SKK Migas Completes Drilling Of 16 Exploration Wells, Up 229 Percent

Illustration (Photo: Doc. ANTARA)

JAKARTA - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) reports that the realization of exploration well drilling successfully completed by the Cooperation Contract Contract Contractor (KKKS) has reached 16 wells, an increase of 229 percent until April 2024.

Head of the SKK Migas Program and Communication Division, Hudi D. Suryodipuro, said that his party encourages massive exploration investment activities in line with the 2024 tagline, namely Boosting Investment for Massive Exploration and Future Growth in Indonesia Upstream Oil and Gas.

For this reason, he continued, this year it is targeted to invest in exploration drilling of US$1.8 billion, an increase of 100 percent compared to last year's achievement of US$0.9 billion.

"Development until April 2024, the realization of exploration well drilling that has been successfully completed by the KKKS has reached 16 wells, an increase of 229 percent compared to the realization in the same period the previous year of seven wells," he said in an official statement, Sunday, June 2.

Meanwhile, when compared to the target of drilling exploration wells as a result of WPnB, the achievement until April 2024 has reached 32 percent of the WPnB target of 50 wells.

Hudi said, if you pay attention to its development until May 31, 2024, it is estimated that the number of exploration well drilling that can be executed by the end of the year is 48 wells, so that the realization until April 2024 has reached 33 percent.

Furthermore, Suryodipuro said that efforts by SKK Migas to encourage massive and aggressive exploration investments have yielded encouraging results.

SKK Migas and KKKS have learned from the implementation of exploration well drilling activities in 2023, which at that time experienced many challenges due to dynamic conditions. Lesson learning and improvement efforts that we carried out managed to get positive results by successfully increasing the realization of exploration well drilling activities which rose by 229 percent," he explained.

In addition to the target of drilling exploration wells in 2024 which is higher than 2023, he continued, the challenge this time is also not light.

Even so, SKK Migas is determined to carry out drilling that can produce major discoveries.

Therefore, continued Hudi, SKK Migas increased its exploration target by shifting from Small-Medium to Medium-Large.

Hudi is also grateful that he has not only succeeded in completing the increasing number of exploration well drilling activities.

In early May 2024, SKK Migas and Mubadala Energy also managed to get major discoveries in South Andaman with a potential of more than 2 trillion cubic feet (TCF) of gas in place.

"Then, he continued, he also added a giant disclosure of gas in the same working area in 2023 which amounted to 6 TCF gas in place, so that in the working area the total potential to date has reached 8 TCF gas in place," said Hudi.

Hudi added that the massive exploration well drilling program accompanied by discoveries in the last two years, the results of which were very encouraging, would be the foundation to support efforts to increase national oil and gas production that had been set in the Indonesia Oil & Gas 4.0 Plan and Strategy, namely oil production 1 million barrels per day (BOPD) and gas 12 billion cubic feet per day (BSCFD).

"The discovery of a large amount in 2023 and a series of discoveries in 2024 will further strengthen the attractive investment in upstream oil and gas in Indonesia," he said.