The Jakarta Post
The Upstream Oil and Gas Regulatory Special Task Force (SKK Migas) has said that major discoveries are expected in 10 blocks in the country.
SKK Migas head Dwi Soetjipto said six blocks were located in western Indonesia and the other four were located in central part of the country.
“We expect to make a giant discovery [that will] increase our reserves,” Dwi said as quoted by kontan.co.id on Tuesday.
One block that showed great potential was the Sakakemang Block in South Sumatra that is managed by Repsol Energy, which was estimated to have reserves of 1.5 trillion cubic feet (TCF). Sakakemang had proven reserves equaling that of the Cepu Block in Central Java.
SKK Migas records show that Indonesia has 128 basins, 54 of which have combined reserves of 3.1 billion barrels of oil and have been explored and exploited.
Meanwhile, data from the Energy and Mineral Resources Ministry’s Geological Agency shows that five basins were ready to be established as new oil and gas blocks: West Singkawang in West Kalimantan, Banyumas in Central Java, Boka in Papua, Kutai in East Kalimantan and West Agast in Papua.
The ministry's data noted that three blocks (blocks A, B and C) were located in the Kutai Basin with an estimated combined potential of 46.79 TCF.
Nanang Abdul Manaf, the chairman of the Bandung Institute of Technology (ITB) Geological Sciences Alumni Association, said state-owned energy holding company Pertamina and other companies would need to intensify exploration and also find energy resources abroad.
The association said that by 2025, Indonesia's oil demand would increase from 1.2 million barrels per day (MBD) in 2018 to 1.9 MBD, and gas demand would increase to 9.22 billion cubic feet per day (bcfd) against total production of only 6.8 bcfd.
Indonesia recorded an oil and gas trade deficit of US$12.4 billion in 2018. (bbn)