SBY inaugurates Sisi-Nubi 2B, Ruby gas field projects
Tuesday, September 16 2014 - 01:40 AM WIB
?These projects shows the hard work of the oil and gas industry players which continue commitment to look for new oil and gas reserves in Indonesia,? said Acting Chairman of upstream oil and gas authority SKK Migas, J. Widjonarko in a statement issued by the Ministry of Energy and Mineral Resources (MEMR) Tuesday. The two projects require combined investments of Rp 13.6 trillion, the statement added.
The Sisi-Nubi Phase 2B operated by Total E&P Indonesie is part of the development of Sisi-Nubi field in Mahakam Block located offshore of Kutai Kartanegara, East Kalimantan, Total said in a statement.
Sisi Nubi Phase 2B project consists of installation of two new wellhead platforms (namely WPS2 in Sisi field and WPN3 in Nubi field) together with pipelines to existing platforms on each fields, it said.
Sisi Nubi Phase 2B is part of the approved plan of development the Sisi-Nubi Phase 2 (Phase 2A and 2B) which will contribute 35 additional wells and the budget of US$1,033 million(in which $739 million is for Phase 2B), the company said. The operations started on August 24, 2013 with the installation of the jacket of the new wellhead platform WPS2.
Overall, the offshore work took several months, and involved more than 1,200 workers and 42 ships of various types. "This project involves a large number of people, equipment and complex operations and our primary focus will remain safety during this offshore operation," said Hardy Pramono, President & GM Total E&P Indonesie, in the statement.
All of the projects? engineering and fabrication work was carried out in Indonesia with contracts awarded back in January 27, 2012 to PT Gunanusa Fabricator and PT Rajawali Swiber Cakrawala. ?The involvement of national companies, national products and engineers in those projects further exemplifies Total E&P Indon?sie?s commitment to support the development of Indonesia industry,? the statement said.
Total/Inpex spends $2.5 billion per year in average for Mahakam PSC?s expenditure, and this project further underline Total/Inpex?s continuous commitment to invest in the Mahakam PSC, the statement said. Total E&P Indonesie had previously installed 3 other new platforms in 2012 in Stupa, West Stupa and East Mandu new fields, part of the South Mahakam Phase 1&2 project and by mid 2013, 6 new platforms have been added to the Mahakam PSC.
Meanwhile, the MEMR statement said that the Ruby gas field development in the Sebuku Block, operated by Mubadala Petroleum, requires investment of Rp 5.5 trillion.
Production at the Ruby field stands at 85 bbtud, all allocated for the domestic market, specifically fertilizer firm PT Pupuk Kalimantan Timur (PKT) under a contract valid until December 31, 2021. About 250 bcf of gas will be channeled throughout the productive life of the field.
Editing by Reiner Simanjuntak