Russian Companies Ready To Leave The Tuna Block This Year

Oil refinery illustration (Photo: dock. SKK Migas)

JAKARTA - The Russian Oil and Gas BUMN company Zarubezhneft (ZN) will certainly leave the Tuna Block in 2024. Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Dwi Soetjipto said this had been promised by Zn to the Indonesian government to complete the divestment process from the tuna block.

"ZN has promised this year he will be able to complete the divestment," Dwi told the media quoted on Friday, June 7.

Dwi said that the slow process of divesting Zn in the Tuna Block is one of the obstacles for Indonesia to achieve the long term planning (LTP) target to 1 million barrels per day in 2030 because it is considered disturbing the project.

"ZN must divest, right, that's what interferes with the project," continued Dwi.

Just so you know, Harbour Energy decided to postpone the implementation of the final investment decision (FID) on the development of the Tuna Block to 2025 from the development plan or Plan of Development (PoD) which has been provided since December 2022.

He added, while the divestment process by Zn took place, Harbour Energy continued to carry out the Front End Engineering Design (FEED) project and several procurement processes.

For information, ZN partnered with Block Tuna operator, Harbor Energy, through BV Premier Oil Tuna. The two of them each narrowed their participation rights by 50 percent.

Previously, the Head of SKK Migas Dwi Soetjipto revealed that until now the process of farming out or exiting Zn from the Tuna Block is still in the data opening stage.

Meanwhile Deputy for Exploration, Development and Regional Management of SKK Migas Benny Lubiantara said Zn asked for additional time regarding the release of his participation rights by 50 percent from the Tuna Block.

ZN has relinquished his right to participation in the Tuna Field due to Western state sanctions due to the geopolitical Russia-Ukraine conflict.