By Bernard Loebs
The upstream oil and gas authority SKK Migas said Repsol SA of Spain will soon carry out environmental impact assessment (Amdal) study before starting the physical development of the Sakakemang block, which is located in Musi Banyuasin, South Sumatera.
Division Head for Program and Communication at the upstream oil and gas authority SKK Migas, Wisnu Prabawa Taher, said the company is currently procuring consultation service for the development of the Amdal document for the project.
Repsol announced in February of this year new gas discovery of about 2 tcf at the Sakakemang block, which was dubbed by SKK Migas as giant discovery. The company, however, said that it needs to carry out another drilling to confirm the discovery.
Last week, SKK Migas said Repsol SA has proposed plan of development (POD) for Sakakemang block, with lower certified gas reserves of 1 trillion cubic feet (tcf), compared to earlier announcement of 2 tcf.
The Head of SKK Migas Dwi Soetjipto said the lower certified gas reserves was done intentionally in order to speed up of the development of the Sakakemang block.
The Sakakemang block is operated by Talisman Sakakemang B.V., which holds a 45 percent interest, while Malaysia’s Petronas holds another 45 percent interest, and Mitsui Oil Exploration Co. Ltd holds the remaining 10 percent interest. Repsol acquired Talisman in 2015.
Editing by Roffie Kurniawan