PHE ONWJ determined to meet production target this year
Monday, October 3 2016 - 03:30 AM WIB
This was revealed by stated-owned oil and gas firm PT Pertamina, the ultimate owner of PHE ONWJ, in a statement last week but did not provide comparative figure.
PHE ONWJ President Director/GM, Irwansyah said the company in the remaining period of this year aims to boost production to meet the 2016 targets set by the upstream oil and gas authority SKK Migas of 37,000 bopd oil output, and 163 mmscfd of gas production. Oil lifting target has been set up at 36,500 bopd, while gas lifting at 147 mmscfd.
Irwansyah said in the statement that to help meet the targets, the company has planned a number of optimization activities such as well optimization, well-maintenance and work-over programs. ?For example is the progressing work-over program at two wells, each with target of 1,000 bopd,? he said.
He added that some programs planned for 2017 will be moved forward to 2016 particularly those which do not require authorization of expenditure.
Irwansyah said that the production facilities at ONWJ block are quote aging, which have been operating since 1971. ?We have to be able to overcome the various obstacles such as leaks at production facilities, and other operating problems,? he said, adding that this block remains PHE?s major asset as its gas and oil production is still the largest, especially when the government increases PHE?s interest in the block next year.
The ONWJ contract is set to expire next year. The government has decided to increase PHE OWNJ?s interest in the block to 72.5 percent when it renews the contract, while lowering the interest of other shareholders including Kufpec (currently owns 5% interest) and PT Energi Mega Persada (36.72%). Kufpec plans to pull out from ONWJ block when the contract expires.
Editing by Reiner Simanjuntak