Two partners given 3 months to review SNS Block B data
Tuesday, August 25 2015 - 01:37 AM WIB
Two non-operating partners in the South Natuna Sea Block B PSC, namely US oil major Chevron Corp. and Japanese firm Inpex Corp., have been given three months to review the data room of the block, following the intention of the block?s operator, American firm ConocoPhillips, to farm out its interest in the block, according to an official of upstream authority SKK Migas.
Early of this month, Conoco received permission from SKK Migas to open the data room of the block as part of the farm-out plan. Conoco through its Indonesian subsidiary ConocoPhillips Indonesia operates the block with 40 percent interest. Chevron has a 35 percent interest with the balance held by Inpex.
"As partners, the two companies have already access to the data room, but they do not own the reservoir?s data and other supporting data. So now all of the reservoir?s data of the block is opened for review by Chevron and Inpex within three months," SKK Migas Head of Public Relations told Zudaldi Rafdi Petromindo.com.
But, Zudaldi said he did not know who received permission to have the first look at the data room.
"Both companies are prioritized (to acquire the Conoco?s interest). The review is under way. But, I do not know whether Chevron or Inpex is the first to do the review," he said.
When contacted, Vice President for Policy, Government, and Public Affairs at Chevron Indonesia, Yanto Sianipar confirmed to Petromindo.com that his firm is taking part in the farm-out process.
Conoco says in its website that the block?s net production in 2014 reached 29,000 boepd including crude oil (5,000 bopd), gas (117 MMscfd) and natural gas liquid (4,000 bopd). The block was awarded in 1968, started production in 1979 and expires in 2028. Natural gas from the block is sold to Singapore and Malaysia through two long-term contracts via the West Natuna Transportation System Gas Pipeline.
The block is one of the two main upstream producing assets owned by the company in Indonesia. The other one is Corridor block B PSC onshore South Sumatra.
Editing by Johannes Simbolon