Pertamina Targets to Add Sumak Wells in Mahakam Block

INDUSTRY.co.id - Jakarta - Along with earlier investment to prevent production decline, PT Pertamina (Persero) targets to increase the number of wells drilled in the Mahakam Block by the end of 2017.

Pertamina Meidawati, Senior Vice President of Upstream Strategic Planning and Operation Evaluation said Pertamina is preparing to drill two wells before the end of the initial investment period in the Mahakam block.

"Three wells are almost done. We plan five wells. We will add two more wells," said Meidawati at the Coordinating Ministry of Maritime Affairs, Friday (15/09/2017).

The performance of the transition team in the Mahakam Block exceeds expectations as it progresses rapidly, so production can remain stable about one billion cubic feet (BCF).

According to Meidawati, Pertamina had previously prepared a budget for initial investment in Mahakam, so that the planned addition of drilling wells will not be constrained by funding problems. Especially, the drilling more than the cost is more economical.

"The cost is also cheaper, we first budgeted for 19 wells. So there is still room to add," said Meidawati.

PT Total E & P Indonesie, operator of Mahakam until the end of 2017 has allowed Pertamina to make an early investment.

This happened to reduce the impact of well-being conditions on the old Mahakam block, potentially leading to a drop in gas production.