Rambu Energy Pathway to Indonesia’s energy and energy related industriesRelated Articles
JAKARTA (rambuenergy.com) – The Special Task Force for Upstream Oil and Gas Business (SKK Migas) at the Energy and Mineral Resources Ministry has approved the revised plan of development (PoD) of Tiung Biru-Jambaran field within Cepu Block.
SKK Migas chairman Amien Sunaryadi handed over the approved PoD to the production sharing contractors of the field, namely PT Pertamina EP Cepu, PT Pertamina EP, ExxonMobil Cepu Ltd, and the joint operating body of Cepu Block.
Cepu Block is operated by ExxonMobil Cepu Ltd which owns 45 percent participating interest, Pertamina EP Cepu with 45 percent as non-operating partner and local governments through the JOB with 10 percent interest.
The operator plans to drill six development wells and production facilities with projected investment of US$2.05 billion or around Rp28 trillion. Of this amount, US$279.5 million will be used for well drilling and US$1.77 billion for developing production facilities and other supporting facilities.
The gas from the Tiung Biru-Jambaran field will be sent to a processing facility to separate gas from liquid. The gas from the field will be supplied to domestic market.
The Tiung Biru-Jambaran field is projected to produce 227 million cubic feet per day (MMSCFD) of gas, starting from first quarter of 2019. The peak production is expected to be achieved in 2020 at 315 MMSCFD. Assuming the price of gas is at US$8 per MBTU/day, the government expects to generate US$12.97 billion up until 2035. Of this, 45.8 percent will go to the government, 24.5 percent will go to the contractors and 29.7 percent for cost recovery.
The handover of the POD was held on Aug 17, as part of celebration of the country’s Independence Day. (*)
