Ministry approves PoD of Pearl?s E. Kalimantan gas block

Upstream oil, gas regulatory body BPMIGAS said on Monday that the Ministry of Energy and Mineral Resources has approved plant of development (PoD) of gas field at Sebuku PSC, offshore East Kalimantan.

BPMIGAS's Planning Division Head Handoyo Eko Wahono did not give further detail.

Pearl Energy, a subsidiary of Abu Dhabi firm Mubadala Development Company has 100 percent stake in the block.

Earlier, Gadjah E. Pireno, Exploration manager of Pearl Energy Group Indonesia told Petromindo.Com that the company had submitted plan of development of the block, which location is close to South Kalimantan, to upstream authority BPMIGAS and expected the field could start production in 2010. The field, which has 300 BCF reserves, could produce gas at the rate of 100 MMCFD.

Gadjah said under the scenario to send Sebuku gas to Bontang, Pearl will build a 300-km 14 inches pipeline to flow gas to VICO Indonesia?s Senipah facility and would flow gas from Senipah to Bontang LNG using VICO?s existing pipeline.

Gadjah said Pearl will spend US$300 million to develop the field. (godang)