Ophir starts gas flow in central Kalimantan

Ophir Energy PLC, London, has started production from Kerendan natural gas field in central Kalimantan, Indonesia.

The region’s first commercial hydrocarbon production began at 3-5 MMscfd, flowing to a 155-Mw power plant being commissioned by Indonesian National Power Co. (PLN) 3 km away.

After commissioning of the plant, Kerendan output will be 5 MMscfd, restricted by nearby power needs.

Gas output will increase to 20 MMscfd after completion of a transmission line to Tanjung later this year.

Ophir said 122 bcf of Kerandan gas is covered by an existing sales agreement. It estimates the field has a contingent resource of 458 bcf gross not covered by contract.

The company holds a 70% operated interest in the Bangkanai production-sharing contract (PSC) encompassing the field. PT Saka Bangkanai Kalimantan holds a 30% equity interest.

Ophir also holds interests in nearby the nearby Northeast and West Bangkanai PSC areas, which it says have structures analogous to Kerendan.

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