Realized oil, gas drilling program far below target

Monday, November 10 2014 - 12:57 AM WIB

As of end of October of this year, oil and gas contractors in the country have drilled a total of 1,036 wells, including 67 exploration wells and 969 development wells, upstream oil and gas authority SKK Migas said in a statement obtained Monday.

The realized drilling program, however, is still below the 2014 drilling program target of 1,456 wells, comprising of 132 exploration wells and 1,324 development wells.

?Among of the obstacles are supply and schedule of rig, land and location permits, said SKK Migas Public Relations Head, Rudianto Rimbono in the statement.

The statement said that of the 132 exploration wells to be drilled this year, only 67 have been realized to date, or about half of the target. Of the realized figure, 52 were oil and gas conventional wells, with the remaining 15 non-conventional wells.

Of the planned 49 seismic, geology and geophysics surveys, only 31 have been realized so far. Challenges include permit from regional administration, internal study and activity encroaching national water park.

Meanwhile, of the planned drilling of 1,324 development wells, 969 have been realized, or 73 percent of target. The number of rigs engaged was 62 units, comprising of 45 onshore and 17 offshore. ?The challenges faced in drilling of exploration and production wells are the same,? Rudianto said.

Other activities include work over program. Out of the targeted 1,102 wells, as many as 833 wells have been realized, or 76 percent of the target. Meanwhile, well maintenance program covered 24,028 wells, or 74 percent of the targeted 32,657 wells.

From the drilling of development wells, crude output obtained stands at 52,685 bpd and gas at 582 mmscfd. From the work over and maintenance programs, additional oil output of 26,000 bpd and gas of 286 mmscfd were derived. The total additional oil output is 78,685 bpd, and gas output 867 mmscfd. ?The extra output is to fill the production gap due to the annual natural decline,? Rudianto said.

Editing by Reiner Simanjuntak

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