Observe Indonesian Government Strategy to Increase National Oil and Gas Production

April 27, 2024, 08.35 AM | Reporter: Diki Mardiansyah

ILUSTRASI. Aerial photo of the East Pondok Aren (EPN) -001 exploration well at the PEP Tambun Field WK, in Sukawijaya Village, Tambelang, Bekasi Regency, West Java, Wednesday (20/12/2023). PT Pertamina EP (PEP) Regional Java Subholding discovered potential reserves. oil and natural gas in the exploration well in the PEP Tambun Field working area, Bekasi Regency which was drilled on August 18 2023 targeting the Carbonate reservoir target of the Lower Cibulakan Formation, successfully flowing 402 BOPD oil and a gas rate reaching 1.09 MMSCFD at a depth of 2,590 mMD. BETWEEN PHOTOS/Fakhri Hermansyah/Spt.

OIL AND GAS - JAKARTA. The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) has revealed several strategies to boost national oil and gas production.

Hudi D. Suryodipuro, Head of the Program and Communication Division at SKK Migas, stated that about the measures taken by SKK Migas to suppress the decline rate and optimize national oil and gas production, SKK Migas and KKKS continue to increase workover, well service activities, and development well drilling.

In his written statement, Hudi conveyed that these activities have significantly increased. For workover activities, if in 2021 there were 566 wells, then in 2023 it increased to 834 wells or rose by about 47.3%.

"Similarly, well service activities, which in 2021 amounted to 22,790 activities, then in 2023 reached 33,412 or increased by 46.6% in 3 years. For 2024, workover is targeted at 905 wells and well service at 35,690 activities," said Hudi.

Furthermore, Hudi explained that efforts to maintain optimal production are also carried out by increasing development well drilling. If in 2021 the realization of development well drilling was 480 wells, then in 3 years in 2023 it increased to 799 wells or rose by 66.5%.

This indicates that SKK Migas and KKKS are carrying out massive and aggressive activities and working hard to maintain the productivity of oil and gas fields.

"The hard work of SKK Migas and KKKS is evident from the improving trend of oil and gas production, marked by a decline rate that in 2023 is only 1.1% compared to the average decline rate from 2016 to 2022 of about 5%. Even for gas, in 2023 there has already been an incline rate of 2.1%," said Hudi.

He added that the production realization in April 2024 has already shown an increasing trend at 581 thousand barrels. SKK Migas hopes for the support of related stakeholders so that all programs such as well reactivation, drilling, well service, and others can be implemented so that the increasing production trend can be maintained and by the end of this year oil production will be even higher than it is now.

To boost additional oil and gas production, SKK Migas is currently accelerating the completion of upstream oil and gas projects, which in 2024 are targeted to complete 15 upstream oil and gas projects that will provide additional oil production of 46,837 barrels of oil per day (BOPD) and additional gas production of 351 million cubic feet per day (MMSCFD) and 192 MT/D LPG.

"We are optimistic that with the increasing investment since 2021 until now, the increasingly massive various programs and success in keeping production facilities operating optimally, and the completion of upstream oil and gas projects, efforts to boost oil and gas production can be realized," he said.

To support the sustainability of the upstream oil and gas industry in the long term, Hudi said SKK Migas is pushing for acceleration from each discovery to be produced immediately, including how to make a giant discovery in North Ganal and Layaran-1.

"This is our effort that not only pursues short-term targets but also ensures the contribution of the upstream oil and gas industry in the long term to support energy resilience and national development," Hudi concluded.