SKK Migas Targets Additional Production from Cepu Block and Rakyat Well

JAKARTA - The Special Working Unit for Upstream Oil and Gas Business Activities (SKK Migas) is targeting additional oil production from the Cepu Block managed by ExxonMobil Cepu Limited (EMCL) and a public well, to boost oil production at the end of the gas pipeline network owned by PT Transportasi Gas Indonesia (TGI) in Rokan.

"From the Exxon Cepu Gas Shut-Off and the people's well," said SKK Migas Head Djoko Siswanto, quoted by Antara, Monday, January 26.

Djoksis, his nickname, said that Exxon managed to increase oil production in the Cepu Block through the use of idle wells (wells that are currently inactive).

The additional oil production that can be obtained from the reactivation of the idle well is around 4,500 barrels of oil per day.

Furthermore, for additional oil production from the people's wells, Djoksis still projects that one well produces about one barrel of oil per day.

Thus, from the 45 thousand public wells that were recorded by the Ministry of Energy and Mineral Resources, Djoksis estimated that there would be an additional oil production of around 45 thousand barrels per day.

"Yes (according to the initial estimate)," said Djoksis.

As previously reported, the Minister of Energy and Mineral Resources (ESDM) Bahlil Lahadalia said that the explosion of a gas pipeline owned by PT Transportasi Gas Indonesia (TGI) in Rokan, Riau, caused the loss of oil production in the Rokan well of around 2 million barrels.

Despite the accident, Bahlil said, the explosion was still a mistake that must be held accountable.

Therefore, Bahlil will impose sanctions on officials in the environment of the Ministry of Energy and Mineral Resources and related SOEs.

On the other hand, the Director General of Oil and Gas (Dirjen Migas) Laode Sulaeman said that to cover the lost oil production, the Ministry of Energy and Mineral Resources has the task of increasing production by around 5 thousand-6 thousand barrels per day to fill the loss of oil production due to the explosion of the PT TGI gas pipeline.

Meanwhile, Laode estimates that oil production in Rokan will return to normal in the next few days.