JAKARTA (Yosefardi) – The powerful Upstream Oil and Gas Regulatory Body (SKK Migas) has awarded engineering, procurement, construction, installation/EPCI contract for gas fields at Muara Bakau mining concession.
That 2 gas fields are Jangkrik and Jangkrik North East operated by Eni as contractor. With this award of contract worth US$4.136 billion to the winning bidder, the Muara Bakau project will start.
This 2 fields are targeted to commence production by early 2017 with peak production of 450 million cubic feet of gas per day for 6 years period. These fields will support gas supply for electricity and industry in East Kalimantan, Java, South Sumatra, Central Sumatra, North Sumatra, and Aceh, delivered as LNG.
SKK Migas and Eni have agreed to allocate 47% gas from Jangkrit and Jangkrik North East fields for domestic market, instead of 30% set on plan of development agreement. This 2 fields is expected to contribute US$5 billion, equivalent Rp50 trillion, to state revenue.