Pertamina EP targets slightly higher oil output this year, govt counts on major producers

JAKARTA (rambuenergy.com) – PT Pertamina EP, a subsidiary of PT Pertamina (Persero), targets its oil production to reach 103,000 barrels per day this year, slightly higher than last year’s realized production of 100,555 bpd. Gas production is targeted at 1,064 million standard cubic feet of gas per day (MMSCFD), slightly below last year’s gas production realization of 1,015 MMSCFD.

President Director of PT Pertamina EP, Rony Gunawan, told reporters on Thursday (Jan 7) that the actual oil production last year was slightly below target, set in the company’s Work Plan and Budget (WP & B) of 115,100 bpd. Last year, its realized gas production reached 97 percent from WP & B target.He said the lower-than-target oil production was because most oil wells Pertamina EP are considered ageing wells.

Rony Gunawan said he is optimistic that the 2016 target would be reached. The company plans to reactivate a number of wells and improved facilities aiming at improved oil and gas production.

Pertamina EP plans to drill 12 new wells in 2016 in prospective locations in West Java, South Sumatera and Jambi.

In total, oil and gas companies operating in Indonesia, based on their Work Plan & Budget for 2016, targets to produce 827,780 barrels of oil per day in 2016, the Special Task Force for Upstream Oil and Gas (SKK Migas) said early this week, while gas production is targeted to reach 6,256.08 MMSCFD.

Last year, realized oil production reached only 777,560 bpd, or 94.2 percent from target of 825,000 bpd, while realized gas production reached 6,933.27 MMSFD or 97.9 percent from the government’s target.

The Head of SKK Migas Amien Sunaryadi said on Jan. 5 that the agency is counting on large oil and gas companies to meet oil and gas production target this year. Among top oil and gas producers this year are: PT Chevron Pacific Indonesia, which is projected to contribute 243,000 bpd, ExxonMobil Cepu Limited at 168,430 bpd, PT Pertamina EP at 95,510 bpd, Total E&P Indonesie at 56,720 bpd and PT PHE ONWJ at 37,300 bpd.

SKK Migas said 13 major production sharing contractors (PSCs) will contribute 88.8 percent of total national oil production this year or 733,940 bpd. The reamining 11.2 percent oil production will come from smaller PSCs (70 PSCs) with combined production of 93,840 bpd.

Similar to oil production, 13 major PSCs will contribute 83.6 percent of gas production in 2016 totaling 5,232.65 MMSCFD, The largest gas producers are Total E&P Indonesia with gas production target of 1,226.74 MMSCFD, ConocoPhilloips (Grissik) Ltd at 857.72 MMSCFD, Pertamina EP 818.49 MMSFD, BP Berau Ltd 693.49 MMSFD and Medco E&P Tomori Sulawesi 237.70 MMSCFD. (*)