Project Profile
Location: Jambi province, northern part of South Sumatra basin, Indonesia
Gross recoverable prospective resources: 511 million barrels of oil and 468 billion cubic feet of gas
Production: 2,500 barrels of oil equivalent per day
Peak production: 57,000 bopd and 101 mmsfd for the high-case scenario (P10), 25,000 bopd and 47 mmsfd for the mid-case scenario (P50), and 11,000 bopd and 26 mmdfd for the low-case scenario (P90)
Water Depth: 300 ft / 91 m
Start-up year: mid-November 2016
The Lemang block is located in the northern most part of the hydrocarbon-rich South Sumatra basin, a proven region for oil and gas production with transportation infrastructure already in proximity. The Lemang block, which covers a 3,890 square kilometre area in Jambi province, is expected to go into production in the first quarter of 2013, with an output of 2,500 barrels of oil equivalent per day. At the peak of its production, the block could produce 20,000 BOE per day for three years. Located approximately 300 kilometres from Singapore, the Lemang block is ideally situated for oil and gas distribution to regional markets. Drilling of the block commenced in 2012. Ramba Energy spud the Selong-1 exploration well; the first well to be drilled in the onshore Lemang block in October 2012. The well - located in the Lemang block\'s Akatara prospect - will be drilled to a depth of 6,350 feet. The well is targeting the Intra Gumai Sand Formation, Upper Talangakar Formation, Lower Talangakar Formation and the Crystalline Basement.
The company expects drilling operations to take around 20 days, with possibly an additional 20 days for testing and analysis. According to petroleum consultancy DeGolyer & MacNaughton, the Lemang Block is estimated as holding gross recoverable prospective resources of 511 million barrels of oil and 468 billion cubic feet of gas. In US$230 million deal, Indonesia’s Sugih Energy agreed to buy Eastwin Global Investment’s entire 49% stake in the Lemang oil and gas block in Sumatra in 2011. The investors in the block have secured a production-sharing contract with the Indonesian government until 2037. Since 2012, the Group made three commercial oil and gas discoveries at the Selong and Akatara structures with an aggregate flow rate from the discoveries of approx. 9,500 barrels oil equivalent per day (BOEPD). In 2014, following these successful discoveries, international petroleum consultancy RISC Operations evaluated the development concept for the Lemang block’s Selong and Akatara structures, projecting peak production at 57,000 BOPD and 101 MMSCFD for the high-case scenario (P10), 25,000 BOPD and 47 MMSCFD for the mid-case scenario (P50), and 11,000 BOPD and 26 MMSCFD for the low-case scenario (P90).
Operators:
Mandala Energy: Operator with 50% interest
PT Hexindo Gemilang Jaya (Hexindo) (Ramba Energy\'s subsidiary): 16% interest
Eastwin Global Investment: 34% interest
Contractors:
DeGolyer & MacNaughton: Reserve estimation and geological surveys
RISC Operations: Contract for evaluation of the development concept for the Lemang block’s Selong and Akatara structures