Pertamina HE Commences Operations at Siak Block in Sumatra



Indonesia's national oil and gas company PT Pertamina announced that its subsidiary PT Pertamina Hulu Energi (PHE) officially commenced operations at the Siak block in Riau province, Sumatra, Indonesia May 28 following expiration of the contract between the government and Chevron Siak Indonesia.

PHE assumed operatorship of the Siak block after PHE Siak President Director Bambang Kardono and SKK Migas chief Johannes Widjonarko inked the production sharing contract (PSC) May 26

“After being discussed for six months, finally, the Siak block ... has been officially taken over by PHE Siak. The production of the block currently reaches 1,800 barrels of oil per day (bopd). By owning 100 percent share in the block, which comprises Lindai field, Batang field and South Menggala field, we hope that the block can contribute in our effort to increase Pertamina and PHE’s production,” M. Husen, Pertamina upstream director said in a company release.

PHE will now focus on increasing production at the Siak block, with the latest addition boosting its oil production to 71,000 bopd, up from the current 68,000 bopd.

Chevron Corp., the previous operator, has maintained operation and production in the six month transition period from Nov. 27, 2013 to May 27, 2014.

“Within that period, we have also built good cooperation between PHE and Chevron so that the Siak block handover process can be done smoothly,” Husen commented.



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