Pertamina EP Will Stream Gas of CPP Matindok

PT Pertamina EP will soon be flowing gas (on stream) of the central processing unit plant (CPP) Matindok in Banggai, Central Sulawesi. The gas supply from CPP Matindok plans allocated for PT Perusahaan Listrik Negara and PT Donggi Senoro LNG.

Pertamina EP has two Donggi Senoro CPP CPP is already on stream in April 2016 and the CPP Matindok to come on stream in early April. "Both the CPP will generate approximately 105 MMSCFD of gas and condensate approximately 850 barrels per day with an investment of US $ 762 million," said Development Director of PT Pertamina EP Herutama Trikoranto, in a press release on Wednesday (29/3).

The gas supply from the two CPP contracted with PT Donggi Senoro LNG amounted to 85 MMSCFD until the next 2027 years. While one of PT PLN, just will absorb 20 MMSCFD gas from mid-2020.

"We got the information, the company will absorb the gas from the CPP Matindok to PLTGU Central Sulawesi with a capacity of 150 megawatts," he said.

Herutama said CPP Donggi and Matindok operation will increase the contribution of the oil and gas sector in contributing foreign exchange for the country. On the other hand, would increase local revenue (PAD) for Banggai. "In addition expected, most of the gas produced can be used for the substitution of fuel oil in the country," he said

IN INDONESIAN

Pertamina EP Bakal Alirkan Gas dari CPP Matindok

PT Pertamina EP akan segera mengalirkan gas (on stream) dari central processing unit plant (CPP) Matindok di Kabupaten Banggai, Sulawesi Tengah. Pasokan gas dari CPP Matindok rencananya dialokasikan untuk kepentingan PT Perusahaan Listrik Negara dan PT Donggi Senoro LNG.

Pertamina EP memiliki dua CPP yaitu CPP Donggi Senoro yang sudah on stream April 2016 dan CPP Matindok akan on stream di awal April nanti. "Kedua CPP tersebut akan menghasilkan gas sekitar 105 mmscfd dan kondensat sekitar 850 barel per hari dengan investasi mencapai US$ 762 juta," kata Development Director PT Pertamina EP Herutama Trikoranto, dalam siaran pers, Rabu (29/3).

Pasokan gas dari dua CPP tersebut sudah terkontrak dengan PT Donggi Senoro LNG sebesar 85 mmscfd hingga tahun 2027 mendatang. Sementara satu lagi dari PT PLN, baru saja akan menyerap gas 20 mmscfd mulai pertengahan tahun 2020. 

"Kami mendapat informasi, PLN akan menyerap gas dari CPP Matindok untuk PLTGU Sulawesi Bagian Tengah berkapasitas 150 megawatt,” ujarnya. 

Herutama mengatakan, pengoperasian CPP Donggi dan Matindok akan meningkatkan kontribusi sektor minyak dan gas bumi dalam menyumbangkan devisa bagi negara. Di sisi lain, tentu akan menambah pendapatan asli daerah (PAD) bagi Kabupaten Banggai. "Selain itu diharapkan, sebagian dari gas yang dihasilkan tersebut dapat digunakan untuk substitusi bahan bakar minyak dalam negeri," kata dia

Kontan, Page-14, Thursday, March, 30, 2017

Bureaucracy still be inhibitors

Oil and Gas

Bureaucracy and licensing chain length is still a barrier upstream sector investment oil and gas in Indonesia. The barriers affect investment slump marked by state revenues dropped from Rp 320 trillion in 2014 to Rp 80 trillion in 2016.

"At this time, the time it takes investors since the discovery of reserves to production on average takes 8-10 years. In some cases there are up to take 12 years, "said Director of the Indonesian Petroleum Association (IPA) Board Ronald Gunawan in a discussion titled" Rebuilding the sake Gas Upstream Investment Climate Promoting the National Economic Growth, "on Wednesday (29/3) in Jakarta.

The number of permits that must be taken care of in the center and the area became one of the biggest challenges in the upstream oil and gas investment in Indonesia. Investors also need legal certainty and rules. Revised legislation on oil and gas are still ongoing also cause employers to refrain from investing.

Other speakers, the Director General of Oil and Gas at the Ministry of Energy and Mineral Resources (ESDM) I Gusti Nyoman Wiratmaja admit, is still a lot of permissions that should be taken care at other institutions both in the center and regions. Licensing in the ESDM Ministry has so far been trimmed originally as many as 104 licenses to 42 licenses.

"Our target is licensing in the EMR only be 6 permission only. We are currently in the process," said Wiratmaja. Head of the Fiscal Policy Office, Ministry of Finance Suahasil Nazara add, in the short term, the government is trying to secure state revenues from oil and gas sector declined sharply from Rp 320 trillion in 2014 to Rp 80 trillion in 2016.

"In addition to the provision of incentives for recovering upstream oil and gas investment, we also ask SKK Migas careful in calculating cost recovery (operation costs which can be substituted). Another way is to split the gross concept (profit sharing based on gross production) are currently only been tested, "said Suahasil.

Executive Director of the Institute Komaidi ReforMiner Notonegoro added, political and business conditions upstream oil and gas sector is different from the past. Public involvement or regions are now much greater.

"The direction of the current government policy is the efficiency and fairness. However, the parameters are not necessarily the same as the investor. These need to be harmonized, "said Komaidi.

Meanwhile, Director of Metal Industry Ministry of Industry Doddy Rahadi say, the use of local content in the oil and gas industry and its supporting currently not optimal. One example is the increase in steel imports thus weakening the domestic steel industry.

Picture of the upstream oil and gas industry in Indonesia is increasingly less interest to invest contractor. In 2015, there were 312 companies and the figure dropped to 288 in 2016. A number of non-conventional oil and gas working areas in 2016 also offered paula has not received enthusiasts.

IN INDONESIAN

Birokrasi Masih Jadi Penghambat

Birokrasi yang berbelit dan panjangnya rantai perizinan masih menjadi penghambat investasi sektor hulu minyak dan gas bumi di Indonesia. Hambatan tersebut berdampak investasi merosot ditandai dengan penerimaan negara yang turun dari Rp 320 triliun pada 2014 menjadi Rp 80 triliun pada 2016.

”Saat ini, waktu yang dibutuhkan investor sejak penemuan cadangan sampai berproduksi rata-rata butuh 8-10 tahun. Dalam sejumlah kasus ada yang sampai butuh 12 tahun,” kata Direktur Indonesian Petroleum Association (IPA) Board Ronald Gunawan dalam diskusi bertajuk ”Membenahi Iklim Investasi Hulu Migas demi Mendorong Pertumbuhan Ekonomi Nasional,” Rabu (29/3), di Jakarta.

Banyaknya izin yang harus diurus di pusat dan daerah menjadi salah satu tantangan terbesar dalam investasi hulu migas di Indonesia. Investor juga butuh kepastian hukum dan aturan. Revisi undang-undang tentang minyak dan gas bumi yang masih berlangsung juga menyebabkan pengusaha menahan diri untuk berinvestasi.

Narasumber lainnya, Direktur Jenderal Minyak dan Gas Bumi Kementerian Energi dan Sumber Daya Mineral (ESDM) I Gusti Nyoman Wiratmaja mengakui, memang masih banyak perizinan yang harus diurus pada instansi lain baik yang ada di pusat dan daerah. Perizinan di Kementerian ESDM sejauh ini sudah dipangkas yang semula sebanyak 104 izin menjadi 42 izin.

"Target kami adalah perizinan di ESDM hanya menjadi 6 izin saja. Saat ini sedang dalam proses,” ujar Wiratmaja. Kepala Badan Kebijakan Fiskal Kementerian Keuangan Suahasil Nazara menambahkan, dalam jangka pendek, pemerintah berupaya mengamankan penerimaan negara dari sektor migas yang menurun drastis dari Rp 320 triliun pada 2014 menjadi Rp 80 triliun pada 2016.

”Selain pemberian insentif untuk memulihkan investasi hulu migas, kami juga meminta SKK Migas cermat dalam perhitungan cost recovery (biaya operasi yang dapat digantikan). Cara lainnya adalah dengan konsep gross split (bagi hasil berdasar produksi bruto) yang saat ini baru diujicobakan,” kata Suahasil.

Direktur Eksekutif ReforMiner Institute Komaidi Notonegoro menambahkan, kondisi politik dan bisnis sektor hulu migas saat ini berbeda dengan masa lalu. Keterlibatan publik atau daerah penghasil kini jauh lebih besar.

”Arah kebijakan pemerintah saat ini adalah efisiensi dan berkeadilan. Namun, parameternya belum tentu sama dengan investor. Ini yang perlu diselaraskan,” ujar Komaidi.

Sementara itu, Direktur Industri Logam Kementerian Perindustrian Doddy Rahadi mengatakan, pemanfaatan kandungan lokal dalam industri migas dan penunjangnya saat ini belum optimal. Salah satu contohnya adalah meningkatnya impor baja sehingga melemahkan industri baja dalam negeri. 

Gambaran kondisi industri hulu migas di Indonesia adalah semakin berkurangnya minat kontraktor berinvestasi. Pada 2015, tercatat ada 312 perusahaan dan angkanya menurun menjadi 288 pada 2016. Sejumlah wilayah kerja migas nonkonvensional yang ditawarkan paula 2016 juga belum mendapatkan peminat.

Kompas, Page-18, Thursday, March, 30, 2017

New wells Tapen 4th and Tapen 5th Drilled

Pertamina EP Attempting to Increase Production

Pertamina Exploration Production (EP) Asset 4 Cepu continue to increase production of oil and gas (oil and gas). This is evidenced by the well work-over in Tapen-3 this year. In addition, also perform the drilling of two new wells planned Tapen 4th and 5th in the village Tapen Sidoharjo, District Senori, District of God, which is predicted to production of up to five years.

Field Manager Agus Amperianto said, with the additional wells and TPN TPN-4-5 estimated oil reserves of two inserts wells (infill drilling) reached 547 thousand barrels of oil per day (BMPH) or barrels of oil per day (BOPD).

"Given the well Tapen-4 and Tapen-5 oil and gas production reached 547 thousand barrels of oil per day," said Agus when Media Gathering in Tuban Rahmawati Floating point, on Wednesday (29/3). He added, drilling wells and Tapen Tapen-4-5 is planned to take place this year in the fourth quarter, and each rnasing produce 150 thousand barrels of oil per day.

"Hopefully, the implementation will not occur constraint that does not want to be able to help meet the needs of the National Oil, said Agus.

IN INDONESIAN

Sumur Baru Tanen-4 dan Tapen-5 Dibor

Pertamina EP Berupaya Tingkatkan Produksi

Pertamina Eksplorasi Produksi (EP) Asset 4 Cepu terus berupaya meningkatkan produksi minyak dan gas (Migas). Hal ini dibuktikan dengan melakukan work over di sumur Tapen-3 pada tahun ini. Selain itu, juga melakukan rencana pemboran dua sumur baru Tapen-4 dan Tapen-5 di Desa Sidoharjo, Kecamatan Senori, Kabupaten Tuhan, yang diprediksi mampu produksi sampai lima tahun.

Field Manager Agus Amperianto mengatakan, dengan adanya tambahan sumur TPN-4 dan TPN-5 diperkirakan jumlah cadangan minyak dari dua sumur sisipan (infill drilling) mencapai 547 ribu lebih barel minyak per hari (BMPH) atau barrel oil per day (BOPD).

"Dengan adanya sumur Tapen-4 dan Tapen-5 produksi migas mencapai 547 ribu lebih barel minyak per hari," ujar Agus saat acara Media Gathering di Warung Apung Rahmawati Tuban, Rabu (29/3). Agus juga menambahkan, pengeboran sumur Tapen-4 dan Tapen-5 rencananya dilakukan tahun ini di triwulan keempat, dan masing-rnasing menghasilkan 150 ribu barel minyak per harinya. 

"Semoga dalam pelaksanaannya nanti tidak terjadi kendala yang tidak di inginkan agar dapat membantu memenuhi kebutuhan minyak Nasional, kata Agus.

Harian Bangsa, Page-14, Thursday, March, 30, 2017

Regional participation encouraged

Oil Upstream Industry

Special Unit of Upstream Oil and Gas or SKK Migas continues to spur the region's involvement in industrial activity upstream oil and gas so that it can provide added value to the area, the location of the operation.

SKK Migas head Amien Sunaryadi said it continued to encourage cooperation contract (PSC) to make room for local governments to be involved in activities in their respective area of ​​operation.

So far, one form of support will be the participation of Local Government has been realized with the release of Energy and Mineral Resources Regulation 37/2016 on Special Participating Interest (PI) to the Regional Government through the Regional Owned Enterprises. The contractor must offer a maximum of 10% PI project of the new contract signed.

Central and local government collaboration is the key to boosting economic growth, particularly in the operation. Local Government not only be the recipients of revenue-sharing (DBH) of oil and gas production, but is actively involved in the operations. The involvement of local governments is expected to not be a burden for upstream investors but mutually supportive partners.

"The area is not a business object, but were pushed into the subject in order to grow and be independent," he said in the Upstream Oil and Gas Gathering with Gas Users in Luwuk Banggai, Central Sulawesi

Central Sulawesi Governor Longki Djanggola hope the district into the first consumer can enjoy the oil and gas production. As an illustration, the current Central Sulawesi electrification ratio remained at 75%, whereas in Baggai Sea is only 50%. Supposedly, he considered, the electrification ratio can be increased by optimizing the absorption of oil and gas production to the area of ​​operation.

Based on data from SKK Migas, gas supply in Banggai reach 415 million standardization cubic feet per day / MMSCFD until 2027. The volume of gas flowing from the Senoro field and Field Cendanapura (JOB Pertamina-Medco E & P Tomori) amounted to 310 MMSCFD of gas and Field Matindok (Pertamina EP) 105 MMSCFD.

The gas is allocated 33 5 MMscfd for liquefied natural gas refinery / LNG Donggi Senoro, 55 MMSCFD to PT Panca Amara Utama to support the need for fertilizers, 55 MMSCFD to supply power to Banggai and 20 MMSCFD to PT PLN.

Besides Banggai, Central Sulawesi also has Tiaka Fields, who dioperatori JOB Pertamina-Medco E & P Tomori with the production of gas flare (flare gas) for 3 to 6 MMSCFD which is now utilized Morowali enterprises for the electricity sector

IN INDONESIAN

Partisipasi Daerah Digenjot

Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi atau SKK Migas terus memacu keterlibatan daerah dalam kegiatan industri hulu minyak dan gas sehingga bisa memberikan nilai tambah bagi daerah yang menjadi lokasi operasi. 

Kepala SKK Migas Amien Sunaryadi mengatakan pihaknya terus mendorong kontraktor kontrak kerja sama (KKKS) agar memberi ruang kepada pemerintah daerah untuk turut terlibat dalam kegiatan di masing-masing daerah operasi.

Sejauh ini, salah satu bentuk dukungan akan partisipasi Pemerintah Daerah telah diwujudkan dengan keluarnya Peraturan Menteri ESDM No.37 / 2016 tentang Penawaran Participating Interest (PI) kepada Pemerintah Daerah melalui Badan Usaha Milik Daerah. Kontraktor harus menawarkan PI maksimal hingga 10% proyek dari kontrak baru yang diteken.

Kolaborasi pemerintah pusat dan daerah menjadi kunci untuk mendorong pertumbuhan ekonomi, khususnya di lokasi operasi. Pemerintah Daerah bukan hanya menjadi penerima dana bagi hasil (DBH) dari hasil produksi migas, melainkan terlibat secara aktif dalam kegiatan operasi. Keterlibatan pemerintah daerah diharapkan bukan menjadi beban bagi investor hulu melainkan mitra yang saling mendukung.

“Daerah bukan menjadi obyek bisnis, melainkan didorong menjadi subyek agar tumbuh dan mandiri,” ujarnya dalam acara Temu Usaha Hulu Migas dengan Para Pengguna Gas di Luwuk Kabupaten Banggai, Sulawesi Tengah

Gubernur Sulawesi Tengah Longki Djanggola berharap daerahnya menjadi konsumen pertama yang bisa menikmati produksi migas. Sebagai gambaran, saat ini rasio elektrifikasi Sulawesi Tengah masih berada di level 75 % , sedangkan di Baggai Laut hanya 50%. Seharusnya, dia menilai, rasio elektrifikasi bisa meningkat dengan optimalisasi penyerapan produksi migas ke daerah operasi.

Berdasarkan data SKK Migas, pasokan gas di Kabupaten Banggai mencapai 415 million standardisasi cubic feet per day/MMscfd hingga 2027. Volume gas tersebut mengalir dari Lapangan Senoro dan Lapangan Cendanapura (JOB Pertamina-Medco E&P Tomori) sebesar 310 MMscfd gas dan Lapangan Matindok (Pertamina EP) sebanyak 105 MMscfd.

Gas tersebut dialokasikan sebesar 33 5 MMscfd untuk Kilang gas alam cair/LNG Donggi Senoro, 55 MMscfd untuk PT Panca Amara Utama guna mendukung kebutuhan pupuk, 55 MMscfd untuk mengalirkan listrik ke Kabupaten Banggai dan 20 MMscfd untuk PT PLN.

Selain Banggai, Sulawesi Tengah juga memiliki Lapangan Tiaka, yang dioperatori JOB Pertamina-Medco E&P Tomori dengan produksi gas suar (flare gas) sebesar 3 hingga 6 MMscfd yang kini dimanfaatkan BUMD Kabupaten Morowali untuk sektor ketenagalistrikan

Bisnis Indonesia, Page-30, Thursday, March, 30, 2017

The Government Difficulties to Debt Charge Upstream Oil and Gas

Ministry of Energy gave the repayment time until June.

Inspector General of the Ministry of Energy and Mineral Resources, Mochtar Husein, admitted it is difficult to collect receivables countries in the upstream sector of oil and gas. Because, he said, most contracts with the state oil company had ended. "A lot of the termination of the contract, what can we do?" Said Mochtar

The Ministry of Energy has submitted the debt collection authority to the Special Unit of Upstream Oil and Gas (SKK Migas). According to Mochtar, until mid-March, 25 companies in the upstream oil and gas sector accounts had not submitted a firm commitment (firm commitment) to the state.

The government gives time for the defaulters to pay the debt until June. The Corruption Eradication Commission (KPK) receivable classify oil as a finding that could potentially harm the state. These findings come from 143 cooperation contracts (PSC) who have not paid the remainder of the financial liabilities at 30 work areas with the status of the termination.

The arrears include the rest of the firm commitment in the working area 25 of US $ 310 million signature bonus of US $ 2.5 million, goods and services amounted to US $ 575 thousand, and guarantee operations totaling $ 5.8 million. The Commission also found that the contractor has not completed 141 environmental liabilities in the form of environmental assessment based on 319 working area.

In addition to arrears, Chairman of the Commission Agus Rahardjo disputed oil and gas data management is not uniform at the Geological Agency, Research and Development, Directorate General of Oil and Gas, and SKK Migas, "There is also no data available for the contractor fuzzy"

One of the contractors who have arrears are ExxonMobil, Block manager Scissors, East Java. The Commission said the US oil and gas company that has to pay arrears of a firm commitment of US $ 8 million, ExxonMobil had already returned an exploration concession to the government since 2014.

Vice President of Public and Government Affairs for ExxonMobil, Erwin Maryoto, dismiss the note. According to Erwin, the company has paid in accordance with contractual commitments. Erwin suspect recording receivables arise from differences of perception. He promised to immediately clarify it to SKK Migas.

"Probably because there are different viewpoints. We feel it meets all exploration commitments as agreed in the contract, "said Erwin.

IN INDONESIAN

Pemerintah Kesulitan Tagih Utang Hulu Migas

Kementerian Energi memberi waktu pelunasan hingga Juni.

Inspektur Jenderal Kementerian Energi dan Sumber Daya Mineral, Mochtar Husein, mengaku pihaknya sulit menagih piutang negara di sektor hulu minyak dan gas bumi. Sebab, kata dia, sebagian besar kontrak perusahaan migas dengan negara sudah berakhir. “Sudah banyak yang terminasi kontrak, mau bagaimana lagi?” kata Mochtar 

Kementerian Energi sudah menyerahkan kewenangan penagihan utang kepada Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas). Menurut Mochtar, hingga pertengahan Maret lalu sebanyak 25 perusahaan di sektor hulu migas belum menyerahkan piutang komitmen pasti (firm commitment) kepada negara. 

Pemerintah memberi waktu bagi para penunggak untuk membayar utang hingga Juni. Komisi Pemberantasan Korupsi (KPK) menggolongkan piutang migas sebagai temuan yang berpotensi merugikan negara. Temuan ini berasal dari 143 kontraktor kontrak kerja sama (KKKS) yang belum melunasi sisa kewajiban keuangan di 30 wilayah kerja yang berstatus terminasi.

Tunggakan tersebut meliputi sisa komitmen pasti di 25 wilayah kerja sebesar US$ 310 juta, bonus tanda tangan sebesar US$ 2,5 juta, barang dan jasa sebesar US$ 575 ribu, dan jaminan operasi sebesar US$ 5,8 juta. KPK juga menemukan 141 kontraktor yang belum menyelesaikan kewajiban lingkungan berupa environmental based assessment di 319 wilayah kerja.

Selain tunggakan, Ketua KPK Agus Rahardjo mempermasalahkan pengelolaan data migas yang tidak seragam pada Badan Geologi, Badan Penelitian dan Pengembangan, Direktorat Jenderal Minyak dan Gas Bumi, dan SKK Migas, "Ada juga data tidak tersedia karena kontraktor kabur”

Salah satu kontraktor yang memiliki tunggakan adalah ExxonMobil, pengelola Blok Gunting, Jawa Timur. KPK menyebutkan perusahaan migas asal Amerika Serikat itu harus membayar tunggakan komitmen pasti sebesar US$ 8 juta, ExxonMobil sudah mengembalikan konsesi eksplorasi kepada pemerintah sejak 2014.

Vice President for Public and Government Affairs ExxonMobil, Erwin Maryoto, menampik catatan tersebut. Menurut Erwin, perusahaannya sudah melunasi komitmen sesuai dengan kontrak. Erwin menduga pencatatan piutang terjadi karena perbedaan persepsi. Dia berjanji segera mengklarifikasi hal ini kepada SKK Migas. 

“Mungkin karena ada perbedaan sudut pandang. Kami merasa sudah memenuhi semua komitmen eksplorasi sesuai kesepakatan dalam kontrak,” ujar Erwin.

Koran Tempo, Page-18, Wednesday, March, 29, 2017

Pertamina EP Oil Products Rises

PT Pertamina EP increase oil production from offshore fields Jatibarang, lndramayu, West Java. Increase in production was the result of remedial wells by moving layers.

Daily Acting President Director of PT Pertamina EP Nanang Abdul Manaf said last production wells layer XA-09 X-35 and X-32 by February 3rd, 2017, stood at 87 barrels of oil per day (bopd). Production was gradually increased.

After repair of wells, by moving layer to the X-26, was recorded on March 22, 2016 XA-09 production increased steadily reaching 2,011 bopd, then per March 27 reached 2,532 bopd

IN INDONESIAN

Produk Minyak Pertamina EP Menigkat

PT Pertamina EP meningkatkan produksi minyak dari lapangan lepas pantai Jatibarang, lndramayu, Jawa Barat. Peningkatan produksi tersebut merupakan buah dari usaha perbaikan sumur dengan memindahkan lapisan.

Pelaksana Tugas Harian President Director of PT Pertamina EP Nanang Abdul Manaf mengungkapkan produksi terakhir sumur XA-09 lapisan X-35 dan X-32 per 3 Februari 2017, tercatat sebesar 87 barrel oil per day (bopd). Produksi itu secara bertahap meningkat.

     Setelah dilakukan reparasi sumur, dengan pindah lapisan ke X-26, tercatat pada 22 Maret 2016 produksi XA-09 meningkat stabil mencapai 2.011 bopd, kemudian per 27 Maret mencapai 2.532 bopd

Media Indonesia, Page-18, Wednesday, March, 29, 2017

Medco means business in South Natuna

In a bid to exploit “offshore” momentum to its advantage, publicly listed integrated energy company PT Medco Energi Internasional has completed a full acquisition of INPEX NATUNA Ltd., which operates in the South Natuna Sea. The move, however, signals that other foreign companies may follow INPEX’s exit.

In a statement issued on Monday, Japan’s INPEX Corporation announced that it had decided to sell all its shares in INPEX NATUNA Ltd., its wholly owned subsidiary, which holds a 35 percent participating interest in the South Natuna Sea’s Block B, to PT Medco Daya Sentosa, a subsidiary of Medco Energi.

INPEX Corp. attributed the US$ 167 million share sale to the policy of optimizing its global asset portfolio, given that the contribution of INPEX NATUNA in terms of income and cash flow was expected to become relativelylimited after almost 40 years of oil production. 

By transferring ownership to Medco Daya Sentosa, INPEX Corp. has followed in the footsteps of energy giant ConocoPhillips, which gave up ownership of ConocoPhillips Indonesia Inc. Ltd. and ConocoPhillips Singapore Operations Pte. Ltd. to Medco Energi in November 2016.

ConocoPhillips Indonesia was the operator of the South Natuna Sea Block B with a 40 percent working interest and the operator of the West Natuna Transportation System, while ConocoPhillips Singapore Operations oper-ated the onshore receiving facility in Singapore.

With the latest acquisition, Medco now holds a 75 percent participating interest in the block and the remaining 25 percent is controlled by another energy giant Chevron Corp. through its Chevron South Natuna B Inc.

“The acquisition is a game changer for Medco as we want to help the government solve its energy problem,” Medco Energi Internasional president commissioner Muhammad Lutfi told.

The share acquisition is expected to be completed in May and Medco will use internal cash reserves and bank loans to finance the takeover. Lutfi claimed South Natuna would be the starting point for the company to venture deeper into offshore production. It is the first and only offshore block for Medco as its other Iive production facilities are located onshore, such as the South Sumatra Block and Lematang Block.

“We are sure we can increase the production of Natuna. We already have the human resources and our directors are experts in offshore production,” he said. The government previously decided that the gas rich Masela Block in the Malukus would be developed in an offshore scheme.

According to data from INPEX Corp., the South Natuna Sea Block B has a water depth of approximately 50 to 55 meters. The average production rate for the block for the year 2016 was approximately 20,000 barrels per day (bpd) of crude oil, 197 million standard cubic feet per day (mmscfd) of natural gas and 6,000 barrels per day (bpd) of liquefied petroleum gas. 

The oil and gas production decreased 6.54 percent and 33.45 percent in 2016, respectively. In 2015, the block produced 21,400 bpd of crude oil and 296 mmscfd of natural gas, as shown by data from the Upstream Oil and Gas Regulatory Task Force (SKK Migas). ReforMiner Institute researcher Pri Agung Rakhmanto lauded Medco’s acquisition of INPEX NATUNA, saying it was an achievement tor a local firm to take over an international oil company

However, he said the current low oil price might force other foreign firms to rearrange their portfolios, and they too might relinquish ownership of operations in Indonesia. “INPEX has stake in Masela, that’s why it had the courage to sell Natuna.”

Energy expert John Sadrak Karamoy said that along with decreasing productivity regulatory uncertainty was also a major factor behind foreign oil and gas players’ decision to leave Indonesia.

“Those foreign players wanted to quit because we do not have consistency in regulations,” he said. A major example is when the government introduced the new gross-split sliding scale to slowly replace cost recovery, which supposedly gives contractors much more freedom over their activities, but may also force them to rein in expenditure.

Jakarta Post, Page-13, Wednesday, March, 29, 2017

Pertamina Hulu Energi Coming Complete Review

PT Pertamina Hulu Energi, a subsidiary of PT Pertamina soon submit the results of the study support the continued development blocks of coal bed methane (coal bed methane / CBM) manages. Pertamina plans to release eight CBM blocks his possession because it is not economical.

President Director of Pertamina Hulu Energi Mount Sardjono Hadi explained that the review was done because Pertamina want to take ownership of the CBM block management. The review related to the penalty to be paid if Pertamina retreat without meeting the firm commitment that has been promised in the contract.

It will calculate whether cheaper to pay the penalty or implement commitments, including whether it is possible to cut costs by using cheaper technology. In doing a review, the company will also negotiate with the partners who still want to continue the development of CBM.

"We immediately conveyed our study results to shareholders, in recent weeks we say officially," he said in Jakarta on Monday (27/3).

He explained that Pertamina wanted to take ownership stakes in Block CBM because development is not economical. If using drilling rules adopted by Pertamina, the cost is quite large. While the results of the drilling of the well is only about 0,003 million standard cubic per day / MMSCFD. This figure is different from that in Australia, where the drilling of the wells can produce 0.3 MMSCFD.

"When referring to Pertamina Drilling Way, it is not economical. The cost is quite large and the results are not as expected, "said Mount Sarjono. Moreover, there are still problems and non-technical licensing to face it in the field. Related kelanjutkan CBM Block development, recognized Mountains, it has been called by the Deputy Minister of Energy and Mineral Resources Arcandra Tahar.

Pertamina asked certainty to fulfill the commitments contained in the contract definitely CBM blocks hers. In some blocks, it does not meet the promised investment commitments.

However, it could not imply removing ownership as partners are still interested to continue its development, even though Pertamina is the operator. "So we have asked for time to Deputy Minister to negotiate with our partners as to what (the continuation of development)," he said.

Mount added, initially it wanted to sell its stake to another company, not backward. However, though it was offered, no other oil and gas companies who are interested to participate in the business development of CBM. Other companies also want a better prerequisite in CBM contract.

Currently, a subsidiary of PT Pertamina it has a participating interest in Block 14 with the magnitude of potential CBM 41.67 trillion cubic feet (TCF). Of these, eight blocks of which are operated by Pertamina, namely methane Sumatra 1, 3, 4, 6, and 7, Methane Tanjung II and IV, as well as methane Suban I and II.

The whole block wanted to be released by Pertamina. Meanwhile in five other blocks, it only holds an equity interest. In particular, 2 and 5 Methane Sumatra, Kalimantan Methane A and B, as well as methane Sumatra, Tanjung Enim. To kelanjutkan development of these blocks, said Mount, will be determined by a partner company that holds the operatorship rights.

Indonesia has a CBM resource of up to 453 trillion cubic feet. Until now there are 54 working area that has been given to the cooperation contract (PSC) has the potential of 138 TCF. However, no block CBM development is quite significant.

IN INDONESIAN

Pertamina Hulu Energi Segera Selesaikan Review

PT Pertamina Hulu Energi, anak usaha PT Pertamina segera menyerahkan hasil kajian kelanjutan pengembangan blok gas metana batubara (coal bed methane/ CBM) yang dikelolanya. Pertamina berencana melepas kepemilikan delapan blok CBM miliknya karena tidak ekonomis.

Presiden Direktur Pertamina Hulu Energi Gunung Sardjono Hadi menjelaskan, review dilakukan karena Pertamina ingin melepas kepemilikan Blok CBM yang dikelolanya. Tinjauan ini terkait penalti yang harus dibayarkan jika Pertamina mundur tanpa memenuhi komitmen pasti yang telah dijanjikan dalam kontrak.

Pihaknya akan menghitung apakah lebih murah membayar penalti atau melaksanakan komitmen, termasuk apakah ada kemungkinan memangkas biaya dengan menggunakan teknologi yang lebih murah. Dalam mengerjakan review, pihaknya juga akan melakukan negosiasi dengan mitra yang masih ingin melanjutkan pengembangan CBM. 

“Kami segera menyampaikan hasil kajian kami ke shareholder, minggu-minggu ini kami sampaikan secara resmi,” kata dia di Jakarta, Senin (27/ 3).

Dia menjelaskan, Pertamina ingin melepas kepemilikan saham di Blok CBM karena pengembangannya tidak ekonomis. Jika menggunakan aturan pengeboran yang dianut Pertamina, biaya yang dikeluarkan cukup besar. Sementara hasil pengeboran satu sumur hanya sekitar 0,003 million standard cubic per day/mmscfd. Angka ini berbeda dengan di Australia, di mana pengeboran satu sumur bisa menghasilkan 0,3 mmscfd.

“Kalau mengacu ke Pertamina Drilling Way, itu tidak ekonomis. Biayanya cukup besar dan hasilnya tidak sesuai harapan,” kata Gunung Sarjono. Apalagi masih ada masalah perizinan dan non-teknis yang harus dihadapi pihaknya di lapangan. Terkait kelanjutkan pengembangan Blok CBM ini, diakui Gunung, pihaknya telah dipanggil oleh Wakil Menteri Energi dan Sumber Daya Mineral Arcandra Tahar.

Pertamina diminta kepastiannya untuk memenuhi komitmen pasti yang tertuang dalam kontrak blok CBM miliknya. Di beberapa blok, pihaknya memang belum memenuhi komitmen investasi yang dijanjikan.

Namun, pihaknya tidak bisa langsung menyatakan melepas kepemilikan karena mitra masih berminat untuk melanjutkan pengembangannya, meskipun Pertamina adalah operator. “Jadi kami minta waktu ke Wakil Menteri untuk bernegosiasi dengan partner kami seperti apa (kelanjutan pengembangan) ,” kata dia.

Gunung menambahkan, awalnya pihaknya ingin menjual kepemilikan sahamnya ke perusahaan lain, bukan mundur. Namun, meski sudah ditawarkan, tidak ada perusahaan migas lain yang berminat untuk ikut di bisnis pengembangan CBM. Perusahaan-perusahaan lain juga menginginkan prasyarat yang lebih baik dalam kontrak CBM.

Saat ini, anak usaha PT Pertamina itu memiliki hak partisipasi di 14 Blok CBM dengan besaran potensi 41,67 triliun kaki kubik (TCF). Dari jumlah tersebut, delapan blok diantaranya dioperasikan oleh Pertamina, yakni Metana Sumatera 1, 3, 4, 6, dan 7, Metana Tanjung II dan IV, serta Metana Suban I dan II.

Seluruh blok ini ingin dilepas oleh Pertamina. Sementara itu di lima blok lainnya, Pertamina hanya memegang kepemilikan saham. Rincinya, Metana Sumatera 2 dan 5, Metanan Kalimantan A dan B, serta Metana Sumatera Tanjung Enim. Untuk kelanjutkan pengembangan blok-blok ini, kata Gunung, akan ditentukan oleh perusahaan mitra yang memegang hak operatorship. 

Indonesia memiliki sumber daya CBM hingga 453 triliun kaki kubik. Sampai saat ini terdapat 54 Wilayah kerja yang sudah diberikan kepada kontraktor kontrak kerja sama (KKKS) memiliki potensi 138 TCF. Namun, belum ada blok CBM yang pengembangannya cukup signifikan.

Investor Daily, Page-9, Wednesday, March, 29, 2017

Medco shares ahold South Natuna Sea Block B

Medco holds a majority stake South Natuna Sea Block B. The reason, Medco bought a 35% stake in Block B Inpex Corporation through PT Medco Power Sentosa (Medco), a subsidiary of PT Medco Energi Internasional Tbk. Previously, Medoo buy 40% stake in Conoco-Phillips in this block. Thus, in addition to Medco, only Chevron holds a 25% in this block.

In a release on Monday (27/3) lnpex writing, the value of the acquisition (transfer pride) shares reached US $ 167 million. Targeted the entire process of acquisition of shares in Inpex Natuna Ltd. by Medco could be completed by late May 2017.

Senior Manager of Communication and Relations Inpex Corp Usman Slamet said, Inpex still will continue its cooperation with the Government of Indonesia. "We've been 50 years in Indonesia and we will continue to continue the cooperation," said Usman.

lnpex currently listed as the operator in the LNG project Masela Abadi field since 1998 and the operator in Block Babar Selaru since November 2011. Inpex also has a right of participation in Berau Block and West Sebuku.

IN INDONESIAN

Medco Kuasai Saham Blok B Laut Natuna Selatan

Medco menguasai mayoritas saham Blok B Laut Natuna Selatan. Pasalnya, Medco membeli 35% saham Inpex Corporation di Blok B lewat PT Medco Daya Sentosa (Medco), anak usaha dari PT Medco Energi Internasional Tbk. Sebelumnya, Medoo membeli 40% saham Conoco-Phillips di blok ini. Dengan begitu, selain Medco, hanya Chevron yang memegang 25% di blok ini.

Dalam rilisnya, Senin (27/3) lnpex menulis, nilai akuisisi (transfer pride) saham tersebut mencapai US$ 167 juta. Ditargetkan seluruh proses akuisisi saham Inpex Natuna Ltd oleh Medco bisa selesai akhir Mei 2017. 

Senior Manager Communication and Relation Inpex Corp Usman Slamet mengatakan, Inpex masih akan melanjutkan kerjasama dengan Pemerintah Indonesia. "Kami sudah 50 tahun di Indonesia dan kami akan terus lanjutkan kerja sama," kata Usman.

lnpex saat ini tercatat sebagai operator di proyek LNG Lapangan Abadi Blok Masela sejak tahun 1998 dan operator di Blok Babar Selaru sejak November 2011. Inpex juga memiliki hak partisipasi di Blok Berau dan Sebuku Barat.

Kontan, Page-14, Wednesday, March, 29, 2017

Glass and Ceramics Industry Will Get Cheap Gas

Ministry of Energy and Mineral Resources (ESDM) promised there will be more industries will get a decrease in gas prices. We have already incentivized price reduction is the fertilizer industry, steel and petrochemicals through the Minister of Energy and Mineral Resources No. 40 of 2016 on Gas Prices for Industry Specific.

Director General of Oil and Gas Ministry of Energy, Puja Wiratmaja IGN stated, there are currently a number of companies that will get a decrease in gas prices. "About 80 companies was proposed by the Ministry of Industry, some reductions in Government Regulation No. 40/2016," said Wiratmaja.

Of the 80 companies that there are companies from the ceramics and glass industries. "The proposed there on the steel sector, glass, ceramics, petrochemicals," he said.

For the record, the Government Regulation No. 40/2016 states, who are entitled to incentive reduction of gas prices is the fertilizer industry, petrochemical industry, the oleochemical industry, steel industry, ceramic industry, glass industry and industrial gloves.

IN INDONESIAN

Industri Kaca dan Keramik Akan Mendapat Gas Murah

Kementerian Energi dan Sumber Daya Mineral (ESDM) berjanji akan ada lagi industri yang akan mendapatkan penurunan harga gas. Saat ini yang sudah mendapatkan insentif penurunan harga adalah industri pupuk, baja dan petrokimia melalui Peraturan Menteri ESDM No 40 tahun 2016 tentang Harga Gas untuk Industri Tertentu.

Direktur Jenderal Minyak dan Gas Bumi Kementerian ESDM, IGN Wiratmaja Puja menyatakan, saat ini ada sejumlah perusahaan yang akan mendapatkan penurunan harga gas. "Sekitar 80 perusahaan ini diusulkan oleh Kementerian Perindustrian mendapat penurunan sesuai Peraturan Pemerintah No 40/2016," kata Wiratmaja. 

Dari 80 perusahaan itu terdapat perusahaan dari sektor industri keramik dan kaca. "Yang diusulkan ada dari sektor baja, gelas, keramik, petrokimia," katanya.

Sebagai catatan, Peraturan Pemerintah No 40/2016 menyebutkan, yang berhak mendapatkan insentif penurunan harga gas adalah industri pupuk, industri petrokimia, industri oleochemical, industri baja, industri keramik, industri kaca dan industri sarung tangan.

Kontan, Page-14, Wednesday, March, 29, 2017