Oil prices, which tend to be low, have an impact on the upstream oil and gas investment climate in Indonesia. The number of proposals for oil and gas block development plans or PoDs for oil and gas blocks is lower this year compared to last year.
Based on SKK Migas data, last year SKK Migas received more PoD applications and 18 oil and gas field development plans have been approved by SKK Migas. Of that total, the total investment is around US $ 1.49 billion or around Rp 19.5 trillion.
The field development plan begins with the submission of Plan of Development (POD), Plan of Further Development (POFD) and Put On Production (PoP). SKK Migas estimates that the accumulation of oil and condensate production from the 18 field developments will reach 45 million barrels.
While natural gas production is estimated at 271 billion cubic feet (BCTF). The accumulation of state revenue from oil and gas production in these fields reaches US $ 3.01 billion or Rp 39.2 trillion.
Director of Upstream Oil and Gas Development of the Ministry of Energy and Mineral Resources said, currently there has been no report to the Ministry of Energy and Mineral Resources related to the submission of PoD. According to him, the minimum number of PoD submissions this year was allegedly due to the falling oil prices that did not meet the economics of oil and gas fields. That way the Cooperation Contract Contractors (KKKS) are forced to set back the POD time.
Whereas there should be a PoD for the IDD project this year, with Chevron as the operator, Kasuri Block operated by Genting Oil, and East Natuna operated by PT Pertamina.
The Kasuri Block Papua
The Sole IDD project stated that Chevron was still waiting for the revision of Government Regulation # 79. Regarding the East Natuna PoD it was still in the stage of discussion between the government and consortium members in East Natuna.
East Natuna Block
While the Kasuri Block is still a matter of price. If the Genting Block gas price is lowered, the project will not reach the economy. The Head of Hamas SKK Migas Taslim Z. Yunus said that this year there were actually those who submitted PoD, such as Genting Oil.
Genting Oil
This company actually has included PoD for the Kasuri Block. Meanwhile, the rest only proposed a Plan Of Further Development. At present all submissions of PoD and PoFD are still in the process of discussion at SKK Migas.
He explained that the halt of the development of the Kasuri Block was because Genting Oil had yet to get a buyer for the block gas. Even though the government has planned to establish a special gas-based industrial area near the Tanguh Block and the Genting Block in the Bintuni area of Papua.
the Tanguh Block Papua
Construction of a petrochemical plant will be carried out near the Kasuri field. Genting Oil has also previously received an offer from Ferrostaal. But Taslim said, the offer from Ferrostaal was too low, so it was not included in the economics of field development.
Kontan, Page-14, Friday, Oct 14, 2016.
No comments:
Post a Comment