PETRONAS Celebrates First Production at Bukit Tua, Kepodang Fields

Malaysia's national oil company Petroliam Nasional Berhad (PETRONAS) marked a milestone Wednesday, as it celebrates the success of achieving first oil and gas for Bukit Tua field and first gas for Kepodang field, two of its largest operated upstream projects in Indonesia.

Director General of Oil and Gas from the Ministry of Energy and Mineral Resources of Indonesia, IG Nyoman Wiratmaja Puja presided over the ceremony, which was held at the Onshore Receiving Facility (ORF) in Gresik, East Java, Indonesia.

Also present at the event were PETRONAS Vice President of Production International, Chen Kah Seong, Chairman of SKK Migas, Amien Sunaryadi, Country Chairman PETRONAS Indonesia and President PC Muriah Ltd. and PC Ketapang II Ltd., Hazli Sham Kassim and the local dignitaries.

"Achieving first oil and first gas in Indonesia is a significant milestone for PETRONAS as it demonstrates our commitment to contribute towards Indonesia’s energy demand and potential growth of the country's energy sector," said Hazli Sham during the ceremony.

"We are pleased to be part of this journey which was only possible with the continuous support from the Indonesian government and SKK Migas," he added.

PETRONAS ventured into Indonesia’s oil and gas industry in 2000. The company is now involved in 10 Production Sharing Contracts (PSC) and operates four of the oil and gas blocks at various stages of development across Indonesia.

Located in the Ketapang block, 22 miles (35 kilometers) north off the coast of Madura Island, East Java, the Bukit Tua field is an integrated oil and gas project and is expected to produce 20,000 barrels of oil per day (bopd) and up to 50 million standard cubic feet per day (MMscf/d) of gas.

Oil from the field will be exported from a Floating Production and Storage Offloading (FPSO) facility while gas will be transported through a 68 mile (110 kilometer) export pipeline to the ORF in Gresik.

Kepodang field at Muriah block is located 112 miles (180 kilometers) northeast of Semarang in Central Java and is expected to deliver 116 MMscf/d of gas.

Both fields are expected to contribute towards fulfilling the energy demand of the country, particularly in East Java and Central Java.

Under the Production Sharing Contracts for Ketapang block and Muriah block respectively, governed by SKK Migas; Indonesia’s oil and gas industry regulator, PETRONAS through its subsidiaries hold an 80 percent equity share for both projects with the remaining 20 percent held by PT Saka Ketapang Perdana and Saka Energi Muriah Ltd. each.


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