, mengaku ConocoPhillips Indonesia telah memasukkan proposal untuk kembali mengelola Blok Corridor setelah kontrak berakhir pada   2023 mendatang. Mereka mengajukan proposal tersebut kepada pemerintah pada 27 September 2018.

"Kami bisa mengonfirmasi bahwa ConocoPhillips sudah mengajukan perpanjangan untuk Corridor Block," ungkap Taufik.

Namun, dia belum bisa mengungkapkan secara mendetail isi proposal yang diajukan kepada pemerintah, baik dari sisi teknis maupun komersial. 

"Untuk sementara jawaban kami seperti itu dulu ya," imbuh Taufik.

Hal senada diungkapkan Direktur Jenderal Minyak dan Gas Bumi Kementerian Energi dan Sumber Daya Mineral (ESDM), Djoko Siswanto, yang menyatakan Conoco-Phillips telah secara resmi memasukkan proposal untuk kembali mengelola Blok Corridor. Dalam proposal itu, menurut Djoko, CococoPhillips akan menggandeng Repsol yang saat ini juga menjadi mitra di Blok Corridor. 

"Kemarin kami menerima proposal dari ConocoPhillips," ungkap dia. 

Menurut Djoko, proposal ConocoPhillips telah lengkap, baik pengajuan teknis pengelolaan blok tersebut maupun proposal komersial. Sedangkan proposal yang diajukan PT Pertamina sebelumnya masih masalah teknis.

Djoko mengaku pemerintah mulai membahas penawaran kedua perusahaan. Pemerintah menargetkan, segera memutuskan pengelola Blok Corridor. Saat ini, blok yang berlokasi di Sumatra Selatan itu dikelola ConocoPhillips dengan hak partisipasi 54%. Adapun Repsol memegang 36%, dan sisanya Pertamina 10%. 

Kontrak pengelolaan Blok Corridor ditandatangani pertama kali pada tahun 1983 lalu dan berakhir selama 40 tahun, yakni pada 2023 mendatang. Pada semester pertama tahun ini, SKK Migas mencatat produksi gas dari Blok Corridor mencapai 841 mmscfd. Hingga akhir tahun ini, produksi gas Blok ,Corridor diproyeksikan mencapai 798 mmscfd.

Kontan, Page-14, Monday, Oct 1, 2019

Contractor Oil Purchases Hampered by Tax

The efforts of PT Pertamina (Persero) to buy crude oil as part of the contract of the cooperation contract are still constrained by the existence of income tax on profit after tax or branch profit tax. 

    Director-General of Oil and Gas, Ministry of Energy and Mineral Resources Djoko Siswanto said, contractors who sell crude oil to Pertamina are subject to 44% tax. If the oil portion of the contractor is sold abroad, the tax levy is relatively smaller.

According to him, the problem was known during a discussion involving contractors in SKK Migas. At present, the sale of crude oil to domestic buyers has been exempted from Article 22 of Income Tax (PPh 22). However, the model of oil sales abroad that uses the Indonesian price scheme Crude price / ICP plus becomes a problem in the country.

Blogger Agus Purnomo in SKK Migas

"The time to sell crude oil in Singapore is subject to a tax of about a dozen percent, well if the country is taxed at 44%. Too big right? If large, it will be burdensome for paying taxes, "he said.

In the Income Tax Act, Article 26 states that income tax is imposed on income received by foreign and Indonesian taxpayers other than permanent establishment (BUT) in Indonesia. Levies are taken on tax profits obtained by a permanent business entity subject to additional income tax on profit after tax obtained by BUT at 20% or according to the applicable tariff in the tax agreement.

According to him, the contractor oil portion that Pertamina bought was not taxed. The reason is, when the contract of cooperation contracts sells oil through a subsidiary that becomes its affiliate (trading arm), the contractor is not subject to Article 26 income tax. 

    If this policy is not changed and the Contractor Partnership Contract (KKKS) will still be taxed, Djoko suggests that the  Income Tax (PPh 22) levy should be included in the selling price of the oil. Furthermore, Pertamina will pay the tax to the government.

Djoko explained, when the Directorate General of Taxes did not get income from transactions through the trading arm, there should be no questionable levy on sales to Pertamina. So far three oil and gas contractors have agreed on the selling price of crude oil with Pertamina. The three contractors include PT Energi Mega Persada and Premier Oil.

Bisnis Indonesia, Page-24, Monday, Oct 1, 2018

SKK Migas Discuss Chevron's Revision of Makassar Strait

Special Unit for Upstream Oil and Gas Activities (SKK Migas) supports ESDM Minister Ignasius Jonan's step to ask Chevron Indonesia to immediately work on the Indonesia Deepwater Development (IDD) or ultra-sea project in phase 2 in Makassar Strait (not the Strait of Malacca) yesterday's news.

Indonesia Deepwater Development (IDD)

Proclaimed earlier, Jonan urged Chevron to make IDD stage 2 immediately done. If not, Jonan threatened to stop the talks on the extension of the Rokan block, Riau, filed by Chevron.

the Rokan block, Riau, - Chevron

"SKK Migas will be ready to run the direction of the Minister of Energy and Mineral Resources related to IDD," said Head of Program and Communication Division of SKK Migas, Wisnu Prabawa Taher, when contacted yesterday.

Blogger Agus Purnomo in SKK Migas

Chevron's commitment to work on IDD 2, said Wisnu, will be emphasized in the discussion of the proposed plan of development (POD) proposal proposed by Chevron last weekend. He called the revision of the proposed PoD IDD phase 2 for three blocks of oil and gas, namely Makassar Strait, Rapak, and Ganal. 

The Rokan Block By Chevron

    However, he was reluctant to explain the details of the proposed revision because it is still under discussion from Chevron, SKK Migas, and the ESDM Ministry led by Deputy Minister of Energy and Mineral Resources, Arcandra Tahar.

"The proposals will still be discussed in more detail. Details will be submitted pending the results of further discussion by the team, "he concluded.

Proclaimed Media Indonesia, yesterday, the government, as confirmed Jonan, urged Chevron immediately to explore the gas in the Makassar Strait. Otherwise, the government has not yet discussed gas exploration in Rokan, Riau, as wanted by the oil company from the United States. 

Michael K Wirth

    After becoming one of the speakers at the World Gas Conference in Washington, USA, Wednesday (27/6), Jonan went to Chevron's office to meet with the CEO of Chevron, Michael K Wirth. On that occasion, he asked Chevron to immediately build IDD Strait Makassar for gas exploration there.

And responding to the government's insistence, Senior Vice President of Government Policy and Public Affairs of Chevron Indonesia Company Yanto Sianipar said it has submitted a development revision for gas exploration in the region.

Media Indonesia, Page-13, Tuesday, July 3, 2018

ExxonMobil Completes Purchase of Federal Karyatama US $ 436 Million

ExxonMobil has completed the purchase of PT Federal Karyatama (FKT) with a value of US $ 436 million. With this acquisition, ExxonMobil becomes owner of Federal Oil trademark and lubricant with a capacity of 700 thousand barrels per year in Cilegon.

Vice President of ExxonMobil Finished Lubricants RUSS Green said Indonesia is one of the fastest growing lubricant markets in Asia. The purchase of Federal Oil will complement ExxonMobil's lubricant business in Indonesia.

"Federal Oil's expertise in motor lubrication complements the Mobil lubricants trademark in other sectors where ExxonMobil is highly experienced will help us to grow and provide the best service to consumers in Indonesia," he said in an official statement.

  

Federal Karyatama purchases include Federal Oil trademarks, distribution networks, and lubricant manufacturing plants. Federal Karyatama and its distribution network are supported by around 40 dealers, 3,200 Federal Oil Centers, and more than 10 thousand retailers in Indonesia. 

     Federal Karyatama also has a lubricant factory with a capacity of 700 thousand barrels per year in Cilegon. Thus, the acquisition of the company will strengthen ExxonMobil's position in a rapidly growing market and will strengthen the trademark of Mobil lubricants in Indonesia. ExxonMobil will manage existing Car lubricant trademarks in Indonesia and FKT businesses.

"Federal Oil is a quality trademark with a long history in Indonesia. The knowledge and experience of FKT employees and dealers will play an important role in achieving a large market, "he said, said ExxonMobile Indonesia President Louise Mc Kenzie.

Previously, Vice President of Public and Government Affairs of Exxon Mobil Indonesia Erwin Maryoto explained, currently the oil and gas company from the United States has been marketing special lubricant four-wheeled vehicles with the Mobill brand. The acquisition of Federal Oil makes the company has a two-wheeled lubricant market in Indonesia. Thus, the business of ExxonMobil lubricants in Indonesia will be even greater.

"It will increase significantly because Federal Oil has a large market share," he said

Settlement of Transactions

Meanwhile, following the announcement and information disclosure that was made on April 30, 2018 and related to material transaction of PT Mitra Pinasthika Mustika Tbk (MPMX), the leading smart mobility company in Indonesia, completed 100% strategic divestment of its stake in the lubricant business of PT Federal Karyatama FKT) to Esso Petroleum Company Limited and ExxonMobil UK Limited (ExxonMobil) for a total transaction value of US $ 436 million.

The transaction settlement is marked by the signing of the Deed of Sale and Purchase Agreement in Jakarta by and between the Company and ExxonMobil on June 28, 2018 after fulfilling all requirements for transaction settlement in the second quarter of 2018, including the approval of BOD and BOC of the Company, obtained through the Extraordinary Shareholders' Meeting (EGMS) on June 6, 2018, and approval and notification to all authorized agencies.

IN INDONESIA

ExxonMobil Rampungkan Pembelian Federal Karyatama US$ 436 Juta

ExxonMobil telah menyelesaikan pembelian PT Federal Karyatama (FKT) dengan nilai US$ 436 juta. Dengan akuisisi ini, maka ExxonMobil menjadi pemilik merek dagang Federal Oil dan pabrik pelumas berkapasitas 700 ribu barel per tahun di Cilegon.

Vice President ExxonMobil Finished Lubricants RUSS Green mengatakan, Indonesia merupakan salah satu pasar pelumas yang berkembang sangat pesat di Asia. Pembelian Federal Oil akan melengkapi bisnis pelumas ExxonMobil di Indonesia.

"Keahlian Federal Oil dalam pelumasan motor melengkapi merek dagang pelumas Mobil di sektor lain dimana ExxonMobil sangat berpengalaman akan membantu kami untuk terus berkembang dan memberikan layanan terbaik kepada konsumen di Indonesia,” katanya dalam keterangan resmi.

  

Pembelian Federal Karyatama termasuk merek dagang Federal Oil, jaringan distribusi, dan pabrik pengolahan pelumas. Federal Karyatama dan jaringan distribusinya didukung oleh sekitar 40 penyalur, 3.200 Pusat Federal Oil, dan lebih dari 10 ribu pengecer di Indonesia. Federal Karyatama juga memiliki pabrik pelumas berkapasitas 700 ribu barel per tahun di Cilegon. Sehingga, akusisi perusahaan itu akan memperkokoh posisi ExxonMobil pada pasar yang berkembang pesat dan akan memperkuat merek dagang pelumas Mobil di Indonesia. ExxonMobil akan mengelola merek dagang pelumas Mobil yang sudah ada di Indonesia dan bisnis FKT.

“Federal Oil adalah merek dagang berkualitas dengan sejarah panjang di Indonesia. Pengetahuan dan pengalaman para karyawan dan penyalur FKT akan

berperan penting untuk mencapai pasar yang besar,” ujarnya, tutur Presiden ExxonMobile Indonesia Louise Mc Kenzie.

Sebelumnya, Vice President Public and Government Affair Exxon Mobil Indonesia Erwin Maryoto menjelaskan, saat ini perusahaan migas dari Amerika Serikat tersebut telah memasarkan pelumas khusus kendaraan roda empat dengan merk Mobill. Akuisisi Federal Oil membuat perusahaan memiliki pasar pelumas kendaraan roda dua di Indonesia. Sehingga, bisnis pelumas ExxonMobil di Indonesia akan semakin besar. 

“Akan meningkat secara signifikan karena Federal Oil punya pangsa pasar yang besar,” ujarnya

Penyelesaian Transaksi

Sementara itu, menyusul pengumuman dan keterbukaan informasi yang telah dilakukan pada 30 April 2018 lalu terkait transaksi material PT Mitra Pinasthika Mustika Tbk (MPMX), perusahaan smart mobility terkemuka di Indonesia, menyelesaikan divestasi strategis 100% sahamnya di bisnis pelumas Perseroan, PT Federal Karyatama (FKT), kepada Esso Petroleum Company Limited dan ExxonMobil UK Limited (ExxonMobil) dengan nilai keseluruhan transaksi sejumlah US$ 436 juta.

Penyelesaian transaksi ini ditandai oleh penandatanganan Perjanjian Akta Jual Beli Saham di Jakarta oleh dan antara Perseroan dan ExxonMobil pada

tanggal 28 Juni 2018 setelah memenuhi semua persyaratan untuk penyelesaian transaksi di kuartal kedua 2018, termasuk di dalamnya persetujuan BOD dan BOC Perseroan, persetujuan para pemegang saham yang diperoleh melalui Rapat Umun Pemegang Saham Luar Biasa (RUPSLB) pada tanggal 6 Juni 2018, dan persetujuan dan pemberitahuan kepada semua instansi yang berwenang.

Investor Daily, Page-9, Tuesday, July 3, 2018

Pertamina has a chance

PT Pertamina (Persero) still has the opportunity to become the manager of Makassar Strait Block whose contract expires in January 2020. The Ministry of Energy and Mineral Resources gives Pertamina an opportunity to submit a proposal in Makassar Strait Working Area. The opportunity was granted because the government-owned company also holds a shareholding in one of the blocks of deepwater development (IDD).

Currently, Chevron Makassar Ltd, a subsidiary of Chevron Corporation, is the operator of Makassar Strait Block. Chevron owns 70% shares, Eni (Italian oil and gas company) of 18%, and PT Pertamina Hulu Energi 10%. 

    Deputy Minister of Energy and Mineral Resources [EMR] Arcandra Tahar said his side met with Pertamina to discuss Makassar Strait, IDD and Rokan Blocks. Pertamina has a chance to submit a proposal in Makassar Strait.

Rokan Blocks

"PHE [PT Pertamina Hulu- Energi] is also one of the existing operators in Makassar Strait," he said, Monday (2/7).

Arcandra said, referring to regulations related to the appointment of termination block managers, operators including all participating in the oil and gas working area will be given the opportunity to submit a proposal.

"Well, Pertamina also operators exist there, it means to be invited as well," he said.

Based on data from SKK Migas, oil production in Makassar Strait Block is about 1,965 barrels per day, while gas is 2.04 MMscfd. He said that Pertamina is currently in the process of submitting a proposal to manage the Makassar Strait Block.

"The decision of interest or not depends on Pertamina."

If Pertamina is interested in entering Makassar Strait Block, it could be a proposal from the company which is the holding company of BUMN oil and gas that will be compared with the proposal submitted by Chevron, Syamsu Alam did not give details about Pertamina's chance to manage Rokan Block. 

     Senior Vice President of Government Goverment and Public Affairs Chevron Yanto Sianipar is still not responding related to the confirmation of the extension of Makassar Strait Block which will be terminated in 2020.

IN INDONESIA

Pertamina Berpeluang       

PT Pertamina (Persero) masih memiliki peluang untuk menjadi pengelola Blok Makassar Strait yang kontraknya akan berakhir Januari 2020. Kementerian Energi dan Sumber Daya Mineral memberikan kesempatan kepada Pertamina untuk mengajukan proposal di Wilayah kerja Makassar Strait. Kesempatan itu diberikan karena perusahaan milik pemerintah ini juga memiliki kepemilikan saham di salah satu blok tempat proyek migas laut dalam (Indonesia deepwater development/IDD).

Saat ini, Chevron Makassar Ltd, anak usaha Chevron Corporation, menjadi operator Blok Makassar Strait. Chevron memiliki saham 70%, Eni (perusahaan migas dari Italia) sebesar 18%, dan PT Pertamina Hulu Energi 10%. Wakil Menteri Energi dan Sumber Daya Mineral [ESDM) Arcandra Tahar mengatakan, pihaknya bertemu dengan Pertamina untuk membahas Blok Makassar Strait, IDD, dan Rokan. Pertamina memiliki peluang untuk mengajukan proposal di Makassar Strait.

“PHE [PT Pertamina Hulu- Energi] juga salah satu operator eksis di Makassar Strait,” ujarnya, Senin (2/7). 

Arcandra menuturkan, merujuk pada regulasi terkait dengan penunjukkan pengelola blok terminasi, operator eksis termasuk seluruh yang berpartisipasi di Wilayah kerja migas tersebut akan diberikan kesempatan mengajukan proposal. 

“Nah, Pertamina juga operator eksis di sana, berarti boleh diundang juga,” ujarnya.

Berdasarkan data SKK Migas, produksi minyak di Blok Makassar Strait sekitar 1.965 barel per hari, sedangkan gas bumi 2,04 MMscfd. Dia menuturkan, saat ini Pertamina dalam proses untuk mengajukan proposal untuk mengelola Blok Makassar Strait. 

“Keputusan minat atau tidaknya tergantung Pertamina."

Bila Pertamina berrninat masuk ke Blok Makassar Strait, bisa jadi proposal dari perusahaan yang menjadi induk usaha BUMN migas itu akan dibandingkan dengan proposal yang diajukan oleh Chevron, Syamsu Alam tidak memberikan penjelasan detail tentang peluang Pertamina untuk dapat mengelola Blok Rokan. Senior Vice President Policy Goverment and Public Affairs Chevron Yanto Sianipar masih belum merespons terkait dengan konfirmasi perpanjangan Blok Makassar Strait yang akan terminasi pada 2020 tersebut.

Bisnis Indonesia, Page-30, Tuesday, July 3, 2018