Operations - Exploration & Production
MNK Selat Panjang PSC Block (Selat Panjang Non-Conventional)

Sumatra, Indonesia

The MNK (Migas Non Konvensional) Selat Panjang block was awarded to Petroselat NC Ltd under the production sharing contract (PSC) on May 22, 2015. The MNK Selat Panjang block initially covered approximately 1316square kilometers of total enclosed areas.

MNK Selat Panjang exploration block is located on the onshore of north east Pekanbaru of Riau Province of Central Sumatra. Geographically, area lies between 102° 01' 49.6645" - 102° 04' 11.6119" E and 0° 40' 35.6768" - 0° 36' 21.8094" N. and has approximately 1311 km2 of total enclosed areas.The Block is bounded to the north by the Kondur’s Malacca Strait Block, to the southwest by the Kuantan Block, to the west by the Coastal Plain block (CPP block), and to the east by an open acreage.

The MNK Selat Panjang PSC block is located in the prolific hydrocarbon area in Central Sumatra Basin is proved the existence of a working petroleum system.

Energy needs in oil and gas industries keep ongrowing, especially in this modern world, meanwhile the sources of hydrocarbon keep on declining. This led to the development of new exploration concepts and technology to fulfill the needs of oil and gas industry in the future. Shale gas has become an increasingly important source of natural gas and this is one of the potential unconventional hydrocarbon to be developed in Indonesia.

The First GSA Signing Ceremony to PLN

President Jokowi witnessing GSA signing in 35,000 MW Power Plant Development Program, at Bantul, DI Yogyakarta, Monday (May 4th, 2015)

The Firm Commitment has not been done yet, consists of G&G Study, 2D Seismic Acquisitiona and 1 (one) Exploratory Well.
The main Work Program and Budget of the MNK Selat Panjang in the initial phase is only in house G&G study focus on the areas for identifying the best sweet spot area were delineated by using brittleness modeling. If the results is feasible and exploration in the best sweet spot show positive results, it will be the development of Other Sweet Spot and there is a possibility to explore in the upside potential. The development above is done in an integrated.

The maps of the target areas that can be identified into 2 parts, North and South area. This classification is based on the distribution of Pematang formation, and Brittleness index of the formation.

The economic analysis conducted as part of this study is intended to evaluate the economic feasibility of development and commercial exploitation of the Petroselat Shale Hydrocarbon Project.

Based on the development plan, parameters & assumptions; production, investment, term&conditions,the sensitivity analysis results show that the economics of the Petroselat Shale Hydrocarbon area development can be summarized below:
Very sensitive to gas production, gas price, capital, and non capital expenditures
Sensitive to contractor share, and condensate (oil) price.

 

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