Jakarta - To maximize the potential of oil gas (oil and gas), PT Pertamina Hulu Indonesia carries out a borderless strategy in managing to intersect or overlapping working Areas (WK) in Kalimantan. This time, one of PHI's subsidiaries, PT Pertamina Hulu Sanga Sanga (PHSS), signed a Cooperation Agreement with PT Pertamina EP (PEP) in the form of a Joint Operation Agreement (JOA) Borderless Phase 1 (17/03/23).

Located in Bogor, the signing of JOA Borderless Phase 1 is intended for borderless depth right, namely Sanga Sanga WK and Pertamina EP WK in the East Kalimantan region. A deputy witnessed the signing for Exploration of Development and Management of SKK Migas Working Area, Benny Lubiantara, the Deputy for Exploitation of SKK Migas, Wahju Wibowo, President Director of Pertamina Hulu Indonesia, Chalid Said Salim, as well as representatives from PHSS and PEP.

President Director of PHI, Chalid Said Salim, explained that the borderless strategy in managing intersecting work areas is an essential step for the Company in supporting the achievement of the national oil production target of 1 million BOPD and gas 12 BSCFD in 2030.

"Since the transformation of Pertamina's Upstream Subholding in April 2021, the two WKs are under the management of Regional 3 Kalimantan Zone 9. Therefore, we strive to maximize the potential of oil and gas in the two WKs to produce oil and gas that is important for Indonesia's development," said Chalid.

According to Chalid, the synergy carried out includes drilling activities, well intervention, production facilities, production operations, procurement of goods and services, licensing, finance & commerciality, and post-operation activities, "said Chalid.

This year, continued Chalid, Regional 3 Kalimantan Zone 9 will drill five wells in the intersecting working area. Two wells are located in the North Kutai Lama (WK PEP) and Lampake (WK PHSS) areas, and three are in the Samberah PEP and PHSS areas.

Deputy of Exploration for Development and Management of SKK Migas Working Area, Benny Lubiantara, said that the JOA Overlapping Working Area between PHSS and PEP was a good breakthrough. "SKK Migas appreciates the initiative of the KKKS as a form of synergy that benefits both parties to optimize overlapping work areas. SKK Migas encourages and fully supports the JOA because it will increase the effectiveness and efficiency of managing overlapping work areas," said Benny.

Meanwhile, Wahju Wibowo added his hope that the synergy of overlapping working area management between PEP and PHSS could increase both effectiveness and efficiency and opportunities to increase oil and gas production in both KKKS. This synergy is expected to increase the productivity and performance of the upstream oil and gas industry.

Overall, the drilling plans synergized in JOA Borderless Phase 1 are 20 development wells, one development and exploration well, and 59 workovers operated by PHSS.

On the same occasion, Zone 9 General Manager Andre Wijanarko said that this synergy could add value in increasing production and reserves, cost efficiency, optimizing existing facilities, PEP gas monetization, accelerating field exploration and development, etc. efficiency of procurement of goods and services and other things.

"Synergy cooperation between PEP and PHSS can be a benchmark for managing other working areas with similar conditions in Indonesia so that existing oil and gas potential can be opened to support the increase in national oil and gas production," said Andre.

PT Pertamina Hulu Indonesia (PHI) is part of Pertamina's Upstream Subholding that manages upstream oil and gas operations and business by ESG (Environment, Social, Governance) principles in Regional 3 Kalimantan. In 2022, through its subsidiaries and affiliates, PHI produced an average of 57.8 thousand barrels of oil per day (MBOPD) and gas production of 668.3 million standard cubic feet per day (MMSCFD). In achieving its vision to become a world-class oil and gas company, PHI continues to carry out various innovations and technological applications in producing safe, efficient, reliable, compliant, and environmentally friendly energy to support #EnergiKalimantanUntukIndonesia. PHI headquarter is in Jakarta. More information about PHI is available at https://phi.pertamina.com.