The Indonesian Oil Lifting 2023 Has Only Reached 607.5 Thousand Barrels, ESDM Opens Voice

Illustration (Photo: Doc. Antara)

JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) has opened its voice regarding the achievement of Indonesian oil lifting which has not reached the target.

It is known, the Ministry of Finance reported that the realization of new oil lifting reached 607,500 barrels of oil per day (BOPD) and was still low when compared to the target of 660,000 BOPD.

Meanwhile, the gas distribution throughout 2023 has only realized 964,000 barrels of equivalent oil per day (BOEPD) from the assumption set at 1.1 million BOEPD.

The Director General of Oil and Gas of Earth, Tutuka Ariadji, admitted that this was due to the condition of Indonesian oil wells which were already old, thus lowering the pressure and reserves of existing oil.

"Our field is old, so the pressure and reserves have decreased," said Tutuka to the media quoted on Thursday, January 4.

Tutuka continued, the second factor that causes lifting not to reach the target is disruption to production facilities.

He gave an example of the many pipes that need to be replaced because they are no longer suitable for use, such as at Pertamina Hulu Energi Offshore Southeast Sumatra (PHE OSES) and Pertamina Hulu Energi Offshore North West Java (PHE ONWJ).

"The equipment needs to be replaced first. Later, when there is an increase in production, it can be done with more advanced technology," continued Tutuka.

Previously, ESDM Minister Arifin Tasrif said domestic oil production was still below the target.

For this reason, his party will boost natural gas lifting in 2024.

"The oil does not (achieve the target). The gas is God willing. Next year, we will encourage more gas," said Arifin, quoted on Monday, December 11.

Arifin emphasized that even if you rely on gas, gas production cannot be pushed every year but must also be supported by massive exploration activities to find giant gas reserves.

"But oil and gas can't be done every year, for example, we encourage ENI to push 2028, now we are looking for big ones first," continued Arifin.