Asset Profile
Asset Summary
| No | Asset | Location | Acreage | Group's working interest | Operator | Partners | PSC expiry |
|---|---|---|---|---|---|---|---|
| 1 | Kepala Burung PSC | Southwest Papua, Indonesia | 1,030 km2(onshore) | 70.0% | RH Petrogas | Pertamina (30%) | October 2040 |
| 2 | Salawati PSC | Southwest Papua, Indonesia | 1,137 km2 (onshore and offshore) | 70.0% | RH Petrogas | Pertamina (30%) | April 2040 |
Production, BOEPD2,3
Reserves and Resources, MMBOE
As at 1 January 2025
- BOEPD - Barrels of Oil Equivalent Per Day
- Before accounting for the share of non-controlling interest
Indonesia
The Group is the operator of two producing upstream assets, the Kepala Burung PSC and the Salawati PSC, which are two contiguous blocks located in the "Bird's Head" area of Southwest Papua in eastern Indonesia. Kepala Burung PSC covers an onshore area of 1,030 km2, while Salawati PSC covers both onshore and offshore areas totalling 1,137 km2.
Kepala Burung PSC
The Group is the operator and holds a 70% working interest in the Kepala Burung PSC through its majority-owned subsidiary Petrogas (Basin) Ltd ("PBL"), with the PSC's remaining 30% working interest held by Indonesia's state-owned oil and gas company Pertamina. A minority shareholder holds a 17.346% non-controlling stake in PBL.
The Kepala Burung PSC commenced in October 2020 immediately upon the expiry of the previous PSC which bears the same PSC name and covers essentially the same contract area, with a fresh 20-year term. PBL was the operator of the expired PSC, with the other partners being PetroChina and Pertamina.. The Group's continued participation and operatorship in the Kepala Burung PSC allows the Group to leverage on its in-depth knowledge and experience in the block to pursue various strategies and programs to grow its reserves and production.
Ongoing efforts to commercialise and develop existing discoveries within the blocks, alongside active exploration to expand the resource base for long-term growth.
Drilling activity in the block began in 1972 which resulted in oil and gas discoveries from the Miocene aged Kais Formation, a fractured carbonate with strong aquifer support. To date, cumulative production from the block has exceeded 360 million barrels of oil and 270 billion cubic feet of gas. Currently, the Kepala Burung PSC produces from 18 active oil and gas fields, with the largest contributor being the Walio oil field which accounts for more than 50% of the block's oil production. In recent years, production level has remained relatively steady through an on-going program of well optimisation and workovers, supplemented by near field exploration discoveries and in-fill development drillings.
The Kepala Burung PSC operates the Kasim Marine Terminal ("KMT") located within the contract area, where crude oil produced is treated and stored before it is lifted by the respective PSC partners. KMT has the pipeline facilities to deliver crude oil from its storage tanks to the adjacent refinery owned by Pertamina, as well as loading pier and facilities for loading crude oil onto tankers for both the domestic and export markets. Besides being used for the Kepala Burung PSC's own production, KMT also provides third-party storage and throughput for oil produced from nearby blocks. Crude oils from the various blocks are co-mingled and sold as Walio Mix crude blend.
Apart from crude oil, the Kepala Burung block also produces natural gas and liquefied petroleum gas. Part of the natural gas produced is used for internal power generation to meet its operational needs, while the rest is sold mainly to a local government-owned entity which supplies gas to Sorong city, the largest city in the Southwest Papua province, to meet the city's electricity needs. This aligns with the Indonesian government's "Bright Papua" programme and is part of an ongoing effort to improve the development of the eastern part of Indonesia, especially in the Sorong area.
Salawati PSC
The Group is the operator and holds a 70% working interest in the Salawati PSC through its majority-owned subsidiary Petrogas (Island) Ltd ("PIL"), with the PSC's remaining 30% working interest held by Indonesia's state-owned oil and gas company Pertamina. A minority shareholder holds a 17.346% non-controlling stake in PIL.
The Salawati PSC commenced in April 2020 immediately upon the expiry of the previous Salawati Kepala Burung PSC, which covered essentially the same contract area, with a fresh 20-year term. The Group had a non-operated working interest in the expired PSC.
Similar to the Kepala Burung PSC, the Salawati block produces from the Miocene aged carbonates. Oil produced from its onshore fields is barged to KMT where it is mingled and stored with oil production from Kepala Burung and other fields and sold as Walio Mix crude blend. As operator of both the Kepala Burung PSC and Salawati PSC, the Group is well positioned to optimise and extract operational and cost synergies between the two adjoining blocks. The Salawati block commenced production in the 1990s and has since produced over 41 million barrels of oil.
There remain a number of undeveloped discoveries in the Salawati block, especially in the offshore areas.