This Is The Step Of SKK Migas To Boost Domestic Oil Production

Illustration (Photo: Antara Doc)

JAKARTA - The Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) and the CEOs of Cooperation Contract Contractors (KKKS) agreed on five recommendations to improve the national upstream oil and gas performance to achieve the short-term targets of 2022 and 2023 as well as the long-term targets of 2030.

"The existing recommendations reflect the real needs of the upstream oil and gas industry, and we hope that stakeholders will provide their support to realize these recommendations," said Head of SKK Migas Dwi Soetjipto in an official statement, Tuesday, July 12.

The five recommendations in order to achieve the short-term oil and gas production target and the 2030 long-term target are the production of 1 million BOPD of oil and 12 BSCFD, among others, conduct an inventory of short-term efforts (within 3 months) to increase oil and gas production (quantitative per type). effort).

Second, conduct a cost and benefit assessment of efforts to increase production that is massive, aggressive and efficient, as well as some of its impacts on production.

Third, make efforts to increase production, especially for the Filling The Gap program.

Fourth, to deepen the EOR mechanism (if it can be implemented) related to mapping the potential for development both in the short and long term, including variations in the types of chemicals that can be used.

And lastly, preparing WP&B 2023 massively, aggressively and efficiently in accordance with the commitments to the Government (KKP) and Long Term Planning.

"Currently, we already have the oil and gas price guide book for Semester I and I hope it will be used to help plan and operate oil and gas commercialization so that a higher level of efficiency will be obtained and optimization of state revenues and KKKS," said Dwi Soetjipto.

Furthermore, Dwi Soetjipto said that the momentum of the increase in oil and gas prices did not necessarily encourage an increase in oil and gas investment, where oil and gas investment had only reached 4.8 billion US dollars.

With the approval of the five recommendations, he is optimistic that in the remainder of 2022 there will be significant performance improvements.

“I express my appreciation for what we have achieved at this meeting, but I remind you that this is only the first step, so implementation is the most important thing. SKK Migas will monitor the agreement in the 2022 CEO Forum," he said.

Dwi said that the 2022 CEO Forum received appreciation from the highest leaders/CEOs of KKKS, this could be seen from the level of attendance and contributions of the CEOs.

Things that are of concern to the CEOs of Upstream Oil and Gas include strengthening upstream oil and gas institutions to provide legal certainty and investment, related to efforts to handle unplanned shutdowns, which are also of concern is how to recover after the return of operations, how to cover lost production and so on.