SKK Migas And Mubadala Energy Announce The Discovery Of Gas Reserves Located In Andaman

Illustration. (Photo: Doc. Antara)

JAKARTA - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) and an energy company from the United Arab Emirates, Mubadala Energy announced the discovery of gas reserves from the South Andaman Screen-1 exploration well for Cooperation Contracts (KKS).

In the well operated by Mubadala Energy about 100 kilometers off the northern coast of Sumatra, a column of gas with a thickness of more than 230 meters was found at the oligocene sandstone reservoir.

Acquisition of complete data including wireless, coding, sampling and production tests (DST) has been carried out. As a result, the well successfully flows excellent gas quality with a capacity of 30 mmscfd.

Based on a report from Mubadala Energy (South Andaman) RSC LTD, the findings from the well have the potential to reach six TCF gas-in-place, so that the discovery can exceed the discovery of the North-1 Gang well, Kutai basin and into the top three of the world.

"The upstream oil and gas industry will make a new history, for the first time Indonesia has received two major world discoveries in the same year in 2023," said Head of SKK Migas Dwi Soetjipto in Jakarta, quoted from Antara, Wednesday, December 20.

SKK Migas will follow up on the report by conducting further evaluations and studies.

KKS Gross Split South Andaman is the first deep well operated by Mubadala Energy, drilled to a depth of 4,208 meters at sea water depth of 1,207 meters.

According to Dwi, the successive discovery of large gas in 2023 shows the success of exploration activities which are the main themes of the upstream oil and gas industry in 2023 and will continue in 2024.

He conveyed that the discovery of large gas in South Andaman will increase the competitiveness of Indonesia's upstream oil and gas industry and encourage increased investment in upstream oil and gas in the future.

"We are optimistic that global oil company (IOC) will re-place Indonesia as its investment portfolio. Great discovery (large discovery) in a row, hopefully it will become a game changer for the national upstream oil and gas industry," said Dwi.

Mubadala Energy Mansor CEO Mohammed Al Hamed said with a strategy to expand the gas portfolio to support the energy transition, this development offers significant commercial opportunities.

"This is not only a significant development for Mubadala Energy but is also a major milestone in Indonesia's energy security," he said.

He added that this new confirmed discovery was the second successive success for Mubadala Energy in the Andaman region, after the success of Teampan-1 at KKS Andaman II.

"These findings increase the volume of the material contingent and provide a basis for Mubadala Energy's sustainable growth in the region," said Mansor.