JAKARTA (TheInsiderStories) – PT Saka Energi Indonesia (SKE), unit of state-owned gas producer, PT Perusahaan Gas Negara Tbk (IDX: PGN) get permit to extend Pangkah Working Area, said the official last week. Previously, the upstream and investment company also get mandate from the government to manage the Kepodang Muriah field.
The contract with revenue-sharing scheme will expired in 2026. In his speech, the director general at energy and mineral resources (EMR) Djoko Siswanto, hoped with the agreements will rise the company production and income.
Saka Energi also has 100 percent management rights in the block. The subsidiary of PGAS had become the operator of Pangkah block in 2014, after successfully acquiring from Hess Indonesia – Pangkah Ltd., an American company operated the energy since 1996.
In July 2015, the company has also managed to find oil and gas reserves in the Sidayu 3 exploration well, Sidayu 4 in September 2016, and Tambakboyo in August 2018. All the projects located in Gresik, East Java.
For the two projects, Saka Energi poured funds of US$200 million. The producer also will pay commitment $64.05 million with a signature bonus worth of $6 Million.
Previously, the Special Task Force for Upstream Oil and Gas Business Activities (SKKMigas) appointed Saka Energi and Malaysia’ Petroliam Nasional (Petronas) Bhd’ project to carry on the Muriah block at Kepodang field in Jepara, Central Java. The company hold 20 percent participating rights in the Muriah block, while the remaining is owned by Petronas.
Saka Energi will produce the remaining gas content in the Kepodang Field at 20 million standard cubic feet per day (MMscfd) in three months period. SKKMigas wanted the transition process to be carried out as soon as possible, so that the Kepodang Field could supply gas back to the Tambak Lorok Gas Power Plant in Central Java and to another party.
On Sept. 23, the agency decided to stop gas from the Kepodang field, citing the termination of the gas sale and purchase agreement between Petronas Carigali Muriah Ltd., and state-owned PT Perusahaan Listrik Negara (PLN) for the fuel of the Tambak Lorok Central Java Gas Power Plant operated by its unit, PT Indonesia Power.
The gas distribution was carried out through the Kalija gas pipeline network managed by PT Kalimantan Jawa Gas. The termination also led on the termination of the gas transportation agreement between Kalija, Petronas, and PLN.
As sub holding of PT Pertamina, manages eleven assets in Indonesia and one shale gas block in the United States. Five of them are fully operated by Saka Energi. Beside Blok Pangkah, other blocks are South Sesulu PSC, West Yamdena Block, Wokam II PSC Block and Pekawai Block located in across the archipelago.
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