SKK Migas And Mubadala Announce Gas Findings In South Andaman

Illustration oil refinery (photo: dock. Antara)

JAKARTA - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) and Mubadala Energy announced the significant discovery of gas (discovery) from the Screen-1 Exploration well, South Andaman Cooperation Contract (KKS), about 100 kilometers off the coast of northern Sumatra, Indonesia.

Mubadala Energy is the Gross Split South Andaman KKS operator and this is the company's first deep well to be drilled to a depth of 4,208 meters at a sea level of 1,207 meters.

Head of SKK Migas, Dwi Soetjipto, said that in the well, a wide column of gas (column gas) with a thickness of more than 230 meters at the Oligocene sandstone reservoir was found. Acquisition of complete data including wireless, coring, sampling and production tests (DST) has been carried out. Wells successfully flow excellent gas quality with a capacity of 30 mmscf/d.

The discovery of this large gas resources disclosure is in line with the Indonesian government's target to achieve the oil production target of 1 million Barrels per Day (BOEPD) and natural gas of 12 Billion Standard Footed Gas Kubik per Day (BSCFD) in 2030.

"On behalf of SKK Migas, I would like to express my gratitude for the hard work and strong dedication shown by Mubadala Energy in drilling the deep sea. And I congratulate you on the success of Mubadala Energy who has succeeded in finding large amounts of gas reserves," said Dwi in a statement to the media, Wednesday, December 20.

Based on a report from Mubadala Energy (South Andaman) RSC LTD which states that from the findings of the Screen-1 well has the potential to reach 6 tcf of gas-in-place, this discovery can exceed the discovery of the North-1 Gang well, Kutai basin and enter the top 3 of the world. SKK Migas will follow up on the report by conducting further evaluation and study.

Dwi conveyed that South Andaman's great discovery became a beautiful gift towards the end of 2023.

"The upstream oil and gas industry will make a new history, the first time Indonesia has received 2 (two) times of great world discoveries (giant discovery) in the same year in 2023," he added.

The discovery of large gas in a row in 2023 shows the success of exploration activities which are the main theme of the upstream oil and gas industry in 2023 and will continue in 2024. Dwi said that the discovery of large gas in South Andaman will increase the competitiveness of Indonesia's upstream oil and gas industry and encourage increased investment in upstream oil and gas in the future.

"We are optimistic that global oil and gas companies, the International Oil Company (IOC) will again place Indonesia as its investment portfolio. Giant discovery in a row will hopefully become a game changer for the national upstream oil and gas industry," concluded Dwi.

Commenting on this large strategic development, Mubadala Energy Mansor CEO Mohammed Al Hamed said, with the company's strategy to expand its gas portfolio to support the energy transition, this development offers significant commercial opportunities and adds momentum to the company's strategic growth.

"This is not only a significant development for Mubadala Energy but is also a major milestone in Indonesia's energy security. We are proud to have achieved this by utilizing our world-class technical and operational capabilities," said Mansor.