Indonesia’s Deepwater Discoveries:
Fueling Economic Growth and Energy Security
eyesonindonesia
1. Eni’s Geng North Discovery: A Game-Changer
Indonesia has once again made headlines in the upstream exploration and production industry with Eni’s remarkable Geng North gas discovery in the ultra-deepwater Kutei Basin1. This significant find ranks among the top oil and gas discoveries worldwide this year. Let’s delve into the details and explore its implications.
2. The Geng North Success Story
- The Discovery: Eni’s Geng North 1 well, drilled using the “Capella” drillship, reached a total depth of 5,025 meters in water depths close to 2,000 meters. It intersected a 50-meter gas column within Miocene sandstones.
- Flow Rates: Although constrained by test equipment, estimated flow rates from the well are impressive: 80-100 million cubic feet per day of gas (MMcfg/d) and 5,000-6,000 barrels per day of condensate (bc/d).
3. Energy Security and Economic Impact
- Energy Transition: As the world transitions to cleaner energy sources, fossil fuels remain crucial during this period. Geng North’s gas reserves contribute significantly to Indonesia’s energy security.
- Production Targets: The discovery aligns with Indonesia’s ambitious production targets: 1 million barrels per day (MMbbl/d) of oil and condensate and 12 billion cubic feet per day (Bcf/d) of gas by 2030.
- Bontang LNG Facility: Geng North will provide much-needed backfill volumes to the Bontang LNG facility, where utilization rates have been declining. Its development could reverse this trend and potentially restart the idled Train 5.
4. Eni’s Strategic Position
- Growing Presence: Eni aims to expand its position in the Kutei Basin following its acquisition of Chevron’s operating stake in the Rapak, Ganal, and Makassar Strait PSCs, as well as Neptune Energy’s international portfolio.
- Investment: Eni’s commitment extends beyond exploration. The company plans to invest a total of US$14.8 billion in the Indonesia Deepwater Development (IDD) project2.
Read also: Suriname Possible Key Player in global oil and gas development – Eyes on Suriname
Conclusion: A Beacon of Hope
Eni’s Geng North discovery represents more than just hydrocarbons; it symbolizes hope for Indonesia’s economic growth, energy security, and technological advancement. As we celebrate this achievement, let us recognize the resilience and determination of those who explore the depths, bringing prosperity to our nation. 🌟🇮🇩