The Ministry of Energy and Mineral Resources (ESDM) has asked PT Badak LNG to accelerate the reactivation of Plant F, which will be used to process gas from the Geng North well, operated by Italian oil and gas company ENI in the North Ganal block.
During a visit to PT Badak LNG’s office in Bontang, East Kalimantan, on August 13, 2024, ESDM minister Arifin Tasrif emphasized the importance of speeding up the reactivation of Plant F. This facility will play a critical role in processing gas from the Geng North well, recently discovered by ENI, which holds an estimated 5 trillion cubic feet (TCF) of gas reserves and 400 thousand barrels of condensate (MBBLS).
“Geng North is a rapidly developing discovery, and we must keep up the pace. If necessary, we should be ready to provide whatever is needed,” Arifin said.
He highlighted that accelerating the reactivation of Plant F is crucial not only for gas production, but also for its significant impact on carbon emission reduction efforts.
Arifin pointed out that natural gas could serve as a more environmentally friendly alternative to coal, which has traditionally been a mainstay in the energy sector.
Plant F, which began commissioning in 1993, last operated in 2020. With pressing demands now at hand, Arifin urged PT Badak LNG to conduct a comprehensive assessment of the plant, ensuring that the reactivation process is carried out on schedule without any delays from the targeted timeline.
“There is still some time, but we cannot afford to let the plant remain idle. The goal remains to have it reactivated by 2027,” Arifin said, stressing the importance of maintaining consistency in executing this project.
Despite issuing several key notes, Arifin expressed confidence in PT Badak LNG’s ability to manage and reactivate Plant F. He highlighted the company’s strong track record, having previously operated up to eight plants at peak performance.
This initiative aims to bring Plant F back online to support the processing of gas from Geng North, thereby bolstering Indonesia’s position in tackling future energy and environmental challenges.