Exxonmobil Indonesia: Cepu Block Contributes US $ 44 Billion State Income

By : Hariyanto And Aldo Bella Putra | Monday, August 21 2017 - 17:05 IWST


INDUSTRY.co.id - Cepu - US oil and Gas Company Exxonmobil Indonesia said the Cepu Bojonegoro block in East Java has the potential to generate US $ 44 billion in revenues until the contract expires in 2035.

"This is assuming an oil price of US $ 50 per barrel," said Vice President of Public and Government Affairs Exxonmobil Indonesia Erwin Maryoto in a media meeting in Cepu, Saturday (19/08/2017).

According to Erwin, Banyu Urip field oil production has increased above 200,000 barrels per day (bpd). This figure is equivalent to 25% of national oil production. Looking at the potential that can still be improved, the field production is targeted an average of 201,600 barrels per day.

Erwin revealed, Banyu Urip field has 729 million barrels of reserves or up 60% from the previous projection. The field also has 15 injection wells and 30 drilling wells.

In addition to oil, Banyu Urip field also generates gas for generators at the central processing facility (CPF). In addition, the field has an integrated office building and reservoirs with a capacity of 2.5 million cubic meters. "Gas for own consumption such as the use of generators," he explained.

The cost of production of oil processing (cost production) in the field Banyu Urip Cepu block, spelled out very low ie US $ 2.4 per barrel. If the calculation of depreciation cost to US $ 9 per barrel is still much cheaper than the average national oil production cost of about US $ 18 barrel per day.

"The cost of lifting the oil in the Banyu Urip field is about US $ 2.4 per barrel, if it is only US $ 9 per barrel depreciation, it is below US $ 10 per barrel," he said.

The low cost of production in the field of Banyu Urip cannot be separated from the primary data where the field is relatively new so to produce oil is not as difficult as old fields. In addition, it is supported by technology and well conditions adjacent in one field, thus reducing production costs.

Erwin said the field of Banyu Urip bok Cepu only has 500 employees where 99.4% are local employees, and a small number of expaktriate.

News Comment

Today's Industry

Ilustration Brand phishing (Photo by Technonlogy For You)

Rabu, 21 Oktober 2020 - 15:30 WIB

Microsoft is Now Most Imitated Brand by Hackers

Microsoft soars from 5th place in Q2 to 1st place in Q3 for brand phishing attacks, making up 19% of all global phishing attacks in July, August and September.

Friedhelm Best - Vice President Asia Pacific, HIMA (Photo by HIMA)

Rabu, 21 Oktober 2020 - 14:20 WIB

Pharma 4.0: How Technology Is Transforming an Industry

Digital advancements in areas like systems integration, track-and-trace technology, and deep learning are helping the industry optimize its supply chain, improve safety, and even develop new…

Evan Dumas, Regional Director, Southeast Asia, Check Point Software Technologies (Photo by Linkedin)

Rabu, 21 Oktober 2020 - 13:50 WIB

Key Pillars To Optimal Endpoint Security In Today’s Climate

What does it take for businesses to be confident in the resilience of their endpoint protection? Check Point shares 4 key pillars for optimal endpoint security solutions for CISOs and IT professionals…

L/R: Alwin Zecha, Founder - Pacific Leisure Group, Thailand; Hiran Cooray Chairman - Jetwing Symphony PLC, Sri Lanka; and Akbar Shareef, Chairman & Chief Executive - Rakaposhi Tours (Pvt) Ltd., Pakistan (Photo by Global Travel Media)

Jumat, 16 Oktober 2020 - 17:15 WIB

PATA Honours Industry Leaders, Pioneers and Professionals at 69th Annual General Meeting

The following awards were presented during the 69th Annual General Meeting held online PATA Gallery of Legends Award, PATA Life Membership, and PATA Chair’s Award.

Evan Dumas, Regional Director, Southeast Asia, Check Point Software Technologies (Photo by Linkedin)

Jumat, 16 Oktober 2020 - 17:00 WIB

3 Key Principles Businesses Must Keep In Mind When Securing the Remote Workforce

It is critical that organisations take steps to secure the remote workforce to prevent falling victim to the next cyber attack.