Looking upstream: Indonesia's Pertamina
Pertamina earmarks upstream spend
Indonesia state oil company Pertamina will spend about 11 trillion rupiah ($1 billion) in 2009 to boost upstream production by 7% to an average 171,250 barrels of oil per day.
The company said about 6 trillion rupiah would go to Pertamina EP, one of Pertamina’s two upstream oil and gas arms, according to a report in the Jakarta Post.
It said the company had also budgeted about 11 trillion rupiah in upstream investment in 2008, but that only about 70% of this would have realised by the end of the year.
The investment would be targeted at the Limau oilfields in South Sumatra and the Tambun gas fields in Bekasi, West Java.
Petamina said about 132,500 bpd of next year's 171,250 bpd would come from Pertamina EP, while Pertamina Hulu, which oversees the company’s partnership projects, would account for the remainder.
Pertamina EP could only meet an average 119,000 bpd of its 125,000 bpd target in 2009 due to a major overhaul of its facilities in March and May, the paper reported.
An extra 6750 bpd of new production was expected next year from the start-up of the ExxonMobil-operated Cepu field, which opened taps earlier this month.
The company is also reported to be seeking bigger stakes in several key blocks including the West Madura block in East Java, the Total-operated Mahakam block in West Java and Chevron’s deep-water assets off East Kalimantan.
Pertamina’s president director Ari Soemarno said the company was also seeking a 30% stake in Inpex’s Masela block in the Timor Sea, the paper said.
Pertamina is also known to be in talks with Canada’s Verenex Energy over buying its stake in assets in Libya’s Ghadames basin.