Pertamina to take 0.7 mtpa of gas from Jangkrik fields

By Febry Silaban

Upstream authority SKK Migas said state owned oil and gas firm PT Pertamina (Persero) has signed a Heads of Agreement (HoA) with Italian firm Eni Spa for gas supply from the Jangkrik fields in Muara Bakau PSC, East Kalimantan.

?Pertamina is definitely going to take gas from the Jangkrik fields amounting to 0.7 million tons per year (mtpa), but it is still in the HoA,? Deputy for Commercial Control at SKK Migas, Widhyawan Prawiraatmadja told Petromindo.com.

In addition, he said, Eni plans to allocate 30 percent of its future gas production from the fields for state owned fertilizer firm PT Pupuk Kaltim (PKT). Currently Eni is negotiating with PKT on a sales and purchasing agreement for Jangkrik?s gas.

?Gas production from the fields will be very large, reaching 2.7 mtpa. Over 40 percent of the gas allocated to the domestic market, while 60 percent for export,? he said.

Construction is now in progress at Muara Bakau to develop two fields, namely Jangkrik and Jangkrik North East. The fields are projected to start producing gas in 2017 with a combined volume of 450 mmscfd.

Editing by Johannes Simbolon