Pertamina's Managing Director Signals Adding New Partners Managing Masela, Head Of SKK Migas Reminds Not To Postpone Production Targets

Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Dwi Soetjipto (photo: Twitter @ikatfits)

JAKARTA - President Director of PT Pertamina (Persero) Nicke Widyawati opens the possibility to increase partners in managing the Abadi Masela Field.

Responding to this, the Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Dwi Soetjipto said he had not heard any news about the latest partners who would come in and work on the Masela Block.

"Nothing yet. Who is the other partner? Anyway, whatever the changes, don't hinder the project, that's all," said Tjip, his nickname to the media at the DPR RI Building, Thursday, August 31.

He understands that Pertamina opens this option considering that the costs needed to manage and develop the Masela Block are quite large. He also invited Pertamina to cooperate with other partners as long as it did not interfere and hinder the process of developing the Masela block.

"We have all agreed, 2029 must be onstream," added Tjip.

Previously in a Hearing Meeting with Commission VII of the DPR RI, Pertamina's Managing Director said that his party did not rule out the possibility of cooperating with new partners.

"It is possible for other parties to complete the competence of this block, which in its technical execution is indeed quite compact, so we must make sure everything goes well," explained Nicke, Wednesday, August 30.

Through the announcement on Shell's official website, it is known that to annex the WK located in the Arafuru Sea, Pertamina and Petronas had to spend up to 650 million US dollars or equivalent to Rp9.75 trillion.

Shell's management wrote that the basic consideration for the sale was US$325 million in cash with an additional amount of the contingent of US$325 million which must be paid during the final investment decision (FID).

"The decision to sell our participation in Masela PSC is in line with our focus on a disciplined capital allocation," said ShellZo's Director of Integrated Gas and Hulu.