Oil exploration and production company, Prima Energy Northwest Natuna Pte. Ltd. (PENN) is developing the Ande-Ande Lumut (AAL) oil field in the Northwest Natuna working area, which is estimated to produce 20,000 barrels oil per day (BOPD) from the current 2,020 BOPD.
This project is expected to support the achievement of the national oil production target in Indonesia.
Upon securing approval for the Revised Plan of Development (POD) for the AAL oil field in March 2024, PENN coordinated with the Upstream Oil and Gas Regulatory Task Force (SKK Migas) to prepare strategic steps for field development.
CEO of Prima Energy Northwest Natuna Pte. Ltd., Pieters Utomo, said the company will immediately begin the Front End Engineering Design (FEED) stage after appointing a contractor through a tender in accordance with regulations.
“After the FEED process is complete, the Final Investment Decision (FID) will be taken immediately so that this project can run according to schedule,” Pieterssaid in statement as quoted on Wednesday, November 13, 2024
“The initial project in the AAL Field involves the construction of a Central Production Platform (CPP) and the lease of a Floating, Storage, and Offloading (FSO) facility,” he added.
The CPP facility will include a “topside” with an operational weight of around 4,200 tons above a 2,400-ton jacket, which will be installed at a depth of 75 meters in the waters of West Natuna.
The FSO, which has a storage capacity of 600,000 barrels of crude oil, will function as a production reservoir, connected to the CPP via a transfer bridge.
The AAL oil field has reservoir characteristics in the form of unconsolidated sand and heavy oil. The initial development phase includes drilling seven horizontal production wells in the ‘Oligocene Upper’ Gabus G and K sand layers.
This project is targeted to meet the minimum local content (TKDN) requirement of 52.4 percent as a commitment to increasing the use of domestic components.
National energy security
SKK Migas spokesman, Hudi Suryodipuro, emphasized that the AAL project is very strategic for national energy security.
“This field will produce 20,000 barrels of oil per day, becoming real evidence of SKK Migas and PENN’s efforts to increase national oil production,” Hudi said.
He added that SKK Migas will continue to monitor the development of the project so that it runs according to schedule and is ready to produce on time.
This project is expected to make a significant contribution to increasing domestic oil production and reducing Indonesia’s dependence on energy imports, in line with the government’s efforts to increase national energy security.