Friday, February 8, 2013

Heavy Storms Disrupts Pertamina's, Hess's Operations Offshore Java

Newly formed task force SKSP Migas confirmed Wednesday that Pertamina Hulu Energi (PHE) West Madura Offshore (WMO) is still experiencing production problems at the Production Sharing Contract (PSC) sited offshore East Java, due to storms which have been plaguing the region in the recent weeks.

"Over the last week, there has been a variety of operating problems due to bad weather. Waves in the Java Sea reached six to seven feet high, causing the storage anchor rope in the offshore field to rupture. As a result of this incident, PHE WMO could only produce lessthan 2,000 barrels of oil per day (bopd)," SKSP Migas said in its disclosure. PHE WMO's production target is 25,000 bopd.

At present, repair works on the ruptured hose are ongoing, and production levels at PHEWMO's PSC are at around 6,000 to 7,000 bopd.

Pertamina's Director of Upstream Operations, Muhamad Husen, confirmed with Rigzone over several telephone interviews on Jan.17 that despite extreme wet weather conditions, the WMO PSC was still producing and processing oil.

Last week, operations at the Pangkah PSC, located off the northeast coast of Java, were also adversely affected. Hess, the operator of the Pangkah PSC, was forced to remove the rig drilling at the offshore site, as well as shut down its liquefied petroleum gas (LPG) production plant near its offshore facilities.

SKSP Migas disclosed in its statement that oil production at the Pangkah PSC has resumed this week, with a production capacity of 5,000 bopd achieved on Monday. The Pangkah PSC has a production target of 14,000 bopd. SKSP Migas also said that the LPG plant will start operations.

Indonesia is at present battling with an annual monsoon season. The rainy season, which has started since early January, caused frequent landslides and flash floods throughout Indonesia and has displaced hundreds of people living in Java.

Quintella has reported on the upstream and downstream oil and petrochemicals markets from 2004. Email Quintella at quintella.koh@rigzone.com.

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