Indonesia Authorities Approve Sumatra's Akatara Field Development Plan

Ramba Energy Limited (Ramba or the Group), an oil and gas exploration and production company with interests in Indonesia, announced Monday that the Group has received approval of the first Plan of Development (POD) for the Akatara Field, located in the Lemang block, Sumatra, Indonesia.

Approval of the POD was granted by the Ministry of Energy and Mineral Resources of Indonesia and Indonesia’s upstream oil and gas regulator SKK Migas (Satuan Kerja Khusus Minyak dan Gas), and marks one of the final steps for the Group in commencing oil and gas production from the Lemang block.

Development of the Akatara Field and commercialization of the Lemang block will commence immediately with a view to commence production within six months at an initial rate of 1,635 barrels of oil per day (bopd) and 4.10 million standard cubic feet of natural gas per day (MMscf/d) in late 2017.

The Lemang block is Ramba’s largest field by acreage and resource potential. In a 2011 independent study, international petroleum consultancy DeGolyer & MacNaughton estimated the block as holding prospective resources in the amount of approximately 511 million barrels of oil and 468 billion cubic feet of gas.

Since 2012, the Group has made three commercial oil and gas discoveries at the Selong and Akatara structures with an aggregate flow rate from the discoveries of approximately 9,500 barrels oil equivalent per day (boepd).

In 2014, following these successful discoveries, international petroleum consultancy RISC Operations Pty Ltd. evaluated the development concept for the Lemang block’s Selong and Akatara structures, projecting peak production at 57,000 bopd and 101 MMscf/d for the high-case scenario (P10), 25,000 bopd and 47 MMscf/d for the mid-case scenario (P50), and 11,000 bopd and 26 MMscf/d for the low-case scenario (P90).

David Aditya Soeryadjaya, CEO of Ramba, said, “The approval of the Plan of Development for the Akatara Field is a reflection of regulatory and government confidence in Ramba’s strategy for the Lemang block, and marks a big step in realizing our vision for the block.”