Banyu Urip reaches 40,000 bpd production

The Banyu Urip field of the Cepu block in Bojonegoro regency, East Java has reached the production level of 40,000 barrel of oil per day (bopd) and is on track to reach its peak production of 165,000 bobpd in the middle of next year.

The statement was made by Amien Sunaryadi, new Chairman of upstream authority SKK Migas, on Friday, while accompanying Vice President Jusuf Kalla on a visit to the office of ExxonMobil Cepu Ltd (EMCL), the operator of the block, in Bojonegoro, according to SKK Migas in a statement. Also accompanying Kalla during the visit were several ministers, including Minister of Energy and Mineral Resources Sudirman Said, EMCL?s President Director Jon M. Gibbs, Pertamina?s President Director Dwi Sutjipto, East Java?s Vice Governor Saifullah Yusuf and Bojonegoro?s Deputy Regent Setyo Hartono.

The construction of the project has been 92.5 percent completed until the first week of December. Onshore and offshore pipe facilities, mooring tower, Floating Storage and Off-loading (FSO) have all been installed and are now in commissioning stage. The drilling program has been carried out earlier than schedule. The construction and commissioning are involving 8,600 workers.

Based on Plan of Development (PoD), investment for the project is estimated to be above US$2.525 billion, including $2.188 billon for the construction of production facilities, $337 million for drilling.

Editing by Johannes Simbolon