Regional Oil and Gas News (01-08 June 2013)

Here is a brief summary of certain industry news for the past week

54-year-old Karen Agustiawan has been officially reappointed to lead the state-run oil and gas firm for another 5-year term.

Pertamina is currently the second-largest crude oil producer in Indonesia behind US-based Chevron Pacific Indonesia — whose output amounts to 40 percent of total output — and the third-largest gas producer behind France-based Total E&P Indonesie (21 percent) and British giant BP (15 percent).

Pertamina’s oil output of 196,060 barrels per day (bpd) throughout 2012 covers only 17 percent of total production of Indonesia, a former member of the Organization of the Petroleum Exporting Countries (OPEC).

Pertamina’s gas output of 1,049 million meter standard cubic feet per day (mmscfd) of gas, meanwhile, amounts to only 13 percent of the country’s total output.

Source: Tuesday, 04 June 2013 Bloomberg   Indonesia trade deficit rises to near record

Indonesia's state-owned oil and gas company, Pertamina, signed the country's first shale gas production-sharing agreement this month, and two shale gas blocks were offered up for tender. According to a company statement, Pertamina will explore for shale gas in the Sumbagut block in North Sumatra, which is estimated to possess 18.56 trillion cubic feet (525.6 billion cubic meters) of shale gas.

Source:Indonesia Explores Shale Gas Opportunities  May 28, 2013   

JAKARTA, FAJAR, MAKASSAR - Special Executing Unit for Upstream Oil and Gas (Migas SKK) projected that oil production will increase in 2014. Replacement agency Executive Agency for Upstream Oil and Gas (BP Migas) that targets the oil and gas lifting next year range from 2.09 million to 2.15 million.   

Source: Lifting Minyak Mulai Menanjak

Pertamina EP, a subsidiary of state-owned oil and gas firm PT Pertamina, announced that it had found new oil and gas reserves in Sungai Jaing, Tabalong regency, South Kalimantan, according to Jakarta Post.

 Source: May 31, 2013,Borneo Post

Recent changes to the oil and gas procurement regulations in Indonesia have placed foreign investors on the back foot, potentially affecting the likes of Premier Oil (PMO) and Salamander Energy (SMDR).

Under the new rules, if a domestic company participates solely or as a leader of a consortium in a tender for an oil and gas project, its bid will be entitled to a pricing preference of 5%. This means if its bid is within 5% of the lowest bid, it will automatically be awarded the tender.                                                                                                                                                          Source: Indonesian storm brewing for UK-listed oilers

 

 The recent news that Azerbaijan, a major supplier of oil to Indonesia, is planning to build a US$4.8-billion oil refinery in Batam is just the latest in a string of similar announcements that have been made in recent years - with little investment actually happening.  

The project details were first unveiled by the OSO Group's CEO, Mariano Asril, in October. OSO would build the 600,000-bpd, $4.8-billion facility in a joint venture with SOCAR        Source:  Is there a refinery in Batam's future?  June 07, 2013  Oil Voice

 The Internet of Things (IoT) and the Industrial Internet that underlies it are two of the hottest topics in the tech world at the moment. 

According to GE, machine connectivity, or M2M, is the backbone of Industrial Internet. It offers solutions to the problems that arise from having vast computer networks in numerous industries by using a familiar set of communication protocols that essentially allow machines to “talk” to one another.                                                                                                                                                         Source:GE & TheRise of the Industrial Internet| June 6th Silicon Angle

SPIRIT Global Energy Solutions introduced its much-anticipated Intelligent Asset Manager for Artificial Lift applications. GENESIS, as the patented new device is known, represents a technological leap forward in capability for an operator to remotely access and manage downhole and surface artificial lift assets in real time. 

Source: PR Newswire 

  Spatial on Demand® web mapping services from Spatial Energy

Spatial Energy announced an agreement with Schlumberger to provide on-demand access to high resolution satellite and aerial imagery, topographic maps and digital elevation models from Spatial Energy within the Petrel E&P software platform for the oil and gas industry. Effective immediately, all clients of the Schlumberger Petrel* 2012.1+ release can access and use the vast archives of standard and premium geospatial content through

Source: PR Web

  

The Offshore Technology Conference, the largest gathering of offshore drilling, exploration, production, and environmental professionals, recorded significant growth in attendance and exhibition size at the recent edition at Reliant Park in Houston. The attendance of more than 104,000 was the highest in 30 years and the second highest ever, while 652,185 sq ft (60,590 sq m) of exhibition space was the largest ever.

More than 2,700 companies from 40 countries exhibited products, services, and technologies to boost offshore oil and gas reserves, increase recovery rates, and locate new fields.

Source: Off-Shore Magazine

 Singapore oil trader and shipper Hin Leong plans to spend up to$3 billion to build oil terminals and distribution facilities in emerging Asian markets, including fresh investments in Myanmar and Indonesia, to meet rising oil demand from the region.

 * Plans terminals, storage in China, East Timor, Indonesia and Myanmar

* Targets 5-10 pct rise in trade revenue on $12 bln last year

* Looking for refining investments to secure fuel; eyes LNG

Source: Oil traderHin Leong to spend $3 bln on Asia expansion

 

Glencore Xstrata, the commodities trading conglomerate, has entered the high margin liquefied natural gas trading market. This marks the turning point for the industry that has been for a long time under the tight grip of major oil firms on the long term supplies to the market.

The LNG commodity market is one of the fastest growing markets because of the high volume of the gas that is being shipped out of Indonesia, Nigeria, Qatar and other countries.                                     Source: GlencoreXstrata Enters LNG Trading Market

The future is promising for the subsea oil and gas market in Infield Systems just released “Global Perspectives Subsea Market Report To 2017”. High oil prices, new technology, and the push to offset declining production from mature, shallow-water basins is driving operations into deepwater and ultra-deepwater, and that increases the number of subsea developments.

Malaysia, Indonesia, India, and China are becoming major subsea industry hot spots attracting a range of operators from NOCs, CNOOC and ONGC, to IOCs Shell and Chevron, and independent international companies like Murphy and Husky.                                                  Source: Infield seesstrong subsea market through 2017