The co-owners of the Sampang offshore permit in Indonesia are taking another look at the potential development of the historical Jeruk oil discovery.

The field was discovered in 2003. It then sparked excitement with subsequent appraisal and sidetrack wells that highlighted the potential for a major oilfield.

However, the reservoir was found to be very complex with high-pressure, high-temperature conditions, and recoverable reserves were downgraded to less than 50 million barrels.

The Sampang permit contains the producing Oyong and Wortel gas fields, and the under-development Paus Biru discovery.

However, due to delays in the commercial processes for Paus Biru, which involve both the government of Indonesia and gas customers, FEED activities for 2022 will remain limited, said co-owner Cue Energy.

A final investment decision for the development is now not expected until late 2022.

Hence, the Sampang joint venture "continues to review other opportunities within the PSC, including the historical Jeruk oil discovery", added Cue.

No further details on Jeruk were provided.

The plan of development for Paus Biru has been approved by the Indonesian upstream regulator SKKMigas.

It consists of a single horizontal development well with an unmanned wellhead platform connected by a subsea pipeline to the existing platform at the Oyong field, 27 kilometres away.

From the Oyong platform, the gas will be transported using the existing pipeline to the Grati onshore production facility where it will be processed and sold.

The Sampang PSC is owned by operator Medco Energi (45%), PetroChina (40%) and Cue (15%).

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