Sidayu field estimated to have production rate of 10,000 bopd

By Bernard Loebs

PT Saka Energi, a subsidiary of IDX-listed gas distribution firm PT PGN Tbk, said that production at the Sidayu field in Pangkah block, offshore East Java, is now projected to start in 2020 at a rate of 10,000 bpd.

Saka Energi President Director Tumbur Parlindungan said on Friday that plan of development (POD) for the Sidayu field is expected to be completed in the third quarter of next year.

This is a slight delay from the mid-2017 target initially announced by Tumbur during a September 19 press conference unveiling the completion of the drill stem test at the Sidayu 4 exploration well. It was hoped that production could start in 2019.

Tumbur said that the completion of the DST at Sidayu 4 well wraps up the exploration activity at the Sidayu structure. The Sidayu field is estimated to hold reserves of 300 million barrels of oil.

Production at the Pangkah block currently comes only from the Ujungpangkah field. Sidayu will become the second field to contribute to the production of the block.

Tumbur said that future exploration activities will be carried out in the western and norther part of the block, with drilling activities planned for 2017 and 2018, in the hope that discovery in the areas can start production in 2022.

The Pangkah block, located off the northeast coast of Java, is 100 percent owned by Saka. The firm bought out the block from American firm Hess Corp in two transactions worth US$915 million executed in 2013 and 2014.

Editing by Reiner Simanjuntak