Chevron to make final decision on Bangka field in 2013
Saturday, January 14 2012 - 02:44 AM WIB
Chevron Indonesia will only make a final investment decision (FID) regarding the development of the Bangka gas field in 2013 as it is still awaiting results of a number of important related programs such as the signing of engineering, procurement and construction (EPC), gas sales purchase agreement, and the extension of the production sharing contracts.
Upstream authority BPMIGAS said that Chevron made the commitment during the visit of the agency?s chief to the Santan crude oil terminal in East Kalimantan, recently.
The Bangka field is one of deep-water gas fields in Makassar Strait which will be developed by Chevron. Chevron said that the Front End Engineering Design (FEED) for Bangka field had been completed at the end of last year.
BPMIGAS Chairman R. Priyono, said that the development of the deep-water gas fields should begin as soon as possible. ?The development of the gas field can not be delayed because it is part of crucial projects,? he said, adding that one-delay could cost the government billions of rupiah.
Chevron has been engaged in oil and gas exploration and production for more than 40 years. Chevron Indonesia Company and Chevron Makassar Ltd operate four offshore oil and gas blocks in East Kalimantan, which include East Kalimantan, Makassar Strait, Rapak, and Ganal.
The company operates 63 rigs and 15 productive fields. Oil and gas production totaled 56,100 barrels of oil equivalent per day (BOEPD), five percent above the target stated in the 2011 work program and 9 percent higher than actual production of 51,600 BOEPD in 2010.
Editing by Roffie Kurniawan