PRIMA ENERGY NORTHWEST NATUNA BEGINS ENGINEERING & DESIGN FOR THE OFFSHORE DEVELOPMENT OF ANDE-ANDE LUMUT OIL FIELD

Jakarta, November 2024 – Cooperation Contractor (KKKS) - Prima Energy Northwest Natuna Pte. Ltd. (PENN), has collaborated with SKKMigas for the next development steps following the March-2024-approval of the revised Plan of Development (POD I) for the Ande-Ande Lumut (AAL) Oil Field in the Northwest Natuna Block. This coordination is in response to the substantial production potential of the AAL field, estimated at up to 20,000 barrels of oil per day, and which is expected to make a significant contribution toward achieving national oil production targets.

In its First Phase, the AAL Field production facilities will consist of a Central Production Platform (CPP) and the use of a leased Floating Storage and Offloading (FSO) vessel. The CPP, once operational, will comprise a topside weighing approximately 4,200 tons, situated atop a jacket weighing 2,400 tons (dry lift weight), to be installed at a water depth of 75 meters in the West Natuna Sea. Meanwhile, for the FSO will have a storage capacity of approximately 600,000 barrels of crude oil, and will be connected to the CPP via a Personnel Transfer Bridge.

The AAL Oil Field has unconsolidated sand reservoirs with heavy oil. This will require at least 20 production wells, with the First Phase scheduled to have seven (7) horizontal wells to produce oil from the Oligocene Upper Gabus ‘G’ and ‘K’ sand layers. The project targets a minimum local content (TKDN) compliance of 52.4%.

Pieters Utomo, CEO of Prima Energy, confirmed that PENN will immediately commence the Front-End Engineering Design (FEED) phase following the appointment of the contractor, selected through a tender process that complies with applicable regulations. Upon the completion of FEED, PENN will promptly proceed with the Final Investment Decision (FID), enabling the AAL Oil Field development to advance and contribute to the fulfillment of national production targets.

Meanwhile, the Head of the Program and Communication Division at SKK Migas, Hudi Suryodipuro, stated that the offshore development project at the AAL Field is highly strategic in efforts to bolster national energy security. “This field will produce a significant amount of oil, specifically 20,000 barrels per day, as a concrete step by SKK Migas and PENN to support increased oil production,” said Hudi.

“The Ande Ande Lumut Field project is progressing well, and we continue to conduct monitoring and oversight to ensure it becomes operational according to the scheduled timeline,” Hudi added.