Indonesia oil and gas production improved on Cepu’s production

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JAKARTA (TheInsiderStories) – Indonesia’s average daily crude oil output over the 2016’s state budget to 835 million barrels oil per day (MBOPD) in the first quarter. This year, government estimate the average daily crude oil 830 MBOPD.

While, natural gas output at 8,219 million standard cubic feet per day (mmscfd), compared with an average daily output of 8,078 mmscfd in 2015.

Oil and Gas Director General for Energy and Resources Minitry Wiratmadja Puja, said the production increased as a result of a long-awaited production increase at Exxon Mobil’s Cepu block.

The Banyu Urip project in East Java province is operated in partnership with state energy company Pertamina and was expected to reach peak output of 165,000 bpd in January.

Output from Banyu Urip is crucial to Indonesia’s long-term efforts to meet rising domestic oil demand as production declines at its ageing fields.

Yet, Exxon has faced a host of problems and setbacks developing Cepu, Indonesia’s biggest oil and gas find in the last decade, including a worker dispute that slashed output in August.

Crude output from Cepu more than tripled throughout 2015 from around 40,000 bpd in 2014, hitting around 130,000 bpd in December when Exxon commenced operation of the project’s central processing facility.

“Once full field production levels are safely reached, the project will represent approximately 20 percent of Indonesia’s 2016 annual oil production target,” Exxon said in a statement.

The post Indonesia oil and gas production improved on Cepu’s production appeared first on The Insider Stories.

Source: The Insiderstories
Indonesia oil and gas production improved on Cepu’s production

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