PHE Starts Development of $152 Million Gas Project

Jakarta (Antara) - PT Pertamina Hulu Energi Offshore North West Java (PHE ONWJ) will start work to develop the GG gas field in the Java Sea with an investment of US$152 million (Rp1.67 trillion). General Manager of the subsidiary of state oil and gas company PT Pertamina, Jonly Sinulingga said he had signed an engineering, procurement, construction and installation (EPCI) contract to mark the start of work. "The signing took place this monring," Jonly said here on Thursday. Jonly said the offshore GG gas project, located 30 kilometers north Cirebon , West Java, includes construction of an offshore rig and an onshore processing facility (OPF) in Balongan, to be linked with a 35 kilometer undersea pipe. "The GG field with three wells are expected to produce around 30 MMSCFD of gas," he said. After being processed at the OPF, the gas would be processed further by Pertamina to turn out liquefied petroleum gas (LPG). The Balongan OPF will add to three onshore gas receiving facilities of PHE ONWJ - one each in Muara Karang, Tanjung Priok, and Cilamaya. PHE ONWJ is the operator of ONWJ block over a concession of 8,300 sq. kilometers in the Java Sea extending between the sea off Cirebon and the Thousand Island off Jakarta. Its production facilities include 670 wells, 170 offshore oil/gas rigs, 40 units of processing facility and around 1,600 kilometers of undersea pipelines. (*)