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Thursday, June 3, 2021

Train-3 Tangguh Refinery Project Potentially Moved Back to 2022



    The Tangguh Train-3 Refinery Project is estimated to be delayed until mid-2022 due to the impact of the Covid-19 pandemic. Project work was stopped due to an increase in positive cases of Covid-19, which had an impact on construction progress.

Blogger Agus Purnomo in SKK Migas

    Deputy Operations of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Julius Wiratno said the target for the Tangguh Train-3 Papua Refinery operation by the end of this year's quarter would be difficult to achieve. The reason is, from November 2020 to February 2021, the project work was stopped completely due to an increase in Covid-19 cases.

"In the fourth quarter, Tangguh Train-3 will not be able to start operating. My estimate is around mid-2022," he said.

    He explained that it was quite difficult to catch up on the progress of project work caused by the Covid-19 pandemic. This is because there is still uncertainty regarding the number of workers (personnel onboard/POB) who can work in the field. This condition may change if the vaccination program takes place.

“Perhaps if vaccination is implemented for all workers it can speed up progress. We are working on this,” explained Julius. At the end of June, a special session will be held to conduct a scheduled risk analysis of the progress of the Tangguh Train-3 Refinery Project.

"We'll see the results later," he added.

    Since the beginning of the pandemic, the Tangguh Train-3 Refinery Project has been affected. At that time, the number of workers had to be reduced from 13,000 POB to 6,300 POB to prevent the spread of Covid-19. Then to catch up with delays, the number of personnel was increased to 7,700 workers in September last year. 

    Unfortunately, then there was an outbreak of Covid-19 cases. The delay in the operation schedule, Julius asserted, will not have an impact on the project's production volume.

"It's only shifted back a few months because the train capacity has been fixed," he said.

    The Tangguh Train-3 Papua Refinery Project is estimated to reach peak gas production of up to 700 million standard cubic feet per day/MMscfd and 3,000 barrels of oil per day (BPD). The project with an investment of US$ 8.9 billion was originally scheduled to operate in the last quarter of this year. 

    However, until March 26, the progress of this project was still below the target. The construction of land facilities for this project still reached 89.58% of the target of 96.21%. Meanwhile, the progress of work on offshore facilities is better, which is 99.19% of the 100% target.

Investor Daily, Page-10, Wednesday, June 2, 2021

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