Pertamina Reiterates Interest in Khuzestan Oilfields

EghtesadOnline: The chief executive officer of Indonesia's state-owned oil and gas company, Pertamina, is confident that the company can explore two oilfields in Iran: Mansouri and Abteymour.

News ID: ۷۷۸۶۲۷

20 August 2017

“The process of negotiations has been long. We had asked through the Coordinating Minister for Economic Affairs Darmin Nasution, to accelerate [exploration],” Elia Massa Manik said in a statement, Indonesia's Tempo.co news service reported on Thursday.

Massa said Pertamina will focus on one oilfield first and the second one will be developed after the exploration of the first one is completed. Abteymour and Mansouri oilfields are both near the city of Ahvaz in Khuzestan Province.

"Indonesia needs to explore the oilfields to increase oil supply. Pertamina can help increase the output of the oilfields to 250,000 barrels per day. But we should not rely on it,” Financial Tribune quoted him as saying.

Massa noted that Jakarta is open to new partners to add to the existing ones, adding that Indonesia will take part in more oil exploration projects abroad in the future.

“Negotiations are ongoing. We will have to partner with a local company [in Iran]. We are open to partnership,” he said.

Pertamina signed a nondisclosure agreement last year to conduct studies on the two oilfields. The company submitted a master development plan for the fields in March.

According to Iranian officials, Pertamina faces competition from Russia's Lukoil to develop the onshore oilfields.

Based on Pertamina's proposal, the number of oil wells in Abteymour field will increase from the current 50 to 257. The recovery rate will rise from 2.27% to 12% and daily crude production could reach 300,000 barrels per day.