SKK Migas Targets An Increase In Exploration Investment Up To 200 Percent

Illustration (Photo: Doc. Antara)

JAKARTA - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) targets exploration investments in 2024 to be more massive and aggressive.

In the agreement contained in work, the program & budget (WP&B), for 2024 SKK Migas and Cooperation Contract Contract Contract Contractors (KKKS) have agreed on an exploration investment target of US$1.8 billion or an increase of 200 percent compared to the realization of exploration investment in 2023 which amounted to US$0.9 billion.

Deputy for Exploration of the Development and Management of the SKK Migas Working Area Benny Lubiantara said that since 2023 there has been a shift in exploration targets with a greater targeted prospect, namely the classification of exploration discoveries in the range of 100 to 500 million oil equivalents (MMBOE).

"We are grateful that in 2023 we managed to get a total resource discovery of 1,711.77 MMBOE or the largest in 23 years or since the discovery on the Eternal Field in 2000," Benny told the media, Friday, January 19.

Benny said the 2024 prospect is greater, namely above 500 MMBOE so that drilling exploration wells this year will be in new areas and deep seas.

In his explanation, Benny said that the exploration investment target of 1.8 billion US dollars was for drilling 50 exploration wells, an increase of about 31 percent from the realization of drilling exploration wells in 2023 which was 38 wells.

Just so you know, the performance of drilling exploration wells has continued to increase in the last 4 (four) years. If in 2020 the number of drilling exploration wells is 28 wells, then in 2023 it will increase to 38 wells which is the highest number since 2017.

"In 2024, SKK Migas and KKKS will be even more massive in exploration well drilling programs," continued Benny.

Benny also said that exploration investment continues to increase with the discovery of big fish-giants and deep seas. He stressed that exploration activities and investments will be even more regressive in 2024.

"The potential of upstream oil and gas is currently in the deep sea, therefore SKK Migas continues to encourage exploration investment in the deep sea. We are grateful that in 2023 the hard work of SKK Migas and KKKS managed to produce 2 (two) giant disclosures in the deep sea, namely the North Gang in East Kalimantan and Screen-1 which are located in South Andaman off the coast of North Sumatra," said Benny.