Ada Pertanyaan? Hubungi Kami 
Ada Pertanyaan? Hubungi Kami Kartini L Makmur, Robert Sidauruk
The production volume of the 40-year-old oil rig at the Mahakam Bloc continues to decrease. Total E&P Indonesie as producer and field operator on this bloc recorded a decreased gas production rate in 2013.
“The decrease of gas sourced from the Mahakam Bloc has fallen below 1,600 mmscfd,” said Arividya Noviyanto, Vice President of Human Resources, Communications and General Services at Total E&P Indonesie in Jakarta on Wednesday.
Arividya explained that Total E&P will continue to make efforts to restrain the pace of production decline in anticipation of a potential breach of the production sharing contract under Law No. 22 of 2001 on Oil and Gas.
“According to the conditions incorporated into the production sharing contract, if Total E&P is unable to produce gas from the Mahakam bloc, part of the bloc will revert to the State,” Arividya informed.
In addressing this issue, Arividya said that Total E&P is currently allocating a majority of its investment budget to conduct seismic mapping in an effort to find new drilling well targets, including the maintainance and repair ofexisting wells.
“We invest approximately USD 2.2-4 billion annually, of which we allocate USD 1.2 -1.3 billion just for wells. Operation costs for wells in swamp areas may reach USD 5-6 million,” Arividya explained.
In response to the decreased production volume from the Mahakam Bloc, Marwan Batubara, Executive Director at Indonesia Resources Studies (IRESS), asserts that the Government should prepare further action in anticipation of the termination of the production sharing contract with Total E&P in 2017.
Marwan further noted that the agenda put forward by Karen Agustiawan, Director of Pertamina, to take over 12%-20% of Total E&P’s shares in 2012 must be followed up. Under this scenario, Pertamina would be a shareholder but with operations still being performed by Total E&P.
“Pertamina should take part in the Mahakam bloc site before the contract with Total E&P expires in order to get a comprehensive understanding of the field,” Marwan added.
Marwan is of the view that the decreased gas production from the Mahakam Bloc will not be an issue for Pertamina. He believes that as long as there is a potential gas reserve at the site, Pertamina should not be worried about potential losses.
(hot/kc)
Kartini L Makmur, Robert Sidauruk
The production volume of the 40-year-old oil rig at the Mahakam Bloc continues to decrease. Total E&P Indonesie as producer and field operator on this bloc recorded a decreased gas production rate in 2013.
“The decrease of gas sourced from the Mahakam Bloc has fallen below 1,600 mmscfd,” said Arividya Noviyanto, Vice President of Human Resources, Communications and General Services at Total E&P Indonesie in Jakarta on Wednesday.
Arividya explained that Total E&P will continue to make efforts to restrain the pace of production decline in anticipation of a potential breach of the production sharing contract under Law No. 22 of 2001 on Oil and Gas.
“According to the conditions incorporated into the production sharing contract, if Total E&P is unable to produce gas from the Mahakam bloc, part of the bloc will revert to the State,” Arividya informed.
In addressing this issue, Arividya said that Total E&P is currently allocating a majority of its investment budget to conduct seismic mapping in an effort to find new drilling well targets, including the maintainance and repair ofexisting wells.
“We invest approximately USD 2.2-4 billion annually, of which we allocate USD 1.2 -1.3 billion just for wells. Operation costs for wells in swamp areas may reach USD 5-6 million,” Arividya explained.
In response to the decreased production volume from the Mahakam Bloc, Marwan Batubara, Executive Director at Indonesia Resources Studies (IRESS), asserts that the Government should prepare further action in anticipation of the termination of the production sharing contract with Total E&P in 2017.
Marwan further noted that the agenda put forward by Karen Agustiawan, Director of Pertamina, to take over 12%-20% of Total E&P’s shares in 2012 must be followed up. Under this scenario, Pertamina would be a shareholder but with operations still being performed by Total E&P.
“Pertamina should take part in the Mahakam bloc site before the contract with Total E&P expires in order to get a comprehensive understanding of the field,” Marwan added.
Marwan is of the view that the decreased gas production from the Mahakam Bloc will not be an issue for Pertamina. He believes that as long as there is a potential gas reserve at the site, Pertamina should not be worried about potential losses.
(hot/kc)