ONWJ oil production exceeds target
Monday, July 23 2012 - 03:01 AM WIB
PT Pertamina Hulu Energi claimed to have exceeded its target in Offshore North West Java (ONWJ) Block this month with production of oil reaching 35,5 mbopd and gas at 197 mmscfd. The production was significantly increased after gas from CNOOC has started flowing to PHE ONWJ.
In May 2012, PHE ONWJ reached a deal with CNOOC to buy gas in order to increase production in the block. Based on the sale and purchase agreement, PHE ONWJ will get gas at 1 bbtud for three years from CNOOC.
During 2012, ONWJ targets to produce oil at 35,200 bopd and gas at 205.5 mmscfd.
"Alhamdulillah, oil production from ONWJ reached 35.5 mbopd and gas at 197 mmscfd. This is because gas from CNOOC has started flowing after its valve malfunction in Zelda has been repaired,? PHE President Director Salis Aprilian told Petromindo.com in Jakarta on Monday.
Salis is optimistic that the production of ONWJ can reach up to 40,000 bopd and 210 mmscfd . If realized, it will surpass its target of 35,200 bopd and 205.5 mmscfd.
Several days ago, Salis noted that there was a breakdown in Zelda and being repaired by CNOOC. But it had been fixed on Sunday afternoon (July 22).
"Actually, it was not a leakage, but its valve was out of function so that gas flow was temporarily stopped. Repairment has been completed. The repairment will be finalized this afternoon and the gas will start flowing,? BPMIGAS Public Relations Division Head Alfonsius Rinto Pudyantoro told Petromindo.com in Jakarta on Sunday.
Rinto said that the program was a strategic agreement for both PSC contractors in the long term. Gas used under the agreement is flare gas that is optimized to fire the electric submersible pump, which is used in its Zulu field..
According to him, PHE ONWJ will get the gas at 1 bbtud from CNOOC?s Zelda field to its Zulu field for three years at the price of US$5,4 per mmbtud with an escalation of 3 percent.
Editing by Benget Besalicto Tnb.