Smog problem in Riau hampers oil, gas production

By Godang Sitompul

The ongoing smog problem in Riau and the surrounding areas has hampered oil and gas production activities in the region, causing potential production loss estimated at 12,000 bopd since March 11, the upstream oil and gas authority SKK Migas said in a statement late Sunday.

?This is a very serious condition. If it continues like this, national oil production will be undermined considering that Riau is one of the national oil production backbones,? said Handoyo Budi Santoso, Head of Public Relations at SKK Migas in the statement.

The largest production loss potential comes from the Rokan working area operated by PT Chevron Pacific Indonesia (CPI), the statement said. Poor air condition quality has forced CPI to carry out emergency maintenance into the North Duri Cogen, causing a power shedding of 70 MW. As many as 573 wells, and 19 units of water injection pumps have to be shut down, as a consequence. In addition, several construction and maintenance of production facilities have also to be suspended due to minimal visibility in the project locations.

?This has caused potential production loss of 8,800 bopd from the working area,? Handoyo said, adding that suspension of operation would increase operational cost of the rig.

Separately, Head of Survey and Drilling Division at SKK Migas, Arief Fanzuri told Petromindo.com on Monday that CPI has suspended the operation of 15 drilling rigs due to the smog problem.

Operational activity has become more limited as per March 13, all operational working areas of PT CPI have been declared as in ?red? category, which indicates that the pollution standard index has already reached above 500 PSI, forcing the reduction of outdoor activities.

Operational disturbance has also been suffered by PT BOB-Bumi Siak Pusako, which operates the Coastal Plains and Pekanbaru (CPP) working area, with potential production loss estimated at 4,000 bopd.

Thick haze has also affected operations in the Malacaa Strait working area, operated by EMP Malacca Strait, with potential production loss estimated at 7,000 barrels (cumulative).

?We hope all sides can work together to overcome this problem so that disturbance to production will not be prolonged,? Handoyo said, while adding that the upstream industries have also been making efforts to help deal with the problem.

CPI, for instance, has assisted the National Disaster Mitigation Agency (BNPB) to help deal with the hotspots within the company?s working areas and outside.

Editing by Reiner Simanjuntak