Pertamina imports LPG from the UAE Oil and Gas Company

 

    PT Pertamina (Persero) signed a cooperation agreement with an oil and gas company from the United Arab Emirates (UEA), Abu Dhabi National Oil Company (ADNOC). Through this cooperation, Pertamina will import LPG from ADNOC, responding to the increasing demand for gas.

ADNOC

    Director of Central Marketing & Commerce of PT Pertamina Patra Niaga Hasto Wibowo said the national demand for LPG in 2022 is estimated to reach 8.3 million tons, then increase to 9.12 million tons in 2023, and increase again to 10.01 million tons in the year 2024. Through cooperation with ADNOC, Pertamina ensures the safety of the national LPG supply which is projected to continue to increase every year.

"Currently, the balance of national LPG import needs reaches 6 million tons per year. Hopefully, with this cooperation Pertamina can expand supply sources and maintain supply stability," said Hasto.

    Hasto explained that this cooperation is one of the procurement strategies for bundling LPG and petrochemical products that are purchased directly from producers. This agreement is also possible to be extended every year, subject to an evaluation before the end of the agreement.

"It is hoped that this collaboration can create long-term collaboration opportunities for LPG and petrochemical products by of course still paying attention to developments in the petrochemical business," said Hasto.

    With this cooperation, the Ambassador of the Republic of Indonesia to UEA Husin Bagis hopes that in the future there will be more collaboration between the two companies.

Surya, Page-7, Wednesday,  March 10, 2021

Pertamina: Imports from UAE keep LPG Supply

 

    PT Pertamina (Persero) has agreed on a sale and purchase agreement for Liquefied Petroleum Gas (LPG) with the Abu Dhabi National Oil Company (Adnoc) for the next four years. This cooperation is to ensure the supply of LPG in Indonesia.

Adnoc

"Currently, the balance of national LPG import needs reaches 6 million tons per year. The hope is that with this cooperation Pertamina can expand supply sources and maintain supply stability, "said Director of Central Marketing & Commerce of PT Pertamina Patra Niaga SH C&T Pertamina Hasto Wibowo.

    Hasto explained that the national demand for LPG is estimated to reach 8.30 million tonnes in 2022. Furthermore, it will increase again to 9.12 million tonnes in 2023, and 10.01 million tonnes in 2024. Hasto said the cooperation agreement is likely to be extended every time. the year. In addition, an evaluation is carried out before the agreement ends.

"This cooperation is one of the procurement strategies for bundling LPG and petrochemical products that are purchased directly from the producer. It is hoped that this cooperation can create long-term collaboration opportunities for LPG and petrochemical products, "said Hasto.

    Senior President International Relations Adnoc Salem Raheb Al Meheiri welcomed the strategic cooperation with Pertamina.

"As one of the largest producers of LPG, crude oil, and petrochemicals in the world, Adnoc guarantees that it will supply products reliably to Indonesia," said Salem.

    The Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan explained that the collaboration between Pertamina and Adnoc is one of the seven collaborations between Indonesia and the UAE signed at the Indonesia-Emirates Amazing Week 2021 event.

"These are all first steps to build better relations between the two countries and we will continue to support each other's economic growth in Indonesia and the UAE," said Luhut.

    The seven cooperation agreements in question are mangrove cooperation with the UAE, a memorandum of understanding (MoU) of cooperation in the creative economy, technical arrangements for a world conference on the creative economy, and a joint venture between Dubai Port (DP) World and PT Maspion in the construction of a container port. packing in East Java.

    Other collaborations are the world logistic passport agreement, the MoU between PT Pindad-Caracal, Pertamina-Adnoc, and the Lulu Lease Agreement financing agreement.

Suhail Al Mazrouei

    UAE Minister, Energy, and Infrastructure Suhail Al Mazrouei explained that currently, the governments of the two countries are sitting together to identify investment areas that can not only be worked on together between governments, but also the private sector.

"This is still the first step. Of course, we hope that this cooperation together can boost the economic growth of the two countries," said Suhail.

     Suhail said the LPG and sulfur sales contract will last for four years with an annual contract value of US $ 500 million. Thus, the estimated contract value will be the US $ 2 billion over the next four years.

“The LPG contract together with sulfur is a four-year contract and that's about 500 million dollars a year, so the contract is 2 billion dollars over four years and between 2 billion-2.2 billion US dollars depending on the price. So, it can be renewed, "said Suhail.

Republika, Page-9, Monday,  March 8, 2021

Pertamina and ADNOC LPG Contract Worth IDR 28 Trillion

    PT Pertamina has signed a partnership with an oil company from the United Arab Emirates, Abu Dhabi National Oil Company (ADNOC), for the supply of Liquefied Petroleum Gas (LPG) worth US $ 2 billion or Rp 28 trillion (exchange rate of Rp 14,000 per US dollar).

ADNOC

    Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Pandjaitan said that this cooperation is one of seven cooperation agreements signed by the Government of Indonesia and the Government of the United Arab Emirates.

"These are all first steps to build better relations between the two countries and we will continue to support each other's economic growth in Indonesia and the United Arab Emirates," Luhut said at the 2021 Indonesia-Emirates Virtual Press Conference.

Suhail Al Mazroui

    The Minister of Energy and Infrastructure of the United Arab Emirates Suhail Al Mazroui explained that the LPG contract is a full years contract for the next four years.

"More than US $ 500 million per year and a total of around US $ 2 billion. This is substantial considering the four-year contract," he said.

    Suhail added that in the future, Indonesia would be a priority for investment activities in the United Arab Emirates. In addition, a number of collaborations that have been agreed upon are the first steps in a series of cooperation between the two countries in the future. 

    However, both parties have not disclosed further about the volume of LPG that will be supplied by ADNOC to Pertamina.

Kontan, Page-13, Monday,  March 8, 2021

Pertamina Ensures Imported LPG Supply

    PT Pertamina (Persero) and Abu Dhabi National Oil Company or ADNOC, the Abu Dhabi oil and gas company, United Arab Emirates, signed an LPG sale and purchase agreement. 

ADNOC

    Director of Central Marketing and Commerce of PT Pertamina Patra Niaga-a subsidiary of Pertamina-Hasto Wibowo said the agreement was to ensure the safety of LPG supply in Indonesia, whose demand is increasing per year.

    According to Pertamina, the demand for LPG is estimated at 8.3 million tons in 2022, then 9.12 million tons in 2023, and an estimated 10 million tons in 2024.

"Currently, Indonesia's demand for LPG imports is 6 million tons per year," he said.

113 Rokan Block Licensing Completion Needs Local Government Support

 

    PT Pertamina Hulu Rokan (PHR) must complete 113 permits as part of the transfer of management of the Rokan Block from PT Chevron Pacific Indonesia (CPI). Support from the local government is needed to complete this permit before the transfer of management occurs on August 9, 2021.

PT Chevron Pacific Indonesia

    Head of the Formality Division of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Didik Sasono Setyadi expects full support from the local government in the process of licensing over the management of the Rokan Block. 

Blogger Agus Purnomo in SKK Migas

    This is because if the transition to management and operation of this block goes well, it will have a positive impact, especially for state finances. He hopes that the management transfer permit process will run smoothly and operations will not be disrupted.

"The smooth operation of the Rokan is very beneficial for state finances. We all as government officials have the responsibility to carry out the interests of the state, "he said.

Temporary officials

Head of SKK Migas Representative of North Sumatra, Haryanto Syafri, added that all parties related to the transfer of management permit process must have the same perception. This is because operations in the Rokan Block cannot stop.

"And we will continue to comply with all rules and regulations," he said.

    Permits processing will begin to be processed by fulfilling all administrative requirements and are expected to take effect starting August 9, 2021. The permits currently managed by Chevon Pacific Indonesia can still be used until their expiry date before being renewed by Pertamina Hulu Rokan. 

    Head of the Riau Province Investment and One-Stop Integrated Service (DPMPTSP) Helmi D revealed that the Riau Provincial Government (Pemprov) strongly supports and appreciates PHR activities. On the other hand, PHR is asked to continue to communicate effectively in the context of harmonizing licensing.

"So we, together with the district and city governments, will accelerate how this function transfer and licensing changes can be carried out properly, so that later on August 9 there will be no obstacles," said Helmi.

    Meanwhile, Regional Secretary Kampar Yusri will carry out parallelization of licensing with the Riau Provincial Government.

"Because the Provincial Government and the Kampar Regency Government are one roof, if the province has given a sign, the regency will just follow suit," he said.

Investor Daily, Page-10, Monday,  March 8, 2021

Pertamina Imports LPG and Sulfur from UAE Oil and Gas Companies

 

    PT Pertamina Patra Niaga, the commercial and commercial subholding of PT Pertamina (Persero), has signed a purchase agreement for Liquefied Petroleum Gas / LPG and sulfur with the Abu Dhabi National Oil Company (ADNOC).

ADNOC

    The signing was carried out by Pertamina Vice President Trading and Other Business Patra Niaga Maya Kusmaya with ADNOC Senior President International Relations Salem Raheb Al Meheiri during the Indonesia-Emirates Amazing Week (IAEW) Business Forum last weekend. 

    The signing was witnessed directly by the Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Panjaitan and the United Arab Emirates Minister of Energy and Infrastructure Suhail Al Mazroeui.

Suhail Al Mazroeui

    Suhail said that the LPG and sulfur supply contract to Pertamina is valid for four years. The contract value reaches US $ 500 million per year or a total of US $ 2-2.2 billion depending on the price. This contract can also be extended. In fact, the opportunity for other deals is also open.

"We will always be committed and support Indonesia and all its requirements. If we do have supplies, Indonesia will always be a priority, ”he stressed.

    Pertamina's Central Marketing and Commerce Director Patra Niaga Hasto Wibowo said this cooperation ensures the safety of the national LPG supply which is projected to continue to increase every year. In the next year, the national demand for LPG is estimated at 8.3 million tons and will increase to 9.12 million tons in 2023 and then reach 10.01 million tons in 2024.

"Currently, the balance of national LPG import needs reaches 6 million tons per year. We hope that with this cooperation Pertamina can expand supply sources and maintain supply stability," he said.

    This agreement can be extended annually with still being evaluated before the agreement ends. This cooperation is one of the procurement strategies for bundling LPG and petrochemical products that are purchased directly from producers.

"It is hoped that this collaboration can create long-term collaboration opportunities for LPG and petrochemical products by of course still paying attention to developments in the petrochemical business and referring to the national energy mix policy as stated in the RUEN (National Energy General Plan)," added Hasto.

Investor Daily, Page-10, Monday,  March 8, 2021

Pertamina Partners with ADNOC to Ensure LPG Supply

 

    Pertamina signed the LPG and Sulfur Sales Confirmation Agreement which ensures Pertamina gets a supply of LPG and Sulfur from the Abu Dhabi National Oil Company (ADNOC). 

    The signing was carried out by Vice President Trading & Other Business Sub Holding Commercial & Trading (SH C&T) PT Pertamina (Persero), Maya Kusmaya with ADNOC Senior President International Relations, Salem Al Meheiri in the Indonesia Business Forum - Emirates Amazing Week (IAEW) activity and witnessed directly by the Coordinating Minister for Maritime Affairs and Investment Luhut Binsar Panjaitan and the Minister of Energy and Infrastructure of the United Arab Emirates (PEA), Suhail Al Mazroeui.

    National LPG demand in 2022 is estimated to reach 8.30 million tons, increasing to 9.12 million tons in 2023, and 10.01 million tons in 2024. Director of Central Marketing and Commerce PT Pertamina Patra Niaga, SH C and T PT Pertamina (Persero), On the same occasion, Hasto Wibowo said that this collaboration ensures the safety of the national LPG supply which is projected to continue to increase every year.

"Currently, the balance of national LPG import needs reaches 6 million tons per year. We hope that with this cooperation Pertamina can expand supply sources and maintain supply stability," said Hasto.

    Hasto added, it is possible for this agreement to be extended every year, while still being evaluated before the agreement ends.

"This collaboration is one of the procurement strategies for bundling LPG and petrochemical products that are purchased directly from the producer. It is hoped that this collaboration can create long-term collaboration opportunities for LPG and petrochemical products by of course still paying attention to developments in the petrochemical business and referring to the national energy mix policy as stated in the RUEN, "added Hasto.

ADNOC

    Meanwhile, ADNOC Senior President International Relations, Salem Raheb Al Meheiri, welcomed the strategic partnership with Pertamina.

"As one of the largest producers of LPG, crude oil, and petrochemicals in the world, ADNOC guarantees that it will supply products reliably to Indonesia," he explained.

    The Indonesian Ambassador to PEA, Husin Bagis also positively welcomed the signing by Pertamina and ADNOC.

"From the Embassy of the Republic of Indonesia, we hope that the realization of this cooperation in the field of LPG and Sulfur supply can open up opportunities for other collaborations such as petrochemicals and other downstream industries in the future," he concluded.

Duta Masyarakat, Page-6, Monday,  March 8, 2021

Ensuring LPG Supply, Pertamina Collaborates with ADNOC

 

    Pertamina ensures that it gets LPG and Sulfur supplies from the Abu Dhabi National Oil Company (ADNOC) after Pertamina signs the LPG and Sulfur Sales Confirmation Agreement, the signing of the collaboration between the Vice President Trading & Other Business Sub Holding Commercial & Trading (SH C&T) PT Pertamina (Persero), Maya Kusmaya with ADNOC Senior President International Relations, Salem Al Meheiri in the Business Forum Indonesia - Emirates Amazing Week (IAEW), witnessed directly by the Coordinating Minister for Maritime Affairs and Investment, Luhut Binsar Panjaitan and the United Arab Emirates (PEA) Minister of Energy and Infrastructure ), Suhail Al Mazroeui.

ADNOC

    Meanwhile, the national demand for LPG in 2022 is estimated to reach 8.30 million tons, increasing to 9.12 million tons in 2023 and 10.01 million tons in 2024. 

    Director of Central Marketing & Commerce PT Pertamina Patra Niaga, SH C&T PT Pertamina (Persero), Hasto Wibowo revealed that this collaboration ensures the safety of the national LPG supply which is projected to continue to increase every year.

"Currently, the balance of national LPG import needs reaches 6 million tons per year. Hopefully, with this cooperation Pertamina can expand supply sources and maintain supply stability," said Hasto.

Bhirawa, Page-10, Monday, March 8, 2021

Pertamina is optimistic that the Rokan Block will boost Riau's economy

 

    PT Pertamina Hulu Rokan (PHR) is committed to maximizing the potential of the Rokan Block not only to supply national needs but also to boost economic development in Riau. After taking over management from PT Chevron Pacific Indonesia (CPI), PHR projects that the block's oil production will reach 1.5 billion barrels.

PT Chevron Pacific Indonesia (CPI)

    PHR Upstream Project Leader Feri Sri Wibowo said that his party has four commitments in working on the Rokan Block. First, contribute from the results of the Block Rokan to Regional Revenue Sharing. Second, regional-owned enterprises are entitled to a 10% participating interest (PI) in the Rokan Block based on the Decree of the Minister of Energy and Mineral Resources 1923 K / 10 / MEM / 2018.

the Rokan Block

    Third, the Rokan Block operational activities will involve the participation of local companies, both in the form of goods, services, and labor, so that it will drive the economy of the Riau people.

"Finally, corporate social responsibility activities will synergize with local governments so that they are right on target and according to needs," he said.

    The Rokan Block has a strategic role in the country's oil and gas industry by supporting oil production of 24% of national production. To that end, PHR has planned a number of new production programs, such as infill drilling, workover and well intervention, exploration, optimization of water injection (waterflood) and steam flood, and others.

"The target is that the Rokan Block can produce a total of 1.5 billion barrels in two decades," said Feri.

    PHR signed a production sharing contract / PSC Block Rokan and approved by the Minister of Energy and Mineral Resources (ESDM) on May 9, 2019. The term of this production sharing contract is 20 years in 2021-2041. The contract will be effective starting August 9, 2021, using a gross split scheme. 

    Currently, the process of transferring management of the Rokan Block from CPI to PHR is taking place according to its stages. This transition will take up to 23 weeks. General Manager General Affairs and Operations Support of PT CPI Sukamto Tamrin said the transition process had been carried out since 2019.

"We really want the transition process to take place smoothly, orderly, and safely," said Sukamto.

    PHR has a transition program in nine main areas to ensure the continuity of all operations and routine activities of the Rokan Block when it becomes an operator. In addition, during the transition period, CPI and PHR have planned and compiled a Well drilling program this year. This step is one of the efforts to prevent the decline in Rokan Block oil production.

    Pertamina has the potential to drill 84 wells during the August-December period this year. For this reason, discussions are currently underway between PHR and CPI regarding the drilling execution by the CPI until August 8 and the PHR drilling program starting from August 9. 

    In addition to drilling, PHR and Chevron also discussed electricity and steam supply, contracts and SCM, information technology and Petrotechnics, data transfer, human capital, standard operating procedures (SOP) and, licensing chemical Enhanced Oil Recovery/chemical EOR, and environment and abandonment restoration/ASR. 

    To support the transfer of the management process, PHR and CPI also coordinated with the Head of Riau Regional Police, Inspector General Agung Setya Imam Effendi. Setya asked all parties not to get caught up in issues that could harm the state.

"The things that arise from this transfer of management process should be examined first. Hopefully, oil production will be maintained, theft of production facilities will decrease, and illegal tapping will be 0%, ”he said.

    The Rokan Block has five large fields, namely Duri, Minas, Bangko, Balam South, and Petapahan, which are spread across five districts in Riau Province. To note, during its heyday in 1973, the Rokan Block oil production almost reached 1 million barrels per day (BPD). However, the production of this oil and gas block continues to decline over time.

Blogger Agus Purnomo in SKK Migas

    In 2011, the Rokan Block still produced around 356.98 thousand BPD of oil or contributed 39.56% of the total national oil production at that time of 902.35 BPD. However, referring to SKK Migas data, last year, oil lifting in this block was only 174,424 BPD or 24.62% of the total national oil lifting of 708,488 BPD. In 2021, the Rokan Block is targeted to produce oil of 165,002 BPD.

Investor Daily, Page-10, Thursday, March 4, 2021

Again, Oil Reserves Found in Madura

 

       Petronas, through its company, PC North Madura II, managed to find oil reserves through the Hidayah-1 Exploration well in the North Madura II Working Area, which is located off the coast of East Java, Indonesia. The discovery was a result of the Hidayah-1 Exploration well drilling started on January 7, 2021, and has reached a depth of 2,739 meters.

Emeliana Rice-Oxley

    Vice President of Exploration, Upstream Petronas Emeliana Rice-Oxley said, Hidayah-1 well managed to find a reservoir layer containing good quality oil in the Ngimbang Carbonate Formation and had a flow test result of 2,100 barrels of oil per day (BOPD) with high quality also good.

"The discovery of the Hidayah-1 Exploration well is a major historical landmark for the North Madura II Work Area as evidenced by the potential for an oil-filled reservoir layer in the area," said Emeliana Rice-Oxley.

"This also encourages the development of the large promising potential of Exploration in Indonesia," said Emeliana Rice-Oxley.

Blogger Agus Purnomo In SKK Migas

    According to the plan, the results of the Hidayah-1 Exploration well drilling will be further evaluated to determine the potential size of these reserves. Meanwhile, Deputy for Planning of SKK Migas Jaffee A Suardin said that currently, his party is conducting a final analysis related to determining the number of resources.

"Of course, this discovery in the future will provide benefits for local governments and local communities after the potential for oil can be produced," he said.

Surya, Page-7, Friday, Feb 26, 2021