Project Profile
Value: US$160 million
Location: Off the north coast of Sumatra in Indonesia
Reserves: 17.5 mmscfd of gas and 1,500 bpd of condensate
Start-up Year: 2009
In October 2005 Serica drilled a well off the north coast of Sumatra in Indonesia. The well, Kambuna-2, flowed at 17.5 mmscfd of gas and 1,500 bpd of condensate on test and proved the existence of commercial gas reserves. As operator for the drilling consortium acting under a Technical Assistance Contract for the Indonesian State Oil Company Pertamina, Serica commenced appraisal work and plans for field development.
Kambuna Field development plans received approval from the Indonesian authorities in 2006. In 2008, Serica drilled wells Kambuna-3 and Kambuna-4 to test the extent of the field as part of the field development plan whilst Kambuna-2 was re-entered to be completed as a producer. The Kambuna gas has an initial condensate yield in excess of 100 bbls/mmscf which requires separation before being sold at world oil prices. The field development plan provided for the installation of a fixed platform on which were installed the wellheads for the three producing wells with provision for a fourth future well. The platform was installed in early 2008 and a 57 kilometre pipeline was laid to bring the gas and light condensate mixture to shore in North Sumatra. A gas plant was constructed at Pangkalan Brandan to separate the condensate and treat the gas.
From Pangkalan Brandan a pipeline takes the oil fraction to Pangkalan Susu where it is loaded onto tankers for shipping to world markets. Dry gas is transported by pipeline to a power station at Belawan for supply of electricity to the city of Medan. The Kambuna field commenced production in August 2009 and, at peak, produced at 40 mmscfd of dry gas and some 3,000 bpd of condensate.
Serica proved the commercial viability of the Kambuna field and undertook the field development. In 2008 it sold a 15% interest and field operatorship to Salamander and, in 2009, it reduced its interest to 25% following a further sale to Kris Energy. Serica’s interest in the field is now 25%.
Operators:
Ophir (Ophir bought Salamander in 2015): Operator with 50% interest
Serica: 25% interest
KrisEnergy: 25% interest
Contractors:
Icon Engineering: Designed the wellhead support
PT H&H Utama International: Built the wellhead support