Oil production increasing

Indonesia?s total production of oil has increased to an average of 830,900 barrels per day during the first quarter of this year, from an average of 825,000 barrels per day during the previous quarter of October to December in 2012.

Upstream authority SKK Migas reported that in fact during March this year the production reached even higher, up to an average of 840,000 barrels per day.

?This success is the success of all stakeholders of energy and mineral resources ministry, PSC contractors, local administrations, general public, coordinating ministry of economy, forestry ministry, the house of representatives in the upstream oil and gas industry,? SKK Migas announced on Friday.

SKK Migas Chairman Rudi Rubiandini noted that with a concerted effort involving all stakeholders, his institution has managed to realize the target of zero decline, and even now it has shown a tendency to rise.

?Normally, the oil production will continue to drop if no efforts pursued to arrest the declining trend. Should we not implement the arresting efforts, we?ll see a decline of 15 percent from the previous 825,000 barrels per day. Now, we?ve even managed to reverse the trend as we have seen it rising,? said Rudi, adding that he highly appreciated all of the PSC contractors, especially those successful in realizing the production targets set in their WP&B (Work Program and Budget) 2013.

Based on data from SKK Migas, during the first quarter this year, ConocoPhillips surpassed its production target by 20 percent from 30,100 barrels per day to 36,084 barrels per day, VICO Indonesia surpassed its WP&B target by more than 6 percent from 13,800 barrels per day to 14,661 barrels per day, CNOOC SES Ltd by more than 5 percent from 33,488 barrels per day to 35,469 barrels per day, PT Pertamina Hulu Energi Offshore North West Java (PHE ONWJ) by more than 4 percent from 36,406 barrels per day to 37,918 barrels per day. Total E&P Indonesia by more than 2 percent from 67,990 barrels per day to 69,627 barrels per day, and Mobil Cepu Ltd from 24.452 barrels per day to 24,580 barrels per day.

?We hope that in the next quarter, this increasing trend will continue. We also hope the PSC contractors will do more drillings, workover, and well services to stop the declining trend or to increase their existing production,? he said.

Editing by Benget Besalicto Tnb.