Muara Bakau PSC to start production 2017
Wednesday, December 10 2014 - 05:19 AM WIB
Production at the Muara Bakau PSC in the Makassar Strait is projected to start in the first quarter of 2017, according to a senior official at upstream oil and gas authority SKK Migas.
As of the first week of December, development progress of the Muara Bakau PSC, operated by a unit of Italian oil firm Eni Spa, has covered 15 percent of the targeted works.
?Peak production is projected to reach 450 million cubic feet per day,? said Eko Hariadi, Head of the Muara Bakau Project Acceleration Unit at SKK Migas on Wednesday on the sidelines of a visit at PT Saipem Indonesia facility in Tanjung Balai Karimun, Riau Islands.
The Muara Bakau PSC comprises of two major gas projects namely the Jangkrik project and the Jangkrik North East project (JNE). The first is estimated to have a production rate of 300 mmscfd, while the second 150 mmscfd.
SKK Migas Spokesman Rudianto Rimbono said that the Jangkrik project covers three discovery wells including JKK-1, JKK-2 and JKK-3. Plan of development for the project was approved in 2011.
Meanwhile, the JNE project covers two discovery wells including JNE-1 and JNE-2, with POD approved in 2013.
Investment for the Jangkrik field is estimated at US$2.8 billion, while for JNE at $1.2 billion.
The Muara Bakau projects consists of three main works including engineering, procurement, construction and installation (EPCI)-1, EPCI-2, floating production unit, receiving facility installation, and a subsea production system.
The facility at the Jangkrik complex is designed for an operational period of 20 years with capacity of 450 mmscfd of gas and 1,500 barrels of condensate per day.
The Muara Bakau PSC, signed in 2002, is 55 percent owned by ENI Muara Bakau BV, a unit of Eni Spa, ad 45 percent by French GDF Suez Exploration Indonesia BV.
Editing by Reiner Simanjuntak