JAKARTA (TheInsiderStories) – Indonesia’ Energy and Mineral Resources (EMR) official said, the country plans to sell liquefied natural gas (LNG) cargoes to Singapore starting this year. The director general of oil and gas at the ministry Djoko Siswanto in one forum in Jakarta stated, until 2025 the country has 40 excess cargoes.
He revealed, the country’ producers plans to sell 10 cargoes of LNG to spot market in the first half of 2019. In details, PT PT Badak Natural Gas Liquefaction will sell one cargo in April and two cargoes in May.
In June, four cargoes sent from Tangguh LNG plant in West Papua. Then three cargoes in March, May, and June sell by PT Donggi Senoro LNG Plant. The energy ministry has approved BP Indonesia to export 84 LNG cargoes from Train Tangguh LNG plant to Singapore between 2020 to 2025.
Furthermore, said Siswanto, starting next year, four cargoes will be shipped followed by 16 cargoes per year from 2021 to 2025. The price will be 12.33 percent of Japan crude cocktail, added by him.
EMR ministry continues to look for new oil and gas reserves to be explored. As domestic oil and gas needs increase, 10 potential gas reserves are found.
Indonesia’ current gas reserves are recorded at 135.55 trillion standard cubic feet (TSCF). The gas reserves are spread in several locations with the distribution of proven (P1) 99.06 TSCF, P2 21.26 TSCF and P3 of 18.23 TSCF.
“The total gas reserves of Indonesia are 135.55 TSCF,” Siswanto said on March 5.
In the data presented by him, several areas with gas reserves starting from Aceh with proven reserves of 0.89 TSCF and North Sumatra proved reserves of 0.40 TSCF, central Sumatra with proven reserves of 1.84 TSCF and South Sumatra 6.65 TSCF.
The largest gas reserves in Natuna have been proven at 46.96 TSCF. Then in West Java the gas reserves proved to be 2.89 TSCF and in East Java the proven gas reserves were 2.98 TSCF.
In Kalimantan and Sulawesi the proven gas reserves are 5.41 TSCF and 1.78 TSCF. Then in Maluku and Papua respectively 11.93 TSCF and 14.33 TSCF.
Deputy Minister of MEMR Arcandra Tahar said that Indonesia still has the potential of giant fields in several regions. One of these areas is South Sumatra (Fractured Basement Play). There have been found natural gas reserves of 2 TSCF of gas in the Sakakemang Work Area in Musi Banyuasin District, South Sumatra with Spain’ Repsol S.A. as its Contractors of Cooperation Contracts.
“Hopefully this can evoke the spirit of exploration in Indonesia in the future, because there are still many of our basins and our play that has not been explored, and it turns out Alhamdulillah we have found a new one,” Tahar said in his statement, on last Saturday (03/2).
The Special Task Force of Oil and Gas itself identifies at least 10 Discovery Giant potentials in North Sumatra, Center of Sumatra, South Sumatra, Tarakan Offshore, NE Java-Makassar Strait, Kutai Offshore, Buton Offshore, Northern Papua, Bird Body Papua, and Papuan Warim.
Tahar said, the potential of existing gas basins will be optimized with hard work, new technology, and in line with the adjustment of the oil and gas industry fiscal system policies.
Going forward, the government will also facilitate the Oil and Gas Work Area offerings to investors, he added. At present, Indonesia is considered as the fifth largest exporter of LNG. Indonesia’ LNG is exported most to Japan, South Korea, Taiwan, China and the United States.
Gas reserves in the Asia Pacific hold a portion of 9.4 percent of the world’s total gas reserves. While China has 2.9 percent and Indonesia has 1.53 percent of the world’s gas reserves since 1977
Reportedly, Indonesia’ LNG exports amounted to 28.37 percent while the rest was used for various sectors. The use of gas for power plants is 12.78 percent, industry 36.19 percent until exported using 11.33 percent pipes.
Furthermore, the mix of energy use from gas in 2025 is targeted at 22 percent and 24 percent in 2050.
by Linda Silaen, Email: email@example.com