SKK Migas Will Apply For South Andaman Block To PSN

Deputy for Business Support for SKK Migas Rudi Satwiko. (Photo: Doc. ANTARA)

JAKARTA - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) revealed the plan to apply for the South Andaman Block which is managed with the Mubadala Energy Cooperation Contract Contract Contractor (KKKS) to become a national strategic project (PSN).

"Maybe Mubadala, maybe he will enter PSN too because it's a big project, the magnitude is big," said Deputy for Business Support for SKK Migas Rudi Satwiko at a press conference on Supply Chain and National Capital reported by ANTARA, Wednesday, August 7.

SKK Migas together with Mubadala in early 2024 announced the discovery of gas from deep-sea exploration wells in Tangkulo-1 which was drilled in South Andaman Block about 65 km off the coast north of Sumatra Island.

By utilizing the latest Dril Stem Test (DST) design, the Tangkulo-1 well successfully flows 47 mmscfd of quality gas and 1,300 barrels of condensate.

Although the test results are limited due to available facilities, the well capacity is estimated to reach 80'100 mmscfd and more than 2,000 barrels of condensates.

The gas discovery is the second finding sourced from a deep sea well operated by Mubadala Energy.

The Tangkulo-1 well was drilled to a depth of 3,400 meters at a sea depth of 1,200 meters, just months after a major discovery in the Screen-1 well, which is still in South Andaman Block.

Related to this, the Head of the SKK Migas Program and Communication Division, Hudi D Suryodipuro, said that currently South Andaman is still in the appraisal stage, namely the phase of evaluation and assessment after the initial discovery of oil and gas reserves.

The purpose of such a stage is to confirm the size, quality, and commercial potential of the reserves found.

After the appraisal stage, said Hudi, it will be continued with the determination of the status of exploration or PSE.

"Once the PSE is finished, it will start handover to the exploit phase, to the development. Well, then we will start talking about the PSN," said Hudi.

Hudi ensured that SKK Migas would encourage South Andaman to become PSN, considering South Andaman has a large reserve.

By becoming PSN, he continued, the government will pay attention to the project and help process the smooth running of the project.

"But we are still waiting for his status to be a project first," said Hudi.