BP to ramp up W. Java offshore gas production
Friday, May 31 2002 - 12:12 PM WIB
?We are in the process of developing four new well platforms within ONWJ contract area that would increase gas production capacity from 240 million standard cubic feet per day (MMCFD) currently to 300 MMCFD beginning October this year,? said Satya W. Yudha, BP Indonesia vice president for government and external relations on Friday.
Satya said the investment to develop the new platforms was US$ 41.5 million.
Satya said development of the platform was part of BP?s commitment as the block operator to increase gas production capacity to meet the increasing demand of West Java gas consumers.
Development of ONWJ gas production capacity had been delayed during the peak of Indonesian economic crises in 1999 to 2001 because PLN and PGN had to pay for gas in US dollar while their income was in Rupiah.
BP sells its ONWJ gas through pipeline to state electricity company PLN to feed 260 million British thermal unit per day of gas (MMBTU) to Muara Karang and Tanjung Priok power plants owned by PLN in Jakarta and some smaller part to PGN. Gas supply contract to PLN will expire in 2004.
Satya added that BP is tightening security measures in ONWJ to minimize thefts in well platforms that in the past had often caused temporary production decrease.
?Effort of manning some critical remote platform facilities with professional securities and platform hardening efforts had resulted in lower missing incidents,? said Satya.
There are 171 well platforms and 40 processing facilities in the ONWJ, only 17 of the platform are manned.
Satya said that BP would continue to conduct development and exploration works in ONWJ. BP would add more new platforms to further increase gas production capacity and in June would shoot 2D and 3D seismic to decide next exploration drilling location, he said. (alex)