PHE discovers new oil, gas reserves in Nunukan block

By Godang Sitompul

Petromindo|Godang

PT Pertamina Hulu Energi (PHE), an upstream subsidiary of state-owned oil and gas firm PT Pertamina, said it has found new oil and gas reserves at the Parang Structure in Nunukan block, North Kalimantan Province.

Alfian Husein, General Manager of PT PHE Nunukan Company, a subsidiary of PHE, told Petromindo.com on Tuesday that the company is currently conducting the third drill stem test, of the planned seven DSTs.

He said that the Parang Structure is estimated to have oil production potential of 2,500 bpd. ?We?ll conduct comprehensive evaluation,? he said.

PHE Nunukan spudded the Parang-1 exploration well in December of last year.

The Nunukan block is operated by PHE Nunukan with a 66.7 percent interest. It partners with Indian firms Videocon Industries (20.83 percent) and Bharat Petro Resources Ltd. (12.50 percent).

Plan of development (POD) for the Badik and West Badik fields in the Nunukan PSC was approved last year, under which the block will produce 60 mmscfd of gas and 1,800 bpd of oil starting in 2019. The new findings will increase the production potential in the Nunukan block.

Meanwhile, Bisnis Indonesia quoted PHE President Director Gunung Sardjono Hadi as saying that the company going forward will conduct 3D seismic and three delineation wells to map out the oil and gas reserves in the Parang structure prior to submitting a new POD, hopefully in 2020.

?The result from Parang field development will later be integrated with the Badik and West Badik fields,? he said.

Editing by Reiner Simanjuntak