Premier Oil 2002 Indonesian activities
Tuesday, March 25 2003 - 04:47 PM WIB
Record levels of production were achieved in Indonesia in 2002 as demand from gas buyers in Singapore grew steadily throughout the year with the completion of end user facilities. In addition, extra revenues from gas production arose in May and June when Premier sold gas to make up for delivery shortfalls experienced by another partner in the West Natuna gas project. Accordingly net production amounted to 18,300 boepd, an increase of 78 percent from the preceding year.
The Anoa gas export and oil production facilities have been operated by Premier with an excellent health, safety and environmental record, and no lost time incidents occurred during the year. The facilities have performed well, with no significant down-time and Premier was able to meet all of its contractual sales requirements during the year.
Whilst Anoa oil volumes continue to fall, the rate of decline is slow and volumes delivered in 2002 are slightly ahead of forecast. Technical work is being undertaken to examine ways in which oil recovery can be maintained as high as economically possible. During the year engineering work on the development of additional uncontracted gas reserves discovered on block A has continued.
In December the first of two exploration wells on the eastern Area IV segment of block A was spudded. Both wells - Kuda Nil and Binturong - have since been plugged and abandoned with non-commercial oil shows. Further work is underway to assess the remaining potential of Area IV.(*)