Hess Produces First Gas from Ujung Pangkah

Production sharing contractor Hess succeeded in producing gas from Ujung Pangkah field in East Java last week. For its first output, Ujung Pangkah pumped about 20 - 25 MMSCFD of gas, said Amir Hamzah, head of public relations for the Indonesian upstream regulator BP Migas.

"The gas output is expected to increase gradually to 100 MMSCFD in the near future," Hamzah said.

Aside from producing gas, Ujung Pangkah will also produce oil and condensate at the rate of 5,000 barrels a day this year. "Oil output will reach about 20,000 bpd in 2009, " added Amir.

Hess owns a 75% stake in Ujung Pangkah while the remaining 25% belongs to ConocoPhillips.