skk migas annual report 2013

ANNUAL REPORT

2012

ANNUAL REPORT 2012SKK MIGAS

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SKK Migas Vision and Mission 2Core Values 3SKK Migas Chairman Foreword 4The History of SKK Migas 6BPMIGAS / SKMIGAS / SKK Migas Management 82012 Annual Report Summary 14

SKK MIGAS PERFORMANCEA. Upstream Oil and Gas Contract Area 22B. Exploration Activities 26C. Well Development & Maintenance Activities 31D. Oil & Gas Production Activities 33E. Oil & Gas Lifting 38F. State Revenues 42G. Production PSC Contractors Actual Investment 44H. Exploration PCS Contractors Actual Investment 45

EFFORTS TO INCREASE PRODUCTIONA. New Projects 49B. Improved Oil Recovery 50C. Reactivation of Suspended Wells 52D. PSC Contractors Forum for Exploration Contract Area (FOKWE) 53E. Cooperation with Other Institutions 56F. Knowledge Sharing 57

ISSUES AND RESOLUTIONSA. Land Acquisition and Permits 62B. Securing National Vital Objects 65C. Regulations 68D. Oil Theft in South Sumatra 70

DEVELOPMENT AND MAJOR PROJECTSA. Banyu Urip Field 75B. Indonesian Deepwater Development (IDD) 76C. Abadi Field 78D. Jangkrik & Jangkrik North East (JNE) Field 79E. Bukit Tua Field 80F. Ande Ande Lumut Field 81G. North Duri Development Area-13 (NDD Area-13) 82H. Corridor Block Development Project 83I. Ruby Field Development Project 84J. Kepodang Field 85K. Senoro Gas Field Integrated Development and Matindok Area 86L. Train 3 Tangguh Expansion Project 88

NATIONAL CAPACITY EMPOWERMENTA. Utilization Of Domestic Goods and Services 92B. Optimizing Asset Management in 2012 94C. Procurement Transactions Through State-Owned / Regional-Owned Banks 95D. National Capacity Building (NCB) Management 96E. Continuous Development 98

INTERNAL SKK MIGASA. SKK Migas Strategic Plan (Renstra) for 2011-2015 102B. Configuring BPMIGAS (Now SKK Migas) Organization Structure 103C. ISO 9001:2008 Certification 104D. Internal Human Resources Management and Development 106E. Management and Development Of PSC Contractors Human Resources 110F. SKK Migas Budget Realization And Expenditure 112G. State Official Employee Report By SKK Migas 113H. Information and Communication Technologies (ICT) 114

2012 Oil, Gas and CBM Contract Area Map 117

INTRODUCTION

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APPENDIX

TABLE OF CONTENTS

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SKK MIGAS VISION AND MISSION

SKK MIGAS VISION AND MISSION

Be a proactive and trustworthy partner in optimizing the benefits of the upstream oil and gas industry for all stakeholders while becoming one of the Nation’s engines in mobilizing different economic and industrial activities.

Supervise and control the Production Sharing Contracts implementation through partnerships in order to ensure the effectiveness and efficiency of upstream oil and gas business activities for the greatest welfare of the Nation.

INTRODUCTION

VISION

MISSION


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PROFESSIONAL:Act as a professional with strong commitment.

RESPONSIVE:Promptly responding to enquiries and resolving issues.

UNITY IN DIVERSITY:Synergizing the differences for greater achievements.

DECISIVE:Taking calculated risk within the authority.

ETHICS:Conducting business by following the highest ethical standards consistently.

NATION FOCUSED:Maximizing national capacity and capability.

TRUSTWORTHY:Maintaining credibility to earn the trust of stakeholders.

CORE VALUES

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SKK MIGAS CHAIRMAN’ FOREWORD

“The transition from BPMIGAS to SKK Migas was carried out

rapidly and efficiently, so as to not disrupt daily operations.

Therefore, I would like to thank the Government for its prompt

response towards the changes, and also to all parties involved for

their unwavering support in this process.”

INTRODUCTION


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Assalamu’alaikum Wr. Wb

I would like to thank God Almighty for allowing the upstream oil and gas industry to run smoothly, despite facing a barrage of problems. The transition from BPMIGAS to SKK Migas was carried out rapidly and efficiently, so as to not disrupt daily operations. Therefore, I would like to thank the Government for its prompt response towards the changes, and also to all parties involved for their unwavering support in this process.

Thanks to these efforts at the end of 2012, the upstream oil and gas sector was still able to contribute to state revenues and even exceeded the target. BPMIGAS (now SKK Migas) hand in hand with PSC Contractors managed to keep actual production and lifting closer to the set target. To boost national economic growth, we successfully maintained a high usage of local content, both goods and services. In this respect, we also gave opportunities for state-owned companies to be involved in the upstream oil and gas industry. We also continue to develop the role of the national banking industry through the utilization of national banks in the upstream oil and gas industry. No less important is our efforts to increase gas allocation to meet domestic consumption thus producing a chain reaction towards the economy.

Nevertheless, we still have plenty of work to do which require extra efforts, especially if we are to increase production in the short-term, mid-term, and long-term. SKK Migas’ performance in 2012 and previous years showed that we couldn’t succeed without the aid of the Nation.

This annual report is our way to show responsibility for all the support and trust given. We hope that in future years, our stakeholders will give us even more support in realizing the oil and gas industry, so as to generate maximum benefits for the Nation.

Wassalamu’alaikum Wr. Wb

Rudi Rubiandini R.S.

SKK MIGAS CHAIRMAN FOREWORD

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On November 13th, 2012, the Constitutional Court rendered Decision Number 36/PUU-X/2012 which declared that phrases related to Badan Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (BPMIGAS) stated in Law Number 22 of 2001 on Oil and Gas to be in contradiction with the 1945 Constitution and does not have any binding power. The implication of this decision is the transfer of BPMIGAS role to the Government cq. related Ministry.

BPMIGAS as a government agency that has supervised and controlled the upstream oil and gas business activities for the past decade was the first to comply and obey with the Constitutional Court Decision. As soon as the decision was announced, BPMIGAS management instructed its employees to immediately stop all works related to the duties and functions of said agency. As a form of compliance, BPMIGAS also disabled its employee’s external email and website, which was used to communicate with the public.

At the same time, the Government acted swiftly to ensure upstream petroleum operations was not disturbed by the Constitutional Court Decision. President Susilo Bambang Yudhoyono issued Presidential Regulation Number 95 of 2012 on The Transfer of Duties and Functions of the Upstream Oil and Gas Activity Agency. Inline with the Constitutional Court Decision to transfer the functions and duties of BPMIGAS to the related Minister, the Presidential Regulation reiterated that the duties, function and organization of BPMIGAS are transferred to the Minister of Energy and Mineral Resources (EMR). The Presidential Regulation also states that the Minister of EMR shall continue all processes conducted by BPMIGAS.

BPMIGAS duties, such as approval of work program and budget (WP&B), plan of development (POD), authorization for expenditure (AFE), and permits, supervision and any ongoing implementation shall be continued based on the Presidential Regulation.

As a consequence of Presidential Regulation Number 95 of 2012, the Minister of EMR also issued Decree Number 3135K/08/MEM/2012 and Number 3136K/73/MEM/2012 on November 13th, 2012. With the issuance of Minister of EMR Decree Number 3135K/08/MEM/2012 BPMIGAS duties, functions, and organizational structure were transferred to Satuan Kerja Sementara Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKMIGAS), a unit under and supervised by the Minister of EMR.

THE HISTORY OF SKK MIGAS

THE HISTORY OF SKK MIGAS

BPMIGAS was the first to comply and obey the Constitutional Court Decision Number 36/PUU-X/2012.

INTRODUCTION


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Whereas, Minister of EMR Decree Number 3136K/73/MEM/2012 transferred BPMIGAS management and employee to SKMIGAS and instructed that all management and employee to carry out their duties. With the intent to give legal certainty to investors, on January 14th, 2013, through Presidential Regulation Number 9 of 2013 on Management of Upstream Oil and Gas Activities, Satuan Kerja Khusus Pelaksana Kegiatan Usaha Hulu Minyak dan Gas Bumi (SKK Migas) was established to manage the upstream oil and gas activities until a new law on oil and gas is passed. With this, SKMIGAS duties and responsibilities are transferred to SKK Migas.

To control, supervise, and evaluate SKK Migas management of upstream oil and gas business activities, Presidential Regulation Number 9 of 2013 also created an Oversight Committee. This committee consists of a Chairman (Minister of EMR), Vice Chairman (Deputy Minister of Finance) and 2 members (Indonesia Investment Coordinating Board Chairman and Vice Minister of EMR).

Based on this history, SKK Migas performance in this annual report also compromises the performance of BPMIGAS and SKMIGAS in managing the upstream oil and gas industry on behalf of the Government.

The performance of the upstream oil and gas industry in 2012 is based on the contribution of all stakeholders to uphold its responsibility to the Nation and the State. This achievement is the result of stakeholders maximum effort in the face of various challenges in the upstream oil and gas industry, both technical and non-technical.

Despite facing a number of challenges in 2012, the upstream oil and gas industry was able to fully contribute to the State through several accomplishments such as maximizing Government Take and exceeding the target set in 2012 APBN-P; increasing allocation of domestic gas and thus creating a chain reaction towards the national economy; increasing national capacity; and also maintaining the national energy security.

Despite facing a number of challenges in 2012, the upstream oil and gas industry was able to fully contribute to the State.

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SKK MIGAS CHAIRMAN Rudi Rubiandini R.S. was inaugurated as SKK Migas Chairman on January 16th, 2013 having previously held the office of Vice Minister of EMR since June 14th, 2012. The name Rudi Rubiandini is well known within the upstream oil and gas industry. Earning his Doktor Ingenieurs (Dr.-Ing) degree specializing in petroleum engineering from the Technische Universitaet Clausthal, Germany, Rudi formerly served as BPMIGAS’ Deputy for Operation Management as well as Corporate Secretary for the same agency. Before joining BPMIGAS, Rudi was a known consultant for various oil and gas field development projects, a trainer of different technical courses in the oil and gas industry, and as a source for a variety of seminars. He has also developed numerous upstream petroleum engineering softwares and is an author of several books. This Petroleum Engineering Faculty of the Bandung Institute of Technology (ITB) alumnus is also actively involved in assisting the Government, among others as the Deputy Chairman for the Supervisory Team of Oil and Gas Production Enhancement (TP3M), Ministry of EMR and as the Deputy Chairman for Investigation Team of Oil and Gas Accidents. Born in Tasikmalaya on February 9th, 1962, Rudi also has extensive field experiences among others in handling blowout incidents in several oil and gas fields in Indonesia.

SKK MIGAS VICE CHAIRMAN Johanes Widjonarko was inaugurated as SKK Migas Vice Chairman on February 8th, 2013. He initially served as BPMIGAS’ Vice Chairman (2012) and Deputy for General Affairs in the same agency (2011). Born in September 28th, 1962, Widjonarko graduated from the geological engineering department, National Development University (UPN), Yogyakarta, in 1988. He then obtained a Masters Degree in Business Policy Administration Science from the University of Indonesia (UI). Widjonarko began his career by working as a government official at the Directorate General of Oil and Gas, Ministry of EMR, since 1991. During his work at the Directorate General of Oil and Gas, Widjonarko was actively involved as a member in teams formulating and preparing various regulation concepts, including Law Number 22 of 2001 on Oil and Gas, Government Regulation Number 35 of 2004 on Upstream Oil and Gas Activities, and Law Number 79 of 2010 on Recoverable Operational Costs and Income Tax in the Upstream Oil and Gas Industries. He was also involved for more than seven years in drafting concepts for cooperation contracts and the offering of new oil and gas working areas. In addition, Widjonarko was responsible for the formulation of government policies in the oil and gas sub sector. Included in these policies were: The Energy and Mineral Resources Minister’s Regulation Number 03 of 2010 on Natural Gas Allocation; Master plan for the National Gas Distribution and Transmission Network; oil and gas infrastructure policy; strategic reserves concept; and the National Gas Blueprint Concept. In 2011, Widjonarko was also appointed as Head of the EMR Technical Team to formulate the Master Plan for Acceleration and Expansion of Indonesian Economic Development (MP3EI) in 2011-2025.

SKK MIGAS MANAGEMENT (JANUARY 14th, 2013-PRESENT)

BPMIGAS / SKMIGAS / SKK MIGAS MANAGEMENTINTRODUCTION

PIMPINAN SKK MIGAS PERIODE 14 JANUARI 2013 - SEKARANG


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SKK MIGAS SECRETARY Gde Pradnyana was inaugurated as SKK Migas Corporate Secretary on February 8th, 2013 following the office of BPMIGAS’ Deputy for Operations Management. In November 19th, 2002, Gde resigned from being a lecturer in ITB and joined BPMIGAS as Head of the Operation Facilities and Construction Division and before joining the ranks of management, Gde was Head of Public Relations, Security and Formalities Division at the same agency. Born in Klungkung, Bali, on April 28th, 1960, Gde earned a degree in Civil Engineering from ITB in 1984. He received his master degree in Ocean Engineering from University College London and subsequently his Doctor of Philosophy in the same field from the University of Oxford, UK in 1992. Gde is an alumnus of the National Resilience Institute (LEMHANNAS). He has more than 25 years of experience in upstream oil and gas industry and during that period he was involved in various major projects, including the West Seno TLP; the Tangguh LNG Plant; as well as the Kerisi Hiu and the North Belut Platforms.

SKK MIGAS CHIEF EXECUTIVE AUDIT Priyo Widodo was inaugurated as SKK Migas Chief Executive Audit on February 8th, 2013. Born in Yogyakarta on March 19th, 1960, Priyo received his undergraduate degree in Accounting from Gajah Mada University (UGM) in 1985 and his postgraduate degree in Management from the UI in 1994, and for more than 25 years he has dedicated his services to the financial controls aspect of the upstream oil and gas industry. Early in his carrier, Priyo worked for Pertamina with his last position as Government Take Audit Manager in the Directorate of Production Sharing Management (Dit. MPS). Priyo then continued his carrier in BPMIGAS from 2003 up to 2012. In this institution, Priyo occupied several offices, among others, as the Head of Financial Management Division; Head of Work Program and Budget Management Division; and Vice President Management Representative of Pertamina EP for Eastern Area.

SKK MIGAS DEPUTY FOR PLANNING MANAGEMENT Aussie B. Gautama was inaugurated as SKK Migas Deputy for Planning Management on February 8th, 2013 following the office of BPMIGAS expert staff for exploration and reserves concept. Born in Canberra on August 22nd, 1955, Aussie graduated from ITB’s Geological Engineering Study Program and has more than thirty years experience as a geologist. Since 1982 to September 2012, Aussie worked for Total E&P Indonesie with his last position as Vice President Geosciences & Reservoir. While working for Total E&P Indonesie, Aussie was involved in several national and international field development projects, among others, as a geologist for the Elmworth Project in Canada; as a senior geologist for the Tunu Field in East Kalimantan; and as head 3G studies for the Egina Project in Preowei, Nigeria.

PIMPINAN SKK MIGAS PERIODE 14 JANUARI 2013 - SEKARANG

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SKK MIGAS DEPUTY FOR OPERATIONS MANAGEMENT Muliawan was inaugurated as SKK Migas Deputy for Operations Management on February 8th, 2013. Born in Jakarta on February 20th, 1962, Muliawan received his undergraduate degree in exploration mining engineering from ITB and his postgraduate degree from UGM. Muliawan has extensive experience in upstream oil and gas operation activities, either during his term of office in Pertamina or during his service in BPMIGAS. Several positions were occupied by Muliawan in BPMIGAS, among others are Head of Production Operations Division and Head of BPMIGAS Representative Office. Muliawan has also attended numerous technical trainings related to the operations of upstream oil and gas industry conducted either in the country or abroad.

SKK MIGAS DEPUTY FOR FINANCIAL MANAGEMENT Akhmad Syakhroza was inaugurated as SKK Migas Deputy for Financial Management on February 8th, 2013. Born in Bengkulu on November 30th, 1963, Syakhroza graduated as an accounting major from the Faculty of Economy, UI in 1987. He pursued a Masters Degree in Accounting, Finance, and Information System at Cleveland State University, Ohio, United States, and graduated in 1991. He obtained a doctoral degree in Organization Behavior and Management Accounting from the Faculty of Business and Public Management, Edith Cowan University, Perth, Australia, in 2001. Apart from being a lecturer at the Faculty of Economy, University of Indonesia, Syakhroza was also active as an auditor, consultant, and audit committee member at several private companies.

SKK MIGAS DEPUTY FOR COMMERCIAL MANAGEMENT Widhyawan Prawiraatmadja was inaugurated as SKK Migas Deputy for Commercial Management on February 8th, 2013. Born in Bandung on August 4th, 1960, Widhyawan earned his bachelor degree in Industrial Engineering from ITB in 1987. He continued his study and earned a Ph.D. in economics from the University of Hawaii in 2002. Working for the energy sector for more than 25 years, Widhyawan has held various executive positions both in national and multinational companies, among others, as Country Executive for GE Energy Indonesia.

SKK MIGAS DEPUTY FOR BUSINESS SUPPORT MANAGEMENT Gerhard M. Rumeser was inaugurated as SKK Migas Deputy for Business Support Management in February 8th, 2013. Born on March 22, 1956, in Magelang, Gerhard earned his bachelor degree in Mechanical Engineering from ITB in 1984. He pursued a Master’s degree in Human Resource Management at Rutgers State University, USA, and earned his degree in 1999. Working in the upstream oil and gas industry for more than 20 years, Gerhard has wide experiences in human resource management, among others, as Country HR Manager at BP Indonesia, and has held numerous positions in BPMIGAS, among others, as Head of Procurement and Assets Division, Head of Human Resources and General Affairs Division, and as Deputy for General Affairs.



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SKMIGAS MANAGEMENT (NOVEMBER 13th, 2012 - JANUARY 14th, 2013)

MINISTER OF ERM AS SKMIGAS CHAIRMAN Ir. Jero Wacik, S.E. was inaugurated as Minister of Energy and Mineral Resources on October 18th, 2011 having previously held the office of Minister of Culture and Tourism since October 21st, 2004. With the founding of SKMIGAS through Presidential Regulation Number 95 of 2012, Jero concurrently held the office of Chairman of SKMIGAS up to the establishment of SKK Migas based on Presidential Regulation Number 9 of 2013. Born in Singaraja, Bali on April 24th, 1949, Jero earned his bachelor degree in Mechanical Engineering from ITB in 1974 and his bachelor degree in Economics from UI in 1983.

SKMIGAS VICE CHAIRMAN Johanes Widjonarko

SKMIGAS DEPUTY FOR PLANNING Widhyawan Prawiraatmadja

SKMIGAS DEPUTY FOR FINANCIAL MANAGEMENT Akhmad Syakhroza

SKMIGAS DEPUTY FOR OPERATION MANAGEMENT Gde Pradnyana

SKMIGAS DEPUTY FOR GENERAL AFFAIRS Gerhard M. Rumeser

SKMIGAS DEPUTY FOR EVALUATION AND LEGAL ADVISORYLambok H. Hutauruk held the office of BPMIGAS and later SKMIGAS Deputy for Legal Evaluation and Consideration from October 9th, 2009 until February 7th, 2013. Having previously held the office of Director of Gratification in the Corruption Eradication Commission (KPK). Born in Tebing Tinggi, Sumatera on July 3rd, 1954, Lambok received his Bachelor Degree in Civil Engineering from the Technical University Darmstadt, Germany in 1983. In 1984, he received his Master Degree in Construction Management from the Technical University Braunschweig, Germany.

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BPMIGAS CHAIRMANR. Priyono held the office of BPMIGAS Chairman from April 29th, 2008 until November 13th, 2012. Born in Pati, Central Java on September 12th, 1956, R. Priyono received his Bachelor Degree in Geology from ITB in 1769. R. Priyono started his career at the Directorate General of Oil and Gas, Ministry of EMR. Before becoming BPMIGAS Chairman, he held the office of Director of Oil and Gas Upstream Business Development, Directorate General of Oil and Gas, Ministry of EMR. As Chairman of BPMIGAS, R. Priyono’s vision was to increase production by controlling cost recovery and simplifying bureaucracy.

BPMIGAS VICE CHAIRMANJohanes Widjonarko

BPMIGAS DEPUTY FOR PLANNINGWidhyawan Prawiraatmadja

BPMIGAS DEPUTY FOR FINANCIAL MANAGEMENTAkhmad Syakhroza

BPMIGAS DEPUTY FOR OPERATION MANAGEMENTGde Pradnyana

BPMIGAS DEPUTY FOR GENERAL AFFAIRSGerhard M. Rumeser

BPMIGAS DEPUTY FOR EVALUATION AND LEGAL ADVISORYLambok H. Hutauruk

BPMIGAS MANAGEMENT (UNTIL NOVEMBER 13th, 2012)



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A number of upstream oil and gas achievements in 2012 have strategic significance for the nation. The summary is as follows:

MAXIMIZING INDONESIA’S INCOME:• Successfully contributed US$34.9 billion to state revenues or 104% of the target

stated in the Indonesian Revised Budget (APBN-P) of US$33.48 billion. State revenues derived from the sales of petroleum are 58% of gross revenue.

• Increased the average gas price by 28.76% from the 2012 APBN-P target of US$8.23 per million British Thermal Unit (MMBTU) to US$10.59 per MMBTU through renegotiation of domestic gas price and transfer of LNG Tangguh Papua sales. This has become a significant factor under the control of the Government which contributes in exceeding the targeted state revenues, in addition to the Indonesian Crude Price (ICP) which reached US$113 per barrel.

• Produced 860 thousand barrel oil per day (MBOPD) of crude oil from the 2012 APBN-P target of 930 MBOPD (92.47%). This is 98% of the 2012 revised work program and budget (WP&B) of 878.5 MBOPD. While gas production reached 8,150 million standard cubic feet per day (MMSCFD).

• The realization of investment in the upstream oil and gas sector continually rises from year to year. In 2012, investments reached US$16.1 billion, which is a US$14 billion increase (115%) from last year. In 2012, investments in the upstream oil and gas sector used for exploration activities amounted to US$1.4 billion, while production and development activities reached US$13.7 billion, and administration activities amounted to US$1 billion.

• In 2012 the Directorate General of Oil and Gas, Ministry of EMR signed 25 new cooperation contracts in the form of Production Sharing Contracts (PSC). Making the number of contracts under the supervision of SKMIGAS (now SKK Migas) at the end of 2012 a total of 308 cooperation contracts, which consists of 75 production PSC’s, 179 exploration PSC’s and 54 CBM PSC’s.

2012 ANNUAL REPORT SUMMARY

2012 ANNUAL REPORT SUMMARYINTRODUCTION

The realization of investment in the upstream oil and gas sector continually rises from year to year. In 2012, investments reached US$16.1 billion, which is a US$14 billion increase (115%) from last year.


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ENERGY FOR THE NATION:• It is the commitment of this agency to maintain domestic energy supply to increase

sustainability resulting in a chain reaction that will affect national industry and economy. The volume of domestic natural gas in 2012 reached 3.4 billion BTU per day, which is a 262% increase from 2002 which was under 1.3 billion BTU per day.

• This agency also aims to maximize oil supplies so as to maintain national energy sustainability. 65% of oil production is allocated for the needs of domestic refineries, while the rest of the production is exported. This is due to the fact that part of the production belongs to the PSC Contractors, not to mention the limited capacity of domestic refineries and also as a strategy to determine ICP needed in calculating the LNG price.

• To support the Governments program in reducing the consumption of subsidized fuel, we have allocated gas for transportation needs; however this program has not been fully realized due to inadequacy of infrastructure.

It is the commitment of this agency to maintain domestic energy supply to increase sustainability resulting in a chain reaction that will affect national industry and economy.

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EFFICIENCY:• To implement the Indonesia Incorporated concept, we continually improve joint

procurement of goods and services by PSC Contractors. In 2012, this activity has generated savings of US$147.96 million, higher than the target of US$125 million, with a total savings of US$355.6 million since this program was launched in 2008.

• Utilization of shared assets has increased from 2009 to 2012. In 2012, this activity has generated savings of US$43 million, higher than the target of US$30 million, with a total savings of US$148 million since 2009.

• This agency has conducted a bureaucracy reform to accelerate approval processes. One of these reforms can be seen by the acceleration of the POD approval process. By increasing BPMIGAS (now SKK Migas) organizational abilities, we were able to accelerate the POD approval process from 47 days in 2006-2007 to 28 days since 2010 dan approval of WP&B before the start of the new fiscal year since 2010.

• Based on Law Number 22 of 2001 on Oil and Gas, this agency is entitled to 1% of the total oil and gas revenues for its operating costs. The average approved budget from year to year is 0.3%, as is for 2012. For the past 10 years this agency has attempted to economize its operation and by 2012 has returned US$1.8 billion of its budget to the state treasury.

By increasing BPMIGAS (now SKK Migas) organizational abilities, we were able to accelerate the POD approval process.



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UPHOLDS NATIONAL INTEREST :• This agency continues to uphold national interest by implementing procurement

policies needed to maintain upstream oil and gas activities, such as through Standard Operating Procedure Number 007 REVISI-II/PTK/2011 on PSC Contractors Supply Chain Management. Such guidelines give preferences to domestic providers of goods and services and require PSC Contractors to necessitate a minimum level of local content (Tingkat Komponen Dalam Negeri / TKDN) in their procurement process.

• To increase national and regional banking capacities (State-Owned and Regional-Owned Banks), this agency is committed to using State-Owned and Regional-Owned Banks. In 2012, the total transaction for procurement of goods and services using State-Owned and Regional-Owned Banks reached US$9 billion. Based on this, the total transaction for procurement of goods and services using State-Owned and Regional-Owned Banks from April 2009 until 2012 is US$24.28 billion.

• Procurement commitments in 2012 reached US$16.61 billion with a 60.04% local content (cost basis).

• Local content also involves the participation of state-owned goods and services suppliers. Since 2010 up to 2012, the total amount of procurements was US$2.1 billion with an average local content of 74.26%. SKK Migas hopes that state-owned company’s participation can be improved in the future so as to maximize the upstream oil and gas industries multiplier effect.

This agency continues to sustain national interest by upholding procurement policies.

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SOCIAL RESPONSIBILITY:• By increasing the budget for social responsibility in the oil and gas industry, we

confirm our commitment to the community. In 2012, the budget realization for activities related to social responsibility reached Rp305 billion, a 171% increase from 2011 realization of Rp178 billion.

• Some of the activities were for education aid and community assistance.

• As a form of social concern, we also gave rapid aid to the victims of natural disasters, such as the earthquake in Yogyakarta, the earthquake in Nias, the earthquake in Padang, the landslide and flood in Wasior, as well as the flood in Jakarta.

INCREASING OIL AND GAS RESERVES:• SKK Migas improved its coordination with central and local Government institutions

to facilitate PSC Contractors exploration permits needed to increase oil and gas reserves. In 2012, we drilled 96 exploration wells, which is an increase from last year’s accomplishment of 83 exploration wells.

• The percentage of successful wildcat exploration wells (with flow test) is 45% or higher than the world average of 40%, with a discovery of 987 million barrels of oil equivalent (MMBOE) in reserves. Exploration activities in 2012 are primarily offshore with higher risks.

• Considering the high risk of upstream oil and gas activities, the cooperation contract system is designed to protect the interest of the State. Thus by applying said system the costs of failed exploration activities are not born by the State. The data indicates that from 750 exploration wells drilled in 2002 up to 2012, the amount of dry holes reached 328 wells or almost 50%, and all costs associated with the dry holes are born by the investors.

By increasing the budget for social responsibility in the oil and gas industry from year to year, we confirm our commitment to the community.



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MAIN PROJECTS:To increase national oil and gas production we are developing new oil and gas fields through several major projects, which are:

• Banyu Urip – Mobil Cepu Ltd; • Indonesia Deepwater Development (IDD) – Chevron Indonesia Company; • Abadi – INPEX Masela Ltd.; • Jangkrik and Jangkrik North East (JNE) – eni Muara Bakau B.V.; • Bukit Tua – PC Ketapang II Ltd.; • Ande-Ande Lumut – AWE (Northwest Natuna) Pte. Ltd.; • North Duri Development 13 (NDD-13) – PT Chevron Pacific Indonesia; • Corridor – ConocoPhillips Grissik Ltd.; • Ruby – PearlOil (Sebuku) Ltd.; • Kepodang – PC Muriah Ltd.; • Donggi Senoro – JOB Pertamina-Medco Tomori; • Tangguh Train 3 – BP Berau Ltd.

To increase national oil and gas production we are developing new oil and gas fields.


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SKK MIGAS PERFORMANCEI

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A. UPSTREAM OIL AND GAS CONTRACT AREAI. SKK MIGAS PERFORMANCE

One of the ways that the Government of Indonesia increases reserves and production of oil and gas is by extensification (i.e. increasing the number of new contract areas). Throughout 2012 the Directorate General of Oil and Gas made 3 procurement announcements for new contract areas, which was followed by the signing of Cooperation Contracts in the form of Production Sharing Contracts in April, July and October. From those activities, the Government of Indonesia was able to add 13 oil and gas contract areas and 12 coal bed methane (CBM) contract areas.

At the same time, the Government approved the total relinquishment of 4 contract areas by PSC Contractors, which are Asmat contract area, Bengara-II contract area, Halmahera contract area and Rembang contract area. Furthermore there are 18 contract areas in the process of total relinquishment. Said contract areas are relinquished because until the end of the exploration period the respective PSC Contractors could not fulfill their firm commitment or could not find producible reserves.

From those endeavors, at the end 2012 there were 308 contract areas (CA) as follows:

New Contract Area

Total Contract Area in 2012

One of the ways the Government of Indonesia increases reserves and production of oil and gas is by extensification (i.e. increasing the number of new contract areas).

UPSTREAM OIL AND GAS CONTRACT AREAA.

TOTAL PRODUCTION CBM EXPLORATION TERMINATION

ONSHORE 142 CA 36 CA 52 CA 53 CA 1 CA

OFFSHORE 112 CA 24 CA 0 CA 74 CA 14 CA

ONSHORE/ 54 CA 15 CA 2 CA 34 CA 3 CAOFFSHORE

CBM CA ACTIVE OIL TERMINATION & GAS CA PROCESS

54 CA 161 CA 18 CA

PRODUCTION EXPLORATION CA CA

75 CA 233 CA

TOTAL CONTRACT AREA 308 CA


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Yearly breakdown of CBM, production and exploration contract area.

350

300

250

200

150

100

50

0

2010 2011 2012

245

287

308

155

172

179

23

4254

67 73 75

Total CA

Exploration CA

Production CA

CBM CA

Tota

l Con

trac

t Are

a

Through 2012, the Government successfully added 13 oil and gas contract areas and 12 CBM contract areas. The Government also approved the total relinquishment of 4 contract areas from PSC Contractors, so that at the end of 2012 there are a total of 308 contract areas.

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A. UPSTREAM OIL AND GAS CONTRACT AREAI. SKK MIGAS PERFORMANCE

At the end of 2012, there are 233 exploration contract areas consisting of 54 CBM contract areas, 161 oil and gas contract areas, and 18 contract areas in the process of total relinquishment. 119 contract areas has entered the firm commitment evaluation phase, bearing in mind those contracts signed in 2003-2009 has passed the initial 3-year exploration phase.

Out of the 119 exploration contract areas, 42 contract areas were able to fulfill its firm commitment, 59 contract areas were not able to fulfill its firm commitment, and 18 contract areas are nominated for total relinquishment.

Exploration Contract Area

42 (35%)ABLE TO FULFILL THEIR FIRM COMMITMENT

59 (50%)NOT ABLE TO FULFIL THEIR FIRM COMMITMENT

18 (15%)TERMINATION PROCESS

35%

50%

15%


25

Evaluation results shows that fulfillment of firm commitment faces many challenges in the field. The major challenges are external issues (47%), which consist of social issues, permits, and overlapping of land ownership. Other challenges are internal PSC Contractor issues (24%) (operatorship, financial, priority holding, etc.), availability of equipments and operational support services (21%), and subsurface complexity issues (8%).

In 2012, 2 contract areas entered into the production phase by obtaining Plan of Development approval from the Minister of EMR, which are Tonga contract area and Palmerah contract area. With the addition of those contract areas, the total production contract area has reached 75 contract areas, with 60 producing contract areas and 15 contract areas in the development phase.

Based on the first POD, those 2 contract areas will contribute approximately 1,500 BOPD in 2013.

Challenges in Fulfilling Firm Commitment

Production Contract Area

47%EXTERNAL

24%INTERNAL

21%EQUIPMENT

8%SUBSURFACE COMPLEXITY

There are 233 exploration contract areas consisting of 54 CBM contract areas, 161 oil and gas contract areas, and 18 contract areas in the process of total relinquishment.

47%

21%

24%

8%

26

B. EXPLORATION ACTIVITIESI. SKK MIGAS PERFORMANCE

Regarding intensification efforts to increase oil and gas reserves, SKK Migas encourages PSC Contractors to conduct exploration activities, both in exploration contract areas and in production contract areas.

The activities conducted in this phase consists of geological & geophysical studies (G&G), geophysical studies (2D seismic and 3D seismic survey), exploration drilling, coring, and production test. For CBM contract areas, the exploration activities also include CBM drilling (exploration & core hole) and dewatering.

In 2012, 241 PSC Contractors have conducted a total of 460 G&G and technical services from abroad (TSA) studies, consisting of 377 domestic studies, 46 TSA studies and 37 in-house studies.

The total budget for exploration G&G and TSA studies in 2012 is US$91.47 million, with 310 studies using new authorization for expenditure (AFE) and 113 studies carried over from last year.

In 2012, PSC Contractors conducted 27 activities of 2D seismic surveys (13,995 km) and 19 activities of 3D seismic survey (6,615 km2).

G&G and TSA Studies for Exploration Activities

Seismic Survey

2D and 3D Seismic Surveys in 2007-2012

EXPLORATION ACTIVITIESB.

35,000

30,000

25,000

15,000

10,000

5,000

0KM

/KM

2

2007 2008 2009 2010 2011 2012

11,775

4,776

25,427

13,550

31,656

6,997

33,906

8,990

12,549

8,147

13,995

6,165

2D Seismic Survey

3D Seismic Survey


27

Exploration Drilling (Conventional)

Exploration Drilling

Wildcat Discovery in 2012

Exploration Wells Success Ratio (Wildcat, with flow test)

In 2012, there were 96 (conventional) exploration wells drilled, consisting of 55 onshore wells and 41 offshore wells.

From the 96 exploration wells drilled, 60 wells are defined as wildcat wells with 27 discovered hydrocarbons consisting of 9 oil & gas discovery wells, 13 gas discovery wells and 5 oil discovery wells.

The remaining 36 wells are defined as delineation wells. The success ratio for wildcat exploration wells (with flow test) is 45% or higher than the world average of 40%, with a discovery of contigent resources of 987 MMBOE.

100

80

60

40

20

0

42

33

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

30

24

26

38

22

32

43

37

24

50

16

54

11

61

26

54

22

59

41

55

Offshore

1200

1000

800

600

400

200

0

2008 2009 2010 2011 2012*

30

25

20

15

10

5

0MM

BO

E

Wel

ls27

23

19

24

27

154235

508

361

987

Discovery

100

80

60

40

20

0

2008 2009 2010 2011 2012*

60%

50%

40%

30%

20%

10%

0 WEL

LS

Per

cent

age

57%51%

35%

47% 45%

27

27

4754

4551

60

2319

24 27

Success Ratio

Wildcat

* December 31st, 2012 status awaiting final recapitulation

Discovery

Onshore

Wel

ls

Resources

28

In 2012, 3 PSC Contractors were able to meet their firm commitment, which are Newton Energy Capital Ltd (GMB Kutai contract area operator), Vico CBM Indonesia (GMB Sanga-Sanga contract area operator), and PT Medco CBM Sekayu (GMB Sekayu contract area operator). The activities conducted in CBM contract areas in 2012 consists of 16 corehole drillings, 14 exploration drilling, 22 G&G studies and 10 dewatering-production tests.

Daily production from dewatering / production test wells is +0.98 MMSCFD, derived from 8 wells in 3 CBM contract areas, which are GMB Sekayu contract area, GMB Sanga-Sanga contract area, and GMB Muara Enim contract area.


CBM Drilling

GMB and Pilot Drilling Activities

2010 2011 2012

6

0

13

16

13

910

Dewatering Production test

14

9

G&G Study Activities40

30

20

0

2009 2010 2011 2012

3

912

33

GMB Production Test 2010-2012

2010 2011 2012*

0

0.27

0.98

Exploratory

2 CA2 WELLS

3 CA8 WELLS

Tota

l CB

M in

MM

SFD

SKK Migas encourages PSC Contractors to conduct exploration activities compromising of geological & geophysical studies (G&G), geophysical surveys (2D seismic and 3D seismic survey), exploration drilling, coring, and production test.


Corehole

Wel

lsW

ells

1.2

1

0.8

0.6

0.4

0.2

0


29

Determining the Exploration Status (Penentuan Status Eksplorasi / PSE) is the transition process from exploration to production. In 2012 we achieved 40 PSE to develop exploration findings of 599 MMBOE, which will be further evaluated for POD submission.

Determining the Exploration Status

2010 2011 2012*

50

40

30

20

10

0

PSE

Exploration Discovery

277

52259927 27

40


MM

BO

E

Tota

l PSE

1,000

800

600

400

200

0

30

The estimation of volumetric resources (January 1st, 2012) conservative P50 original oil in-place (OOIP) is 64.6 BSTB (oil case) and P50 original gas in-place (OGIP) is 197.4 TSCF (gas case).

Until January 1st, 2012, there are 2,465 identified structures, consisting of 1,211 structures that have conducted lead surveys, 1,166 prospects that are ready to drill, 38 postdrill prospects with indications of hydrocarbon without production tests, and 50 prospects with hydrocarbon discoveries.

Based on the approved PODs in 2012, generated additional reserves are 162.73 MMSTB oil and 3.78 TSCF gas.

In 2012 oil and gas production reached 314.67 MMTSB for oil and 2.97 TSCF for gas so that the estimated oil and gas reserves per January 1st, 2013 is as follows:

Reserve Replacement Ratio (RRR) for oil in 2012 is 52%, while for gas is 127%. This means for every barrel of oil produced it will be replaced by 0.52 barrels of oil found. While for every TSCF gas produced it will be replaced by 1.27 TSCF gas found. Whereas the withdrawal rate (WR) of oil is 8.41% and gas is 2.87%.


Oil and Gas Resources and Reserves

Reserve Replacement Ratio (RRR) for crude oil in 2012 is 52%, while for natural gas is 127%.

PROVEN POTENTIAL PROVEN + POTENTIAL

OIL & CONDENSATES (MMSTB) 3,590.58 3,671.64 7,262.22

ASSO. + NON. ASSO. GAS (TSCF) 104.37 48.38 152.75


31

In 2012, PSC Contractors have conducted a total of 156 geological, geophysical and reservoirs (GGR) and production TSA studies, consisting of 136 domestic studies, 15 TSA (project) studies and 5 TSA (QC) studies.

The total budget for GGR and TSA studies in 2012 is US$36.4 million, consisting of US$29.1 million for GGR studies, US$6.59 million for TSA (project), and US$731 thousand for TSA (QC).

In 2012, there were 47 plan of developments (POD) consisting of 9 PODs, 3 improved oil recoveries (IOR) POD, 2 first PODs, 15 plan of further developments (POFD), 16 put on production (POP), and 2 POD revisions.

PSC Contractors’ estimation costs for investment and operation, oil and gas productions, and government income from those 47 PODs are:

WELL DEVELOPMENT & MAINTENANCE ACTIVITIESC.

G&G & TSA Studies for Production Activities

Plan of Development (POD)

OIL (MILLION BBL)

162.73

GAS(BSCF)

3,788.49

LPG(MILLION BBL)

7.45

GOVERNMENT TAKE (MILLION US$)

18,943.8

Cumulative Production

INVESTMENT COST (MILLION US$)

14,319

OPERATING COST (MILLION US$)

6,997.2TOTAL INVESTMENT & )

OPERATING COST(MILLION US$)

21,316.2

Operation & Investment Costs

OPERATING COST (MILLION US$)

6,550.2ASR COST (MILLION US$)

447

32

SKK Migas encourages PSC Contractors to drill additional wells (infill wells) and conduct workovers, in order to withhold the decline in production. In 2012, 840 production wells were drilled out of the 907 wells planned. This was due to several constraints such as land acquisition, permit processes, and rig availability.

740 wells or 85% of the 871 wells planned were maintained through workover. This is due to priority usage of workover rigs and several constraints such as Hinder Ordonnantie (HO) permits, explosives permits, and procurement of workover rigs. Thus affecting the execution of planned activities in 2012.

Of the 13,179 well service activities planned, 11,323 activities or 82.5% have been conducted.

Realization

C. WELL DEVELOPMENT & MAINTENANCE ACTIVITIESI. SKK MIGAS PERFORMANCE

Production Drilling Activities (Development Well) andWorkover Well

Development Drilling in 2004-2012

Left Table:Development Drilling

Right Table:Workover

1,400

1,200

1,000

800

600

400

200

0

442

2004 2005 2006 2007 2008 2009 2010 2011 2012

563614

749

985

1,219

951 953840

Wel

ls

1,000

900

800

700

600

500

400

300

200

100

0

836

2011 2012

953907

840

700

871

704740

Wel

ls

2011 2012

1,000

900

800

700

600

500

400

300

200

100

0Wel

ls

WP&B Revision


33

Production of Oil, Condensate and Gas

Oil and Condensate

Oil and Condensate Production

in 2012

In 2012, the average production of oil and gas reached 2.31 million barrels of oil equivalent per day (MMBOEPD).

Based on the production data, in 2007-2010 oil production increased year to year, however in 2012 a decline occurred, caused by a drop in production from Total E&P Indonesie, ExxonMobil Oil Indonesia Inc., and PT. Chevron Pacific Indonesia.

Oil and condensate production in 2012 reached 860 MBOPD or 92.5% of the APBN-P target of 930 MBOPD.

OIL CONDENSATES GAS

OIL & GAS PRODUCTION ACTIVITIESD.

APBN-P - 930 MBOPD

WP&B Revision = 878.5 MBOPD

950,000

900,000

850,000

800,000

750,000

Jan-12 Mar-12 May-12 Jul-12 Sep-12 Nov-12

June 24th, 2012 -MCL: -24MBOPD Total S/D for TAR -HESS: -6 MBPOD, 18” pipeline pigging of several wells in WHP-A and WHP-B Shutdown -TEPI: Handil compressor

July 15th, 2012 -JOBPPEJ, PEP, MCL: -52 MBPOD. Shutdown SKW wellsbecause of issues in the Hose Off replacement process.Shore pipeline at FSO Cintanatomas and MCL to Mudi rate reductions.

2,750

2,500

2,250

2,000

1,750

1,500

1,250

1.,000

750

500

250

-

2,572.72

142.40

1,272.90

2,464.46

132.65

1,208.78

2,636.46

132,21

1,119.90

2,587.63

133.72

1,012.86

2,521.94

129.16

966.77

2,459.02

127.03

935.09

2,373.85

122.74

883.25

2,254.89

118.39

836.01

2,308.91

124.15

852.63

2,370.57

122.33

826.47

2,526.49

120.45

824.45

2,404.76

107.80

794.30

2,315.18

97.09

762.82

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Gas production = 45% to 64% of oil, condensate and gas productionOil production = 49% to 32% of oil, condensate and gas productionCondensate production = 6% to 4% of oil, condensate and gas production; 12% to 8% of gas production.

MB

OEP

D

BO

PD

1,160.42 1,123.03 1,384.35 1,441.05 1,426.01 1,396.90 1,367.86 1,300.49 1,332.13 1,421.77 1,581.59 1,502.66 1,455.27

34

Based on the production attained in 2012, only 3 out of 50 oil producing PSC Contractors were able to fulfill their APBN-P target.

15 out of 50 oil producing PSC Contractors produced higher than the previous year. The 15 PSC Contractors are Hess (Indonesia-Pangkah) Ltd., PT. Pertamina EP,JOB Pertamina-Talisman Jambi Merang, PT. Pertamina Hulu Energi ONWJ, Mobil Cepu Ltd., PT. Sumatera Persada Energi, Medco E&P Tarakan, BP Berau Ltd., Camar Resources Canada Inc., Montd’Or Oil (Tungkal) Ltd., Santos (Sampang) Pty. Ltd., Star Energy (Kakap) Ltd., EMP Malacca Strait, S.A., Lapindo Brantas, Inc., and JOB Pertamina-EMP Gebang.

Based on the 2012 actual production attained in 2012, the 10 PSC Contractors with the largest oil production disparity from the set target with a total of 50.9 MBOPD, are Kangean Energy Indonesia, Ltd. (-69.8%), ExxonMobil Oil Indonesia Inc. (-22.1%), ConocoPhillips Indonesia Inc. Ltd. (-18.2%), Total E&P Indonesie (-17.9%), PT. Pertamina Hulu Energi West Madura Offshore (-16.1%), PetroChina International Bermuda, Ltd. (-15.2%), CNOOC SES, Ltd. (-8.1%), PetroChina International Jabung, Ltd. (-4.8%), PT. Chevron Pacific Indonesia (-4.5%), and Chevron Indonesia Company (-3.8%).

15 PSC Contractors with Higher Oil Production than 2011

10 PSC Contractors with the Largest Oil Production Disparity in 2011-2012

D. OIL & GAS PRODUCTION ACTIVITIESI. SKK MIGAS PERFORMANCE

HESS

140,000

120,000

100,000

80,000

60,000

40,000

20,000

-

7,000

6,000

5,000

4,000

3,000

2,000

1,000

-

4,951

2,891

1,067

948321 311 296 261 169 126 91 24 16

3,203

Pertam

ina

JOBPT-J

M

PHE ONW

JM

CLSP

E

Med

co Ta

raka

n

BP Ber

au

Camar

Mon

td’O

r

Sant

os S

ampa

ng

Star

Ene

rgy

EMP M

alacc

a

Lapin

do

EMP G

eban

g

-

Total increase in production from 15 PSC Contractors against 2011 is 14,7 MBOPD

2011

2012

Difference

400,000

350,000

300,000

250,000

200,000

150,000

100,000

50.000

-

(17,500)

(15,000)

(12,500)

(10,000)

(7,500)

(5,000)

(2,500)

-

2,500

Total decrease in production from 10 PSC Contractors against 2011 is 50.9 MBOPD

2011

2012

Difference

CPI

(15,995)

(2,196) (1,874)(1,084) (982) (945) (850)

(14,615)

TOTA

L EP

COPI Blok

B

CNOOC

PHE W

MO

Kange

anCIC

O

PC. Ber

mud

aEM

OI

PC. Jab

ung

(2,810)

BO

PD

BB

LS

BO

PD

BB

LS

(9,581)


35

The main challenges in attaining the 2012 targeted oil production are:

• The contribution of development drilling was only 76.8% of the target, among others caused by procurement issues regarding rig availability, permit process, subsurface and land acquisition.

• PetroChina International Jabung, Ltd. could not produce from drilled wells due to land permit issues for pipelines for the past 2 years. At this moment oil production is transported by trucking, which resulted in loss of potential amounting to ± 3,000 BCPD of unliftable condensate and ± 30 MMSCFD of flared gas.

• Breakdown or damage to production facilities e.g. compressors, electricity supply, instrumental, artificial lift, leaking subsea umbilical riser and flowline (SURF), and surface pipeline.

• Oil transportation issues by trucking, inter alia at PT. Sele Raya Merangin Dua and PetroChina International Jabung, Ltd.

• Subsurface of loose sand issues at Total E&P Indonesie.• The Pagerungan Utara Offshore Field at Kangean Energy Indonesia, Ltd. was

abandoned due to it being uneconomical.• Delay of the Turbin moving project in CNOOC SES, Ltd. following the fire at FSO

Lentera Bangsa.• Prolonged shutdown at the LNG Tangguh Plant.• No significant additional production from PT Pertamina Hulu Energi WMO following

the West Madura Offshore contract area extension.

Main Challenges in Attaining the 2012 Targeted Oil Production

36

Gas

Gas Production

2012 Gas Production and Distribution

Realization of gas production in the past year has shown an incline, however in 2012 production declined to 8,167 MMSCFD, primarily caused by a drop in production from Total E&P Indonesie and BP Berau Ltd.

The 2012 gas production still rests on fields operated by Total E&P Indonesie in East Kalimantan; BP Berau Ltd. in Papua; PT Pertamina EP, PT Pertamina Hulu Energi, ConocoPhillips in Sumatera and Natuna; Vico Indonesia in East Kalimantan; and other fields operated by ExxonMobil Oil Indonesia Inc. in Aceh, Petrochina International Jabung, Ltd. in Jambi; PT Pertamina Hulu Energi West Madura Offshore; and Kangean Energy Indonesia, Ltd.

D. OIL & GAS PRODUCTION ACTIVITIESI. SKK MIGAS PERFORMANCE

9,600

8,800

8,000

7,200

6,400

5,600

4,800

4,000

Jan-12 Feb-12 Mar-12 Apr-12 May-12 Jun-12 Jul-12 Aug-12 Sep-12 Oct-12 Nov-12 Dec-12*

APBN Lifting = 7,655 MMSCFD

ProductionWP&B Production = 8,523 MMSCFD

WP&B Lifting = 6,985 MMSCFD

August 2012 -BP Berau: 900 MMSCFD, curtailment prod caused by surging in export line tank-1 since August 14th. -Premier: 72 MMSCFD, Phase 4 of the Anoa Project since August 13th. -KEI (120 MMSCFD), Santos Madura (40 MMSCFD), COPI Grissik (26 MMSCFD), Hess (11 MMSCFD) Low demand on religious holidays.

BP Berau: Preparation and implementation of TAR-3 Train-1 (for 36 days)EMOI: TA NSO (for 24 days)

BP Berau: Shutdown Train #2 caused by fire in the Gas Turbine

BP Berau : Train 1 & 2 Unplanned Shutdown

*Addition production from development wells, WO, WS and POP / new Fields based on 2012 WP&B

10,000

8,000

6,000

4,000

2,000

-

6,498

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Gas

6,289

7,7528,070 7,986 7,823

7,660 7,283 7,460

8,857 8,4158,1677,962


MM

SCFD

MM

SCFD

Production

WP&B Production

Distribution

APBN Lifting

WP&B Lifting


37

10 PSC Contractors with the Largest Gas Production Disparity in 2011-2012

The main challenges in attaining the 2012 gas production target are:• The contribution of development drilling was only 84% of the target, among others

caused by delay in drilling schedules subsurface, and readiness production facilities.• Breakdown / damage to production facilities for e.g. compressors, electricity supply,

instrumental, artificial lift, and surface pipeline.• Subsurface issues at Total E&P Indonesie.• Unreadiness Buyers to offtake gas.

Based on the 2012 actual production the 10 PSC Contractors with the largest gas production disparity from the target with a total of 639 MMSCFD, are Chevron Makassar (-31.1%), Santos Madura (-29.8%), Total E&P Indonesie (-19.1%), Star Energy (-18.6%), Medco Lematang (-17.3%), ExxonMobil Oil Indonesia Inc. (-17.0%), PT Pertamina Hulu Energi WMO (-15.6%), PT Pertamina Hulu Eenergi ONWJ (-10.8%), CNOOC SES Ltd. (-4.9%), and PT Pertamina EP (-0.6%).

2,500

2,000

1,500

1,000

500

-

(500)

(450)

(300)

(200)

(100)

-

Total decline in production for 10 PSC Contractors in 2011 is 639 MMSCFD

TOTA

L EP

(442)

(35) (24)(8) (8) (7) (6) (6)

(79)

EMOI

Sant

os M

adur

a

PHEWM

O

PHEONW

J

Med

co Le

mata

ng

Star

Ene

rgy

Chevro

n M

kssr

CNOOC

Pertam

ina

(25)

2011

2012

Difference

Based on the 2012 actual production, there were 10 PSC Contractors with the largest gas production disparity from the set target with a total of 639 MMSCFD.

MM

SCFD

MSC

F

38

The 2012 actual oil lifting was 860 thousand BOPD or 92.5% of the target set in 2012 APBN-P. In order to fulfill the needs of domestic fuel, SKK Migas prioritizes government’s oil lifting portion to be distributed to domestic refineries in accordance to the specification to be processed in those refineries. In 2012, oil lifting for domestic needs reached 66%.

Oil Lifting

Oil and Condensate Production, Lifting & Stock in 2012

Gas Lifting

Gas Utilization

Gas Lifting and Prices in 2012

OIL AND GAS LIFTINGE.1,000,000

900,000

800,000

700,000

600,000

500,000

16,000,000

14,000,000

12,000,000

10,000,000

8,000,000

6,000,000

88

4,2

40

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

79

0,4

46

88

4,3

23

88

4,3

69

88

2,2

52

86

2,1

96

86

9,7

44

86

0,8

05

87

9,2

81

84

2,9

12

86

0,1

92

85

2,9

35

85

4,2

41

81

3,5

48

85

3,4

09

87

2,1

39

84

4,6

17

84

8,6

27

83

7,1

67

82

3,9

62

83

2,9

60

90

6,9

87

83

5,0

59

94

8,9

45

85

9,7

43

85

8,7

59

9 0

Production

Lifting

Total Stock

*Total closing stock consists of stock including dead stock and field stock

8,000

7,200

6,400

5,600

4,800

4,000

3,200

2,400

1,600

800

-

8,000

7,200

6,400

5,600

4,800

4,000

3,200

2,400

1,600

800

-

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

Export

Domestic

Total

12,000

11,000

10,000

9,000

8,000

7,000

6,000

5,000

18

16

14

12

10

8

6

4

2

-

7,4

64


Gas Lifting

Domestic Gas Price

Export Gas Price

4,3

97

1,4

80 4

,41

61

,46

6 4,2

02

1,5

13 4

,00

82

,34

1 3,8

20

2,5

27 3

,77

52

,91

3 3,8

61

3,3

23 4

,33

63

,37

9 4,0

78

3,2

67 3

,63

13

,55

0

5,877 5,8825,715

6,349 6,3476,688

7,184

7,7157,345 7,181

Average

7,1

88

7,8

24

7,4

95

7,1

05

7,4

78

7,1

26

7,5

15

6,5

56

6,7

58

6,7

26

6,9

18

7,1

81

13.75

5.66

13.56

6.43

13.68

8.99

15.90

7.03

13.54

6.21

13.14

6.12

12.30

6.10

13.33

6.46

13.49

6.57

13.04

6.61

12.64

6.65

12.38

8.87

Pro

duct

ion

/ Lift

ing

(BO

PD

)B

BTU

D

BB

TUD

BB

TUD

US$

/ M

MB

TU

E. OIL AND GAS LIFTINGI. SKK MIGAS PERFORMANCE

Stoc

k (B

BLS

)

Average


39

In 2012, there was a significant raise in gas supply for domestic consumer compared to previous years. The total gas lifting in 2012 was 7,180,69 BBTUD. The utilization of gas lifting for domestic consumers was 3,550,07 BBTUD or 49.44% and for international consumers was 3,630.62 BBTUD or 50.56%.

Gas utilization for domestic needs were:• Fertilizer and petrochemical 675.06 BBTUD (18.51%), • Electricity 948.62 BBTUD (26.72%), • Industry 1,186.89 BBTUD (33.43%), • City Gas 0.45 BBTUD (0.01%), • LPG Conversion program 282.60 BBTUD (7.96%), • Domestic LNG 112.90 BBTUD (3.18%), • Oil lifting 361.78 BBTUD (10,.19%).

LNG shipment of 112.91 BBTUD to domestic buyers was a major step for SKK Migas in supporting the Government’s program to decrease subsidization of primary energy to PLN, by sending LNG from the Mahakam contract area to domestic buyers through Nusantara Regas’ Floating Storage Regasification Unit (FSRU) located in offshore Tanjung Priok. This LNG contract commitment started on April 25th, 2012 with 1.5 MTPA (or equal to 26 LNG Cargoes per year) for a period of 10 years (up to 2021).

Furthermore, to support domestic gas needs, SKK Migas supervises and encourages early on-stream in Indonesian gas fields. For 2012, the additional gas supply for domestic needs came significantly from Terang Field (Kangean contract area), Wortel Field (Sampang contract area), and South Mahakam Field (Mahakam contract area), as well as from APN E/F Field (ONWJ contract area).

Domestic Gas Utilization in 2012

10.19%OIL LIFTING

3.18%DOMESTIC LNG

7.96%DOMESTIC LPG

0.01%CITY GAS

26.72%ELECTRICITY

33.43%INDUSTRY

18.51%FERTILIZER

In 2012, significant additional domestic gas supplies were from Terang Field (Kangean contract area), Wortel Field (Sampang contract area), and South Mahakam Field (Mahakam contract area), also APN E/F Field (ONWJ contract area).

33.43%

26.72%

18.51%

10.19%

7.96%

40

SKK Migas’ commitment to supply gas to domestic buyers in 2012 was realized through the signing of 32 contracts (Heads of Agreements, Gas Sales Agreements dan Gas Sales Agreement Amendments). The details of the utilization of gas in the agreements were as follows:

• 2 contracts for oil lifting with a total supply of 1.01 BCF.• 2 contracts for fertilizer and petrochemical with a total supply of 286.35 BCF.• 17 contracts for electricity with a total supply of 580.73 BCF.• 10 contracts for industry with a total supply of 156.89 BCF.

In addition, 2012 was a monumental year for LNG utilization in Indonesia, especially from Tangguh Field with the signing of a Heads of Agreement with PT PLN (Persero) to fulfill its electricity need by supplying gas for 20 years and LNG supply equal to 23.96 MT.

Gas Sales Agreements Signed in 2012

2 CONTRACTS

OIL LIFTING

2 CONTRACTS

FERTILIZER AND PETROCHEMICAL

1 CONTRACT

DOMESTIC LNG

17 CONTRACTS

ELECTRICITY

10 CONTRACTS

INDUSTRY

E. OIL AND GAS LIFTINGI. SKK MIGAS PERFORMANCE

SKK Migas’ commitment to supply gas to domestic buyers in 2012 was realized through the signing of 32 contracts.

FertilizerElectricity

Industry

17

10

2

21


41

In supporting the Government’s plan to convert gasoline fuel into gas fuel for transportation (Bahan Bakar Gas / BBG), SKK Migas has committed to supply gas for BBG conversion to Jabodetabek (4 BBTUD), Palembang (1 BBTUD), and Surabaya (5 BBTUD). In addition, SKK Migas has encouraged the Local Government (through local-owned enterprises) to procure gas supplies from PSC Contractors so as to participate in the development of gas fuel for transportation with the signing of a Memorandum of Agreement (MOA) for 20 cities in Java, Sumatera, Kalimantan and Sulawesi.

In supporting the Government’s plan to develop city gas, SKK Migas has committed to supply gas for city gas to Surabaya, Tarakan, Palembang, Bekasi and Depok. SKK Migas has also commited to support city gas developments in Wajo, Blora, Bontang, and Ogan Ilir.

Accumulated Volume of Domestic Gas Contracts

25

20

15

10

5

0

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

1.10 1.17 1.77 1.94 2.88 3.08 3.33 3.61 3.33 3.61 1.18 2.28 3.17 4.41 6.25 6.94 7.01 7.59 7.01 7.59 0.10 2.70 4.10 4.20 6.15 10.07 10.18 10.34 10.18 10.34

Industry

Electricity

Fertilizer

TCF

FertilizerElectricity

Industry

42

In 2012, SKK Migas successfully contributed US$34.9 billion to state revenues (accounting period January - December 2012) or 104% of the 2012 APBN-P target. This was achieved by optimizing domestic gas prices by an average of more than 11% and oil prices by an average of more than 1%, compared to 2011.

SKK Migas continually manages operating costs to be more effective and efficient, so as to ensure that the upstream oil and gas industry is able to contribute in the utmost to the State.

STATE REVENUESF.

40,000

35,000

30,000

25,000

20,000

15,000

10,000

5,000

-

2007 2008 2009 2010 2011 2012*

22

,20

3

23

,79

3

30

,65

9

35

,30

2

19

,10

4

19

,95

0

26

,06

0

26

,49

7

32

,40

6

35

,79

8

33

,48

5

34

,93

4

107%

115%

104%

102%

110% 104%

APBN / APBN-P Target

Realization

Mill

ion

US$

F. STATE REVENUESI. SKK MIGAS PERFORMANCE



43

From year to year, upstream oil and gas revenues have shown an upward trend. This generated a 58% average total GOI take against gross revenue, while the average net contractor take against gross revenue to be 15%. This shows that the Return of Investment in Indonesia is still attractive.

This increase was influenced by continues developments in the management of cost recovery; and by maintaining a 25-29% ration between cost recovery and gross revenue, while still encouraging new investment projects in the upstream oil and gas industry.

Distribution of Revenues from the Upstream Oil and Gas Industry

90,000

80,000

70,000

60,000

50,000

40,000

30,000

20,000

10,000

-

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012*

Mill

ion

US$

2,400

2.200

2,000

1.800

1,600

1,400

1.200

1.000

800

600

400

200

- MB

OE/

D

2,204 2,255 2,254 2,282 2,3262,219

2,050 2,033

2,1582,067 2,097

16.66518,529

24,153

32,05136,294

38,707

54,152

35,752

45,869

60,769 61,065

9,63310,845

13,675

19,79722,638

23,793

35,301

19,950

26,497

35,798 34,934

5,0601,972

5,517

2,167

7,401

3,077

7,563

4,691

8,112

5,544

8,710

6,204

9,339

9,512

10,108

5,694

11,762

7,608

15,341

9,657

15,715

10,416

Gross Revenue

Lifting (MBOE/D) Inc DC. Exc

Cost Recovery

Government Share

PSC Contractor Share

From year to year, upstream oil and gas revenues have shown an upward trend. This shows that the Return of Investment in Indonesia is still attractive.


44

Production PSC Contractors Actual Investment

Actual investment of upstream oil and gas industry (expenditures) for production contract areas in the last 4 years shows growth. This shows that the investment climate in this sector is still healthy and conducive, and has great prospects.

In 2012, investment in the upstream oil and gas sector reached US$16.1 billion, this is higher by US$2.1 billion compared to 2011. Those investments were used to fund US$1.4 billion exploration activities, US$3.3 billion development activities, US$10.4 billion production activities and US$1 billion administrative activities. From this, we can conclude that the bulk of investments are for production and development activities reaching US$13.7 billion or 84,8% of the total investment in the upstream oil and gas industry, compared to last year’s production and development activities portion which reached US$12.3 billion or 88%.

The implications of this increase not only affects the production profile and the oil and gas reserves portfolio, but also affects the supporting domestic oil and gas industry’s ability to increase its national capacity.

PRODUCTION PSC CONTRACTORS ACTUAL INVESTMENT G.

25,000

20,000

15,000

10,000

5,000

-

2007 2008 2009 2010 2011 2012*

Exploration

Total Expenditure

Mill

ion

US$

G. PRODUCTION PSC CONTRACTORS ACTUAL INVESTMENT I. SKK MIGAS PERFORMANCE


Development

Administration

Production

9,142

2,088

5,711

869

10,615

532

2,523

6,579

981

10,425

633

2,671

6,391

730

670

2,495

7,033

833

719

3,149

9,196

958

1,439

3,288

1,016

474

Growth of upstream oil and gas industry in the last 4 years shows that the investment climate in this sector is still healthy and conducive.

11,031

14,022

16,113

10,370


45

Exploration investments to find new oil and gas reserves in the exploration contract areas have increased from time to time. Nonetheless in 2012 a decline occurred, mainly caused by:• A drop in exploration drilling activities, particularly deep-water drilling.• Drilling results conducted in 2011 still needs evaluation and detailed studies to be

able to determine further exploration activities.

Exploration investment activities have a positive impact for future development prospects of upstream oil and gas, and to maintain the availability of energy for future generations. Until the end of 2012, the cumulative exploration investment in exploration contract areas not yet recovered reached US$6.7 billion.

In addition, the values of exploration investments in terminated contract areas are US$1.3 billion. The total investment expended by PSC Contractors in conducting exploration activities is non recoverable considering the contract area was terminated.

Unsuccessful exploration , as one of the risks of upstream oil and gas industry, has become a natural occurrence. For the Government, the investment remains qualitatively useful, in the form of exploration data, which is useful for future potential hydrocarbon studies.

Exploration PSC Contractors

Actual Investment

Non Recoverable Exploration Costs Caused by Termination of Exploration Contract Area

Exploration PSC Contractors Investment

EXPLORATION PSC CONTRACTORS ACTUAL INVESTMENTH.

600

500

400

300

200

100

-

205

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012*

98

0

5017

40

540

122

4072

143

2,500

2,000

1,500

1,000

500

-

2008 2009 2010 2011 2012*

1,481

917

1,661

2,120

1,356


Amount

* December 31st, 2012 status awaiting final recapitulation M

illio

n U

S$

Total US$1,327 Million

Mill

ion

US$


47

EFFORTS TO INCREASE PRODUCTIONII

48

A. NEW PROJECTSII. EFFORTS TO INCREASE PRODUCTION

For the last decade, we have produced 3.7 billion barrels of oil, while new oil reserves only

contributes an additional 2.8 billion barrels, this has caused a cumulative decrease in oil reserves

of 92.34 million barrels. If no efforts are conducted, then the decrease in reserves can be

greater, thus causing difficulties in fulfilling the Government’s target. To increase production, in

2012, several efforts were carried out, such as accelerating the development of producing

oil and gas fields, encouraging the application of secondary recovery, enhanced oil recovery (EOR),

improving coordination with relevant Government institutions, as well as a more intensive

management approach towards exploration PSC Contractors in the form of a forum

(PSC Contractors Forum for Exploration Contract Area – FOKWE) and knowledge sharing.


49

During 2012, there were 12 on-stream projects with 1,062 MMSCFD of gas and 23,600 BOPD of oil/condensates installed production capacity. Considering many of the on-stream projects occurred in Q3 and Q4 of 2012, as well as the unpreparedness of the gas buyers, the additional average production in 2012 was approximately only430MMSCFD and 5,600 BPD from the installed production capacity.

NEW PROJECTSA.

New Projects Realization

Wortel

Development

Santos Gas (MMSCFD)

50

January

2012

APN A

Gas Development

PHE

ONWJ

Gas (MMSCFD)

50

January

2012

APN B

Gas Development

PHE

ONWJ

Gas (MMSCFD)

45

April

2012

APN E / F Gas

Development

PHE

ONWJ

Gas (MMSCFD)

50

May

2012

South Sembakung

Gas Plant

Job PertaminaMedco Simenggaris

Pty. Ltd

Gas (MMSCFD)

25

May

2012

Transfer Line 4” x 25 Km

BS-Tampi Pauh

Sele Raya

Merangin Dua

Oil/Condensates (BPD)3,000

May

2012

Terang Sirasun Batur

Phase 1

Kangean Energy

Indonesia

Gas (MMSCFD)

300

June

2012

Peciko 7B

Extension Platform

Total E&P

Indonesie

Gas (MMSCFD)

122

June

2012

South

Mahakam 1&2

Total E&P

Indonesie

Oil/Condensates (BPD)

20,600

October

2012

Bawal

Subsea

ConocoPhillips

Indonesia

Gas (MMSCFD)

120

September

2012

KF Gas Booster

Compression System

Star

Energy

Gas (MMSCFD)

10

November

2012

Tembang

Subsea

ConocoPhillips

Indonesia

Gas (MMSCFD)

40

January

2012

PROJECT PSC CONTRACTORS

INSTALLED PRODUCTION

CAPACITY

ONSTREAM

TOTAL INSTALLED PRODUCTION CAPACITY

OIL / CONDENSATES (BOPD)

23,600

TOTAL INSTALLED PRODUCTION CAPACITY

GAS (MMSCFD)

1,062

During 2012, there were 12 on-stream projects with 1,062 MMSCFD of gas and 23,600 BOPD of oil/condensates installed production capacity.

Gas (MMSCFD)

250

50

B. IMPROVED OIL RECOVERYII. EFFORTS TO INCREASE PRODUCTION

Other efforts to improve short-term production are by applying Improved Oil Recovery, including the use of EOR technology.

Enhance Oil Recovery (EOR) is a technique for further extraction by improving the mobility of oil by steam, chemical, gas or microbial injection to increase the amount of crude oil from mainly mature fields.

Types of EOR used in oil and gas production fields are:

Steam flood is conducted by PT Chevron Pacific Indonesia in the Duri and North Duri Development (NDD) Fields. In 2012, oil production from the Duri Field reached 165,057 BOPD.

The NDD Field consisting of Area-12, Area-13 and Area-14 started production in December 2010. At this time, NDD Area-12 has produced 43,875 BOPD from 532 development wells. While NDD Area-13 will be developed in 2013.

Improved Oil Recovery (including Enhanced Oil Recovery)

Steam Flood

IMPROVED OIL RECOVERYB.


51

Gas flooding was conducted in the Handil Field (Total E&P Indonesie). The technology used was a joint water flood and gas flood project. Since 2007, gas injection was halted to aid the supply shortage to the the Bontang LNG Plant.

In 2012 a study in gas flooding was conducted on several fields:

• CO2 gas study in Gemah Field, PetroChina Jabung (currently in the reservoir simulation stage); and

• CO2 gas study in Jatibarang Field, PEP (finished the laboratory simulation and field trials will commence in 2013).

Chemical flooding is planned to be conducted in the Minas Field (PT. Chevron Pacific Indonesia), Kaji-Semoga Field (Medco E&P Indonesia), Tanjung Field (PT. Pertamina EP), Handil Field (Total E&P Indonesie), Widuri Field (CNOOC SES Ltd), as well as Zamrud and Pedada Fields (PT. BOB Bumi Siak Pusako), with the following status:

• Minas Field: simulation and laboratory studies are finished and field trials will commence in Q1 2013.

• Kaji-Semoga Field: simulation and laboratory studies are finished and pilot project will commence in Q1 2013.

• Tanjung Field: simulation and laboratory studies are finished and field trials will commence in 2013.

• Handil Field: conducting laboratory study.• Widuri Field: simulation and laboratory studies are finished and field trials will

commence in Q4 2013.• Zamrud and Pedada Fields: field trial is planned for 2013.

Gas Flooding

Chemical Flooding

Other efforts to improve short-term productions are by applying Improved Oil Recovery, including the use of EOR technology.

52

C. REACTIVATION OF SUSPENDED WELLSII. EFFORTS TO INCREASE PRODUCTION

REACTIVATION OF SUSPENDED WELLSC.

To increase production, SKK Migas with PSC Contractors have inventoried potential suspended wells to reactivate. Those wells were suspended for numerous reasons.

Based on the data collected, a majority of the prospective reactivation wells are located in PT Pertamina EP’s contract area. Out of the 5,144 wells inventoried and evaluated, only 1,755 wells are able to be technically reactivated. The wells are located in the Sumatra region (454 wells), the Java region (437 wells), and in the Kalimantan region (864 wells). Through 2012, a total of 154 wells have been reactivated, compromising of 118 wells reactivated as production wells and 36 wells reactivated as injection wells. This activity has accomplished a raise in production (initial gain) of 18.6 BOPD/well for oil and 2.7 MMSCFD/well for gas.

In 2013, an additional 130 wells are planned for reactivation, with an estimated production of 953 BOPD.

To increase production, SKK Migas with PSC Contractors have inventoried potential suspended wells to reactivate.


53

PSC CONTRACTORS FORUM FOR EXPLORATION CONTRACT AREA (FOKWE)D.

One of the objectives of exploration is to sustain the continuity of oil and gas production. For the last 10 years, discoveries of new reserves were small, in part caused by the relatively small number of PSC firm commitments fulfilled and several obstacles in the field. Constraint in the implementation of firm commitment are predominantly caused PSC Contractors internal difficulties, overlapping of areas (including permits), G&G technical issues, social community issues (related to land acquisition), non-availability of supporting goods and services, drilling operations, non-availability of data, procurement process and certain other issues, mostly near the border. To find a solution to these constraints, in 2011, BPMIGAS (now SKK Migas) formed a PSC Contractors Forum for Exploration Contract Area (Forum Operator Kontraktor KKS Wilayah Kerja Eksplorasi / FOKWE).

FOKWE has 4 committees:1. Partnership Committee.2. Permit and Social Committee.3. Procurement and Operational Committee.4. G&G Technical Committee.

To find a solution to firm commitment constraints in 2011, BPMIGAS (now SKK Migas) formed a PSC Contractors Forum for Exploration Contract Area (FOKWE).

54

D. PSC CONTRACTORS FORUM FOR EXPLORATION CONTRACT AREA (FOKWE)II. EFFORTS TO INCREASE PRODUCTION

Every constraint faced by exploration PSC Contractors is categorized into individual committees.

PROCUREMENT & OPERATIONAL

COMMITTEE

FUNCTIONS:PROCUREMENT, FIELD OPERATIONSPARTNERSHIP

COMMITTEE

FUNCTIONS:LEGAL, FINANCE, HUMAN

RESOURCES

FUNCTIONS:COMMUNITY RELATIONS, SECURITY, FORMALITIES, REPRESENTATIVE

G&G TECHNICAL COMMITTEE

FUNCTIONS:EXPLORATION, EVALUATION

AND DEVELOPMENT

PERMIT & SOCIAL

COMMITTEE

FUNCTIONS:EXPLORATION & OPERATION, SECRETARIAT OFFICE, FOKWE

INFORMATION SYSTEM, COORDINATION MEETING

FOKWE SECRETARY

OVERLAPPING, PERMITS, SOCIAL COMMUNITY, FIELD OPERATIONS

INTERNAL PSC CONTRACTORS (OPERATORSHIP, FINANCIAL, PRIORITY HOLDING)

NON AVAILIBILITY OF SUPPORTING GOODS AND SERVICES

SUBSURFACE COMPLEXITY NEEDING GGR STUDIES

NON AVAILABILITY OF EXISTING DATA

PROCUREMENT PROCESS

0 10 20 30 40 50 60 CONTRACT AREA

5130 (59%)

3415 (44%)

1313 (100%)

91 (11%)

81 (13%)

74 (59%)

2012 Firm Commitment Constraints

Resolved Constraints

Note:1 contract area can have more than 1 constraint

50%

40%

30%

20%

10%

0

2010 2011 2012

26%

31%

40%

Achievements in Exploration Drilling Firm Commitments


55

Constraints in the implementation of firm commitment in exploration contract areas are the reason FOKWE was established (based on Letter of Decree Number 0161/BPW00000/2011/S1 dated September 5th, 2011).

Throughout 2012, FOKWE have given significant contributions in managing firm commitment constraints, particularly in drilling exploration wells. Some of the constraints resolved were overlapping land ownership (59%); PSC Contractors internal issues (44%); subsurface complexity issues (11%); and procurement issues (57%). Regarding availability of supporting goods / services, considering joint procurement of rigs were initiated in 2012 for a period of 2.5 years, then the percentage of resolution for those issues cannot yet be calculated awaiting rig allocation schedules.

With the continued growth of contract areas, more constraints will be encountered. To encourage the resolution of exploration constraints, the cooperation of all members and stakeholders are needed. The exploration activities is targeted to accelerate Resources to Reserve to Production (R2P) so as to offset the decline rate of natural production with challenging internal and external conditions.

FOKWE’s activities are under the coordination of the FOKWE Secretariat and throughout 2012 have given significant contributions in managing firm commitment constraints.

56

E. COOPERATION WITH OTHER INSTITUTIONSII. EFFORTS TO INCREASE PRODUCTION

COOPERATION WITH OTHER INSTITUTIONSE.

In 2012, SKK Migas signed numerous agreements with several institutions to strengthen SKK Migas’ role of management and control while at the same time fostering national capacity.

One of the parties who we are actively inviting to cooperate are universities. In May 2012, BPMIGAS (now SKK Migas) signed a Memorandum of Understanding with 6 universities (ITB, UI, Trisakti, UGM, UNPAD, and UPN) and the Education and Training Agency, Ministry of EMR (BADIKLAT KESDM) to cooperate in conducting the National Capacity Building (NCB) program in Jakarta.

BPMIGAS (now SKK Migas) has also signed an agreement with Padjadjaran University’s Law Faculty (UNPAD) to conduct law research and development, legislation reviews, commercial contracts, legal opinions and other legal aid to boost understanding, compliance and legal awareness.

BPMIGAS (now SKK Migas) has also signed agreements with other universities, among others University of North Sumatra (USU) and Sebelas Maret University (UNS) Surakarta. A group discussion is also held at Gadjah Mada University (UGM) and UPN Veteran Yogyakarta.

In 2012, SKK Migas signed numerous agreements with several institutions to strengthen SKK Migas’ role of management and control while at the same time fostering national capacity.


57

To increase national oil and gas production, SKK Migas in conjunction with PSC Contractors held knowledge sharing forums, which are forums to share successful experiences and build the spirit of partnership to respond to various diverse challenges. With these forums, it is hoped that technical challenges in increasing production can be resolved. The following is some of the forums and workshops held by SKK Migas in 2012:

The 2012 Exploration and Production Forum, ‘Today’s Exploration, Tomorrow’s Reserves and Production’, was held in Bandung from May 30th until June 1st, 2012, and attended by 186 participants from exploration PSC Contractors, production PSC Contractors, Government institutions, Universities, and BPMIGAS (now SKK Migas).

The purpose of this forum was to increase oil and gas production in 2013-2017, and to transfer knowledge / experience in exploration and production between PSC Contractors and service companies as one of the efforts to maintain national oil and gas production. With the goal to accelerate the development of exploration wells for production, and to help resolve exploration constraints.

This Forum was a place to share the experience of PT Pertamina EP with PSC Contractors in the Kalimantan area regarding subsurface aspects, IOR / EOR, wells, and production facilities to increase production of Pertamina’s Fields and other Fields in the Kalimantan area.

Held in Balikpapan on February 10-11, 2012, and attended by 176 participants from PSC Contractors in the Kalimantan area, PT Pertamina EP, Government institutions and BPMIGAS (now SKK Migas).

A few of the follow-ups recommended by this forum are:

• To explore the Eocene Play in the Kalimantan and Makassar Strait area.• To aggressively use base grid drilling for the tank system in the deltaic system

supported by well economics.• To increase the quality and quantity of national human resources in conjunction with

the fields development.• To optimize assets by reactivating suspended wells and conducting GGRF studies.• To identify bottle necking in optimizing production.

1. Exploration and Production Forum

2. E&P Knowledge Sharing Forum for PSC Contractors in the Kalimantan Area

KNOWLEDGESHARINGF.

To increase national oil and gas production, SKK Migas in conjunction with PSC Contractors held knowledge sharing forums, so that technical challenges in increasing production can be resolved.

58

F. SHARING KNOWLEDGEII. EFFORTS TO INCREASE PRODUCTION

The FP3FP, “Professionally Implementing Project Management and Maintenance in Supporting National Production”, was held in Medan on February 22-24, 2012, and attended by 399 participants from BPMIGAS (now SKK Migas), PSC Contractors, and several invited guests.

This forum was held to share information and best practices in project management and maintenance, socialization of Standard Operating Procedures, as well as outlining issues and finding alternative solutions in project management and maintenance.

Some conclusions on the FP3FP forum were:• The delay of PSC Contractors projects in Indonesia was not automatically considered

a failure in the project, based on the Independence Project Analyst survey the average delivery of project according to schedule is 50%.

• The PSC Contractors Management Projects strategy was on-stream on-time by managing the projects schedule, costs, quality and standard for health, safety and the environment, as well as maximizing the use of local and national capacities.

• SKK Migas was finalizing the Project Management guidelines.• The POD and AFE submission schedule should be evaluated to avoid further

difference in cost and time.• POD was submitted up to the semi-FEED stage and not only conceptual design to

attain better accuracy and minimize project risk.• Delay in projects was also caused by PSC Contractors delay in submitting tender

plans and procurement processes taking longer than planned.• SKK Migas should revise the POD and AFE approval process in anticipation of project risks.• POD drafting should be backed up with a comprehensive risk assessments and

mitigation plans to address any risks that might arise in its implementation.

While the conclusions regarding Production Facilities Maintenance were:• PSC Contractors production facilities maintenance strategy is to maintain continuity of

oil and gas production operations by maximizing planned maintenance and hastening response time for shutdowns.

• A 96.7% availability of production was a world-class achievement.• The asset integrity program was part of a companies risk management as a tool to

ensure the maintenance of equipment during operations.• To increase organizational and employee competencies.• To increase coordination and communication between PSC Contractors (clustering).• To improve communication with the Government and relevant stakeholders.

3. Project Management and Production Facilities Maintenance Forum (Forum Pengelolaan Proyek dan Pemeliharaan Fasilitas Produksi / FP3FP)

This forum is held to share information and best practices in project management and maintenance, socialization of Standard Operating Procedures, as well as outlining issues and finding alternative solutions in project management and maintenance.


59

4. Internal Audit Forum Based on the mapping of 30 production PSC Contractors, only 12 PSC Contractors have internal audits (IA), while the other 18 PSC Contractors do not have IA. Also the main tasks and functions of IA in PSC Contractors IA are not focused on strategic issues, such as cost recovery efficiency, increasing government revenue, and increasing lifting. This IA Forum was held in October 11-12, 2012 to promote the IA function in PSC Contractors, as well as encouraging them to conduct strategic activities.

An active role by BPMIGAS (now SKK Migas) will urge the establishment of a good internal control to ensure affectivity and efficiency of operation and avoid State losses.

This forum invited practitioners, professionals and Government as speakers, and 158 participants from BPMIGAS (now SKK Migas) and PSC Contractors.

The BPMIGAS Ethics Guidelines (Pedoman Etika / PE), Guidelines Governing Gratification (Pedoman Pengendali Gratifikasi / PPG), and Whistle Blowing System (WBS) were also socialized at this forum so as to encourage PSC Contractors to adopt or at least abide it.

The Internal Audit Forum was held to promote the Internal Audits function in PSC Contractors, as well as encouraging them to conduct strategic activities.


61

ISSUES AND RESOLUTIONSIII

62

Land acquisition and permit issues have long since become a significant hurdle in increasing oil and gas production. To overcome these issues, in 2012 the Government has enacted several regulations to support the resolution of land acquisition and permit issues, which are:

1. Presidential Instruction Number 2 of 2012 on Increasing National Oil Production.2. Law Number 2 of 2012 on Land Acquisitions for Public Interests.3. Presidential Regulation Number 71 of 2012 on Facilitating Land Acquisitions for Public

Project Purposes.

Previously, Law Number 22 of 2001 on Oil and Gas governed land acquisition for the oil and gas industry. After the implementation of Law Number 2 Year 2012, land acquisition for the oil and gas industry is categorized as for public interests. In such, it was hoped that land acquisitions and permit issues caused by the public perception that upstream oil and gas projects are corporate projects would be solved.

However, there are still numerous issues in land acquisition. Based on Law Number 2 Year 2013 jo. Presidential Regulation Number 71 of 2012 jo. Head of BPN Regulation Number 9 of 2012, it is predicted that land acquisition will require a lengthy process (normally 282 working days, with a maximum of 546 working days). We hope a regulation shortening the land acquisition mechanism specific for oil and gas infrastructure will soon be passed.

Land acquisition and permit issues have long since become a significant hurdle in increasing oil and gas production. To overcome these issues, in 2012 the Government has enacted several regulations to support the resolution of land acquisition and permit issues.

A. LAND ACQUISITION AND PERMITSIII. ISSUES AND RESOLUTIONS

LAND ACQUISITION AND PERMITS A.


63

One of SKK Migas’ accomplishments in 2012 was handing over land compensation in order to fulfill certain obligations as stated in the Permit To Lease and Use Forestry Areas (Izin Pinjam Pakai Kawasan Hutan / IPPKH) in Kangean Energy Indonesia Ltd.

The President also showed his support to the upstream oil and gas industry by enacting Presidential Instruction Number 2 of 2012 which instructed the related Ministers, Governers, and Regents to support upstream oil and gas activities in order to acvhieve increase of oil production of 1.01 million barrel per day in 2014.

One of SKK Migas’ accomplishments in 2012 was handing over land compensation in order to fulfill certain obligations as stated in the Permit To Lease and Use Forestry Areas (Izin Pinjam Pakai Kawasan Hutan / IPPKH) in Kangean Energy Indonesia Ltd. contract area. A total of 58,88 Ha in Sepanjang Village, Sapeken Sub-district, Sumenep District, East Java Provence was was handed over as land compensation to fulfill certain obligations as stated in Minister of Forestry Regulation Number P.18/Menhut-II/2011 on Guidance Regarding Permit To Lease And Use Forestry Areas. The area was was handed over by BPMIGAS (now SKK Migas) Vice Chairman to the Director General of Planalogy, Ministry of Forestry.

SKK Migas have also successfully completed land acquisition of 6,152 areas / parcels or 99.9% of Banyu Urip Project’s total land needs of 6,158 areas / parcels. While the 6 other areas are still in process. Regarding land acquisition for EPC-1 and EPC-5, SKK Migas has sent a letter to the Bojonegoro Regent to find a solution to this problem. The Banyu Urip Project also faces difficulties in renting land in the Gayam Village. At this moment, discussions with relevant Regional-Owned Enterprise (BUMD) regarding this issue are still proceeding. Local villagers are also demanding the construction of a soccer field as compensation.

64

A. LAND ACQUISITION AND PERMITSIII. ISSUES AND RESOLUTIONS

In addition to the Banyu Urip Project, there were still numerous issues in land acquisitions and permits inhibiting upstream oil and gas activities, such as:

Local residents have blocked the access road to ConocoPhillips (Grissik) Ltd. production facility. This act was carried out after the Supreme Court ruling that awarded the plaintiffs land rights on roads used to access the facility. The location of the area is actually located in a forest and all necessary principal permits have been obtained from the Ministry of Forestry. Based on the prevailing regulations, PSC Contractors is obliged to give compensation for vegetation (and not for acquisition). Discussions with the plaintiffs have been held, although no settlements have been agreed upon. At present, the PSC Contractors and the Ministry of Forestry are preparing a lawsuit in the Musi Rawas District Court

PT. Sele Raya Merangin Dua is experiencing problems regarding overlapping of land approximately 20 hectares with PT London Sumatra, a palm oil producer. As well as problems regarding overlapping of land with PT BSL, a coal mining company.

The gas well production facilities is located on land belonging to PT. Semen Gresik, a State-Owned Enterprise. Based on Law Number 2 of 2012, such location must be acquired. At this time, JOB-PPEJ is still in negotiations to initially rent and then acquire / transfer the land.

Issues related to land acquistion are also experienced by other PSC Contractors, such as Genting Oil Kasuri Pte. Ltd.; Premier Oil Natuna Sea B. V.; and PT Chevron Pacific Indonesia

Besides the issues regarding land acquisition there are a number of other issues, in particular regarding IPPKH regulated in Minister of Forestry Regulation Number P18/Menhut-II/2011 and Minister of Forestry Regulation Number P38/Menhut-II/2012, among others:

• Overlapping of PetroChina International Jabung’s contract area with PT Wira Karya Sakti land.

• Overlapping of Kondur Petroleum S.A. (EMP Malacca Strait) dan Petroselat’s contract areas with PT RAPP’s land.

• Overlapping of PetroChina International Jabung and Kalrez Petroleum’s contract areas with third party’s land (residents with land certificates located in the forestry area).

• Overlapping of VICO Indonesia’s contract areas with forest conservation (Taman Wisata Alam).

ConocoPhillips (Grissik) Ltd., Musi Rawas District, South Sumatra

PT. Sele Raya Merangin Dua, Musi Rawas District, South Sumatra

Joint Operating Body Pertamina - PetroChina East Java (JOB PPEJ), Gresik District, East Java.


65

Security threats to production facilities are one of the issues interfering in upstream oil and gas activities. In 2012, 1,389 cases of security threats occurred, this is 15% lower than last year of 1,633 cases.

Of the 1,389 cases occurring in 2012, approximately 77% cases happened to 3 PSC Contractors, consisting of 629 cases to Chevron Indonesia (Sumatera & Kalimantan); 274 cases to PT Pertamina EP; and 163 cases to Medco Energy E&P Indonesia.

SECURING NATIONAL VITAL OBJECTSB.

1,800

1,600

1,400

1,200

1,000

800

600

400

200

-2010 2011 2012

810

1,633

1,389

Security Threats to PSC Contractors in the Past 3 Years

Dis

rupt

ions

In 2012, 1,389 cases of security threats occured, this is 15% lower than last year of 1.633 cases.

66

A decline in the total number of security threats shows a change in PSC Contractors paradigm towards security. PSC Contractors are starting to see this aspect as an important function even from the planning phase. For example, PSC Contractors are now conducting security risk assessment to analyze the risks, important areas requiring official authorities, and essential security systems.

In 2012, SKK Migas held basic training on upstream oil and gas activities for the Regional Police in order to give a better understanding that upstream oil and gas activities cannot be compared to common mining activities. This kind of training is essential in gaining a same perspective between all parties involved.

B. SECURING NATIONAL VITAL OBJECTSIII. ISSUES AND RESOLUTIONS

In 2012, SKK Migas held basic training on upstream oil and gas activities for the Regional Police in oil and gas areas.

66 Cases (5%)MATERIAL DAMAGE

53 Cases (4.02%)PROTESTS

52 Cases (3.94%)OIL THEFT

235 Cases (17.80%)LAND MATTERS

809 Cases (61.29%)BURGLARY / ROBBERY

105 Cases (7.95%)THREATS

Security Threats to PSC Contractors

61.29%

17.80%

7.95%

5%


67

Some PSC Contractors also established cooperation with the Police and Navy, based on a cooperation agreement between SKK Migas and the relevant authorities.

Specific Safeguarding Operations of Oil and Gas National Vital Objects in the ExxonMobil Oil Indonesia Inc. Contract Area, Lhoksukon, Aceh Province.

Exxonmobil Oil Indonesia Inc.

Aceh Production Operation. North Sumatra Offshore Production Platform. Malikul Saleh Air Field and Lhoksukon.

TITLE PSC CONTRACTORS

CONTRACT AREA

COOPERATION AGREEMENT

WITH THE POLICE

Cooperation Agreement on Surveillance and Security for the Pertamina Hulu Energi Offshore North West Java Operational Area.

PHE ONWJ Offshore North West Java - West Java

Cooperation Agreements on the Formation of a Joint Security Unit (Satuan Pelaksana Pengamanan Kerja Bersama / Satlakpamber) between SKK Migas and several Local Police, among others in Riau, South Sumatra, East Java, East Kalimantan, Papua, and Maluku.

COOPERATION AGREEMENT

WITH THE NAVY

Security and fulfillment of facilities, logistics, equipment for the safeguarding of oil and gas national vital objects in the Mobil Cepu Ltd. Contract Area, Cepu Block, Bojonegoro and Tuban District - East Java.

Mobil Cepu Ltd (MCL)

Cepu Block, Bojonegoro and Tuban District, East Java

Cooperation Agreement on Naval Mine Sweeping in the Mobil Cepu Contract Area, Banyu Urip Block Offshore North Tuban, East Java

Mobil Cepu Ltd. Offshore Java Sea, Banyu Urip Contract Area

Cooperation Agreement on Surveillance and Security for the Kangean Contract Area

Kangean Energy Indonesia

Kangean Contract Area, Pagerungan

Cooperation Agreement on Security and Protection for PHE WMO Oil and Gas Drilling Location in Offshore Java Sea, Bojonegoro and Tuban - East Java

PHE WMO Offshore Java Sea

68

1. Law Number 11 of 2006 on the Government of Aceh

In 2012, there are still issues in relation to regulations in the upstream oil and gas industry, among others are:

The Governor of Aceh, through letter Number 540/46120 dated June 15th, 2010, declared that implementation of PSC’s work programs after the enactment of Law Number 11 of 2006 is postponed until the Government c.q. Minister of EMR carries out the mandate stated in Law Number 11 of 2006, particularly the directive in managing natural resources in Aceh. As a result all upstream oil and gas activities in Aceh have been halted.

Following this, the Governor of Aceh through letter Number 542/25706 dated August 11th, 2011 to the Minister of EMR, stated that in principal approve and agree on theimplementation of exploration activites by 4 PSC Contractors (East Seruway, South Block “A”, Andaman III, and West Glagah Kambuna) until the discovery of oil and gas reserves which can be commercially produced, if PSC Contractor fulfill the following:

a. Submit 1 copy of the PSC notarized by the Directorate General of Oil and Gas.b. Willing to amend the PSC between the exploration operator and BPMIGAS

(now SKK Migas) in accordance with prevailing regulations.c. POD can only be executed after an agreement between the Government and the

Aceh Government is met.

Starting from Wednesday, January 25th, 2012, PSC Contractors are able to fulfill exploration commitments in Aceh in accordance with the terms of said letter.

C. REGULATIONSIII. ISSUES AND RESOLUTIONS

REGULATIONSC.

Starting from Wednesday, January 25th, 2012, PSC Contractors are able to fulfill exploration commitments in Aceh in accordance with the agreed terms.


69

SKK Migas and PSC Contractors in implementing the provisions of Government Regulation Number 79 of 2010 faces many issues due to the lack of clarity in some provisions and the lack of further regulations as mandated in the Government Regulation.

To overcome such issues, in 2012 we have conducted a workshop inviting speakers from BPMIGAS (now SKK Migas), Directorate General of Tax, Directorate General of Oil and Gas, and Fiscal Policy Agency (Badan Kebijakan Fiskal / BKF); and attended by participants from BPMIGAS (now SKK Migas) and PSC Contractors. The goal of the workshop is to obtain the Government’s (Directorate General of Tax, Directorate General of Oil and Gas, and BKF) inputs / views / directive in implementing the provisions of Government Regulation Number 79 of 2010 .

In 2012, the Indonesian Government issues Government Regulation Number 14 of 2012 on Electric Power Supply Business Activities and Minister of EMR Regulation Number 29 of 2012 on Electric Power Plant Capacity for Own-Use Based on an Operation Permit which are the implementation regulation of certain articles in Law Number 30 of 2009.

The regulations require all PSC Contractors to equip all electric power supplies, which so far is used for its own use and has the required certificates from the Director General of Oil and Gas (Sertifikat Kelayakan Penggunaan Peralatan Listrik dan Sertifikat Kelayakan Penggunaan Instalasi Listrik), with an operational license from the Minister, Governor, and/or Mayor.

The non existence of implementing regulations for Law Number 32 of 2009 has caused differences in interpretation for many parties, including Ministries and Local Governments. The implementation of Governement Regulation Number 27 of 2012 on Environmental License was intended to facilitate all other licenses in the form of an environment protection and management license, but the fact remains that this license just adds to the bureaucratic chain.

Moreover, the Ministry of Environmental Affairs could not technically accept Minister of EMR Regulation Number 045 of 2006 on Treatment of Drill Mud, Mud Waste, and Drill Cutting in Oil and Gas Activities, because it is considered contrary to Government Regulation Number 18 of 1999 on Toxic and Hazardous Waste Management, despite the flexibility given in Government Regulation Number 85 of 1999 on Amendment of Government Regulation Number 18 of 1999 on Toxic and Hazardous Waste Management.

2. Government Regulation Number 79 of 2010 on Recoverable Operational Costs and Income Tax Treatment in the Upstream Oil and Gas Industries

3. Law Number 30 Year 2009 on Electricity

4. Law Number 32 of 2009 on Environmental Protection and Management

70

Throughout 2012, oil theft in the Tempino-Plaju pipeline extending for 265 km has been quite phenomenal. Theft in this pipeline belonging to Pertagas, a subsidiary of PT Pertamina, managed by PT Elnusa, has contributed to immense losses for the State. In the course of January-December 2012, 317,801 barrels of oil were reported missing from the Tempino-Plaju pipeline. It is estimated that State losses caused by the theft is about Rp300 billion, assuming the Indonesian crude oil price is US$100 per barrel with a currency exchange of Rp9.300/US$.

The method of theivery that is usually utilized is illegal tapping, with a total of 810 incidents in 2012. This means every day a minimal of 2 incidents of illegal tapping occurs. Another method is sabotage, with a total of 96 incidents per year or 8 incidents per month; as well as pump blockage for 395 hours per year or 61 hours per month.

D. OIL THEFT IN SOUTH SUMATRAIII. ISSUES AND RESOLUTIONS

OIL THEFT IN SOUTH SUMATRAD.

317,801 barrels of oil were reported missing from the Tempino-Plaju pipeline in 2012.


71

From field findings, we know that the method of thievery used is organized, grouped, located 200-400 meters from the tapping point, includes people from the Sub-district and informants, and even uses intimidation and threats to PSC Contractor’s security officers.

Oil thefts reached its peak in July 2012. A decline in incidents occured after local law enforcement officials performed operations, however shortly after incidents of theft increased and has even caused loss of life. As many as 5 people died in a fire on kilometer 219 Bayung Lincir Sub-district, Musi Banyuasin District, South Sumatra caused by illegal tapping. The location of the fire is near the Tempino-Plaju pipeline.

450,000

400,000

350,000

300,000

250,000

200,000

150,000

100,000

50,000

0

-50,000


Pumping

Losses

Revenues

Oil thefts reached its peak in July 2012. A decline in incidents occured after local law enforcement officials performed operations.

Distribution Graph 2012

35

0,3

82

311,624 316,861 318,737 314,895 305,505 303,315

355,157348,224

353,379374,479

381,329

-5,0

87

-4,4

36

4.0

28

6,9

30 39

,42

1

63

,50

7

68,0

38

48

,32

5

29

,00

1

16

,36

0

17

,95

8

33

,75

6

345,295

30

7,1

88

32

0,8

89

32

5,6

67

35

4,3

16

36

9,0

12

37

1,3

53

40

3,4

82

37

7,2

25

36

9,7

39

39

2,4

37

41

5,0

85

BA

REL


73

DEVELOPMENT AND MAJOR PROJECTSIV

74

A. BANYU URIP FIELDIV. DEVELOPMENT AND MAJOR PROJECTS

SKK Migas and PSC Contractors are completing numerous major projects, which we anticipate will increase oil and gas production. Following are activities conducted in 2012 to realize said petroleum projects.


75

The Banyu Urip Field development project by Mobil Cepu Limited (MCL) is located in the Bojonegoro and Tuban District (East Java). Development of the project started in Q4 2011 with the “Ground breaking” ceremony held on December 6th, 2011 by the Minister of EMR. First production started in September 2009 with early rented production facilities. By December 31st, 2012, Banyu Urip has produced an average of 24 MBOPD, while peak production of 165 MBOPD is planned for the end of 2014.

In order for the Banyu Urip Project to able to reach peak production, we have divided the development into 5 EPC’s (engineering, procurement, and construction), which are:

• EPC-1 for production facilities (central processing facility and wellpads).• EPC-2 for onshore oil pipeline (72 km).• EPC-3 for offshore oil pipeline (23 km) and mooring tower.• EPC-4 for FSO (Floating Storage Offloading) Gagak Rimang, with a 2 million barrel capacity.• EPC-5 for infrastructure facilities, including raw water basin (reservoir for injection

water) with a 2.75 million m3 capacity.

As well as those five EPC’s, this project will also drill 42 new wells.

Until the end of 2012, the Banyu Urip Project development progress has reached 37,.5% (actual) from 38.9% (cumulative recovery plan), and 51.4 % (contractual baseline), with the progress for each EPC as follows:

The progress of EPC-1 has exceeded the target set, while delays of several permits from Government institutions and lack of educated and non-educated manpower have caused the development progress of the other EPC’s to become lower than planned.

BANYU URIP FIELDA.

Until the end of 2012, the Banyu Urip Project development progress has reached 37.5% (actual) from 38.9% (cumulative recovery plan) and 51.4% (contractual baseline).

EPC1: Wellpad B & CPF

EPC2: Pipeline Installation

EPC3: FBE Coating Process

EPC4: FSO Gagak Rimang Conversion

EPC5: Soil Excavation in the Water Basin

Drilling: Rig DS # 8 Fabrication

EPC - 1 Tripatra - Samsung 39.4 40.9

PROJECT CONTRACTOR % PROGRESS

Plan Realization

EPC - 2 IKPT - Kelsri 51.3 42.2

EPC - 3 Rekayasa Industri - LIKPIN 32.7 25.4

EPC - 4 Scorpa Pranedya - Sembawang 40.6 38.1

EPC - 5 Rekayasa Industri – Hutama Karya 31.9 23.1

76

B. INDONESIAN DEEPWATER DEVELOPMENT (IDD)IV. DEVELOPMENT AND MAJOR PROJECTS

INDONESIAN DEEPWATER DEVELOPMENT (IDD)B.Chevron Indonesia Company’s Indonesian Deepwater Development (IDD) Project is an integrated development project of 5 deepwater gas fields (between 975m – 1,785m) to fulfill domestic and export gas demands, which are Gendalo, Maha, Gandang, Gehem, and Bangka Fields.

Initial delivery of gas to consumers is planned from Bangka Field in Q1 2015 with a flow of 120 MMSCFD of gas and 2.88 MBCPD of condensates. Peak production will occur in 2017 with 924 MMSCFD of gas and 23 MBCPD of condensates from Gendalo Hub and Gehem Hub.

The scope of the IDD project consists of development of the Bangka Field, Gendalo Hub, and Gehem Hub.

,

The development of the Bangka Field will utilize West Seno FPU with specific modifications to accommodate production of 120 MMSCFD of gas, 4 MBCPD of condensates, and 150 BWPD of produced water. As well as, development and installment of 2 subsea wellheads, associated manifolds, subsea accessories, and flowlines. Gas and condensate production will be sent to Santan terminal and then flowed to Bontang LNG Plant.

Malaysia

Indonesia

Singapore Kutai Basin

Chevron’s Balikpapan Office and Camp

East Kalimantan Pipeline Network

Santan Terminal

Bontang LNG Plant

West Seno Hub(Existing)(1,015 WD)

420 MMSCFD30.000 BCPD

120 MMSCFD

Gehem Export Pipelines

Gendalo Export Pipelines

Gendang Field (1,715m WD)

Gendalo FPU(1,170m WD)

700 MMSCFD25,000 BCPD

Gendalo Hub

Maha Field (1,060m WD) Gendalo Field

(1,570m WD)

Senipah TerminalBangka Field (975m WD)

Gehem FPU(1,785 WD)

Gehem Hub

Lapangan Gehem (1,765 WD)

West Seno Hub Pipeline

KUTAI BASINBangka Subsea TiebackGehem HubGendalo Hub

Brunei


77

Gendalo Hub is a production facility established to develop the Gendalo, Maha, and Gandang Field, consisting of the installation of 15 subsea wellheads, associated manifolds, and flowlines from subsea systems to Gendalo Floating Production Unit (FPU), as a central processing unit with a capacity of 700 MMSCFD of gas, 20 MBCPD of condensates, 8 MBWPD of produced water, and the installment of 2 gas and condensate trunklines, ± 150 km each, from Gendalo FPU to Santan Terminal.

Gehem Hub is a production facility established to develop the Gehem Field, consisting of the installation of 11 subsea wellheads, associated manifolds, and flowlines from subsea systems to Gehem FPU, as a central processing unit with a capacity of 420 MMSCFD of gas, 27 MBCPD of condensates, 1 MBWPD of produced water, and the installment of 2 gas and condensate trunklines, ± 88 km each, from Gehem FPU to Santan Terminal.

In 2012, the FEED for FPU, subsea umbilical riser flowline (SURF), export pipeline, and onshore receiving facility (ORF) were completed. Based on the FEED result, the next step is the procurement of an EPCI Contractor to develop SURF and ORF. Furthermore, the AMDAL permits were also approved by the Ministry of Environment in 2012.

Indonesian Deepwater Development Project is an integrated development project of five deepwater gas fields, which are Gendalo, Maha, Gandang, Gehem, and Bangka.

140 km

G 20”

C 8”

FPU

MahaGandang

G 16”

C 8”

78 km

GehemLocal FPU

ExistingWest SenoTLPWest Seno

FPU

Bangka

GehemFPU

SANTAN TERMINAL BONTANG SANTAN TERMINAL BONTANG SANTAN TERMINAL BONTANG

GENDALO HUB GEHEM HUB BANGKA

Export Pipelines

Gendalo

78

C. ABADI FIELDIV. DEVELOPMENT AND MAJOR PROJECTS

ABADI FIELD C.The activities conducted in 2012 were:

a. Approval of the Multi FEED FLNG tender winner to 2 contractors, which are Saipem Consortium and JGC Consortium, with a schedule of 13 months.

b. Approval of the FEED SURF tender winner to PT Wood Group Indonesia, with a schedule of 12 months.

c. Finalizing the tender package for a mobile offshore drilling unit (MODU) to drill 3 delineation wells (Abadi-8, Abadi-9, Abadi-10) and 1 exploration well (Berkat-1) as well as approval of the initial full field development, consisting of subsea pipeline survey and further development studies.

One of the obstacles that Inpex and SKK Migas face in establishing the EPCI tender assessment criteria is determining the cost of the project and the minimum level of local content (TKDN) used.

Considering that the contract area is located in a frontier area, Inpex and SKK Migas also coordinated with the Ministry of Defense to discuss the location of the logistic supply base.

Inpex, SKK Migas, and the Regional Government of Maluku are still in discussions regarding recruitment of local manpower. Furthermore, Inpex is still waiting for the decision of the Regional Government in relation to its desire to be included in the management of the field.

Abadi Field development in the Masela Contract Area by Inpex Masela Ltd. is a series of activities consisting of the development of a production facility, namely Floating LNG and SURF, drilling and logistic supply base (LSB).

PSC Terms & Conditions: • Contract Period :

November 1998 - November 2028 • Exploration Period :

November 1998 - November 2008 • Operation Period :

November 2008 - November 2028 • Profit Split : 65% / 35% (Oil)

& 60% / 40% (Gas) • FTP 15%; DMO 25%; Tax 44%

Sunrise

200 Km0

Bayu - Undan

Tem

Petrel

Blacktip

Evans Shoal

Evans Shoal South

CalditaSarossa

Indonesia

Australia

Dili

Darwin

• Gas Reserves 6-9 TCF • Development Plans for a Floating LNG 2,5 MTPA • Investment Costs US$5.0 Billion • Start of Production 2017 for 30 Years

East Timor

Timor Trough

Timor Sea

Tanimbar IslandSaumlaki

Tanimbar Island(150km from Abadi)

Aru Island(600km from Abadi)

Tassie Shoal (150km from Abadi)

ABADI


79

JANGKRIK & JANGKRIK NORTH EAST (JNE) FIELDD.The combined development of Jangkrik North East and Jangkrik Field increased the economy of those two fields to better profit the Nation. The first POD for the Jangkrik Field was approved on November 2011, while the second POD (POD II) for the Jangkrik North East Field is still being evaluated by SKK Migas.

The Jangkrik and Jangkrik North East Field Project will encompass the development of a subsea production system (wellhead, pipeline, manifold, and umbilical), a Facility Production Unit with a capacity to process 450 MMSCFD of gas, a transfer and utility system, as well as an export system for condensates and gas.

The drilling development program in Jangkrik Field will consist of workovers on 3 existing wells and 4 new wells. Meanhile a subsea production system will be developed, consisting of 7 wellheads, 3 manifolds, as well as a flexible flowline and risers. 2 pipelines (80 km) with a diameter of 20” for gas and 4.5” for condensates will be built to transport the production from the Jangkrik and Jangkrik North East Fields to the East Kalimantan Pipeline System, which in turn will transport the gas to Badak LNG Plant and the condensates to Senipah Terminal.

The development of the subsea production system and FPU will utilize a combined FEED and EPCI contract. Since August 2012, the FEED for FPU has started, and it is projected that the FEED for the subsea production system can start in early 2013. The expectation for first delivery of gas to consumers shall start in November 2015.

The Jangkrik Project developed by eni Muara Bakau B.V. to produce reserves of 913 BCF of gas and 739 thousand barrel of condensates from the Jangkrik-1, Jangkrik-2Dir & Jangkrik-2DirA, and Jangkrik-4 exploration wells, as well as Jangkrik NE-1 on July 2011. The Jangkrik and Jangkrik NE Field is located in the Kutai Basin, approximately 70 km offshore East Kalimantan.

42” to Bontang LNG Plant20” to Senipah

Sapi Plant

Senipah Plant

Onshore Receiving Station

EPCI-2

80 KM CONDENSATE PIPELINE (PIGGYBACK)

80 KM GAS PIPELINE

25 K

M M

ULT

I PH

ASE

FLOW

LIN

ES

Gas & Condensates Export to Shore

JANGKRIK BARGE FPU

JANGKRIK NORTH EAST

JANGKRIK MAIN

JKK-1

JKK-4

JKK-2

JKK-2

JKK-3

JKK-5

EP-3

JKK-3

JKK-4

JKK-7

Cluster 2

Cluster 3

FPU

EPCI-1

Cluster 1

JKK-1

JKK-6

Manifold NE2

Manifold NE1

JANGKRIKJANGKRIK NE

80

E. BUKIT TUA FIELD IV. DEVELOPMENT AND MAJOR PROJECTS

BUKIT TUA FIELD E.The first POD for the Bukit tua Field was approved on July 9th, 2008 with an estimated cumulative production of 22.8 MMBO and 70 BCFG for 5 years.

A 20 MBOPD dan 70 MMSCFD capacity production facility will be built, consisting of un-manned well head platform (WHP) with 5 production wells and 1 injection well (as a contingency), which will be connected to a spread-moored floating production storage and offloading (FPSO). Gas will be transported through a 110 km 12” export pipeline to an ORF in Gresik, while oil will be exported with a tandem mooring from the FPSO and the produced water will be managed for sea disposal.

The gas sales purchase agreement (GSPA) was signed on April 13th, 2012, where it was agreed that the gas will be sold to PT. Petrogas Jatim Utama to then be transported through a 23 km pipeline to PT. Pembangkit Jawa Bali. This project is anticipated to be onstream in November 2014.

At this moment Petronas Carigali Ketapang II Ltd. (PCK2L) is developing the Bukit Tua Field in the Ketapang Contract Area, East Java. The Bukit Tua field is an oil field with some associated gas, located 35 km north of Madura Island and 110 km northeast of the Gresik sea with a water depth of less than 57 meters.

KETAPANG CONTRACT AREA

Onshore Receiving Facility – ORF • Located around 4.7 ha from Gresik, East Java

(location: Maspion Industrial Estate) • A maximum capacity of 70 MMSCFD • Main Equipment: Pipeline Pig Receiver, Inlet

Separation & Sales Gas Metering Package

BUKIT TUA FIELD

MADURA ISLAND

GRESIK

EAST JAVA

LAMONGAN

SURABAYA

FPSO or Converted FPSO (leased):- Crude Oil Processing Storage- Gas Compressor- Spread Moored- TEG Dehydration

12” Export Gas PipelineApprox. 110km

Shore Line

Interconnecting Pipeline by PT PJU+/- 23km

Bukit Tua ORF

PCK2L PJU

PTPJBPOWERPLANT

PLEM

Infield Flow Line (700m):- 1x8” liquid- 1x16” wet gas- 1x12” export gas

- Tandem offloading- Export by floating hose

Flexible Risers:- 1x8” liquid line- 1x16” wet gas line- 1x12” export gas line

Wellhead Platform (WHP):- 9 slots- 3 Legged Jacket- 57m water depth


81

ANDE ANDE LUMUT FIELDF.The Ande Ande Lumut field is anticipated to produce approximately 43.5 MMBO (economic limit) from a reserve amounting to 62,7 MMBO (90% P1 + 50% P2). It is hoped that initial production of 5 MBOPD of oil can be achieved by Q4-2014, with a peak production of 25 MBOPD.

The development of the Ande Ande Lumut Field consists of drilling of 43 development wells, construction and installation of 1 WHP, as well as leasing an FPSO.

By the end of December 2012, the Ande Ande Lumut Field development has reached the procurement stage for the FPSO and the FEED for the FPSO and WHP.

The Ande Ande Lumut (AAL) Field operated by AWE (Northwest Natuna) Pte. Ltd. is the first commercial field developed in the Northwest Natuna contract area.

Wellhead Platform(43 Wells)

Bridge

To Shuttle Tank

FPSO withspread mooring

Oil Field

Gas Field

LOKASI

NORTHWESTNATUNA

Ande Ande Lumut Oil Discovery

Water Depth 73m

Reservoir Depth1.100m subsea

Field Area : 21 km2

AAL-2 AAL-3 AAL-1

82

G. NORTH DURI DEVELOPMENT AREA-13 (NDD AREA-13)IV. DEVELOPMENT AND MAJOR PROJECTS

NORTH DURI DEVELOPMENT AREA-13 (NDD AREA-13)G.The North Duri Field operated by PT. Chevron Pacific Indonesia is located in Duri (Rokan contract area, Riau) and is part of the Duri Steam Flood. NDD Area-13 is part of North Duri Field’s revised POD, where it is stated that the North Duri Field consists of Area-12, Area-13, and Area-14. NDD Area-12 has been in production from November 2008, the next step is the development of NDD Area-13.

It is estimated that the NDD Area-13 will be onstream on December 2013, with a production period of 2013 until 2021. The production peak rate is anticipated to reach 17 MBOPD of oil in 2017 and will then decline naturally until the end of 2021.

The scope of the NDD Area-13 project are:1. Drilling of 358 production wells, 145 injection wells, and 26 observation wells.2. Construction of wellpads for 539 wells, roads, and drainages.3. Construction of production gathering flowlines, steam injection lines, casing vapor

collection (CVC) station, and automated well test (AWT) station.

The EPCI project for NDD Area-13 began in July 9th, 2012 with PT. Wijaya Karya - PT. Inhwa Indonesia - PT. Singgar Mulia Consortium as contractor.

The POD for Area-13 was approved in March 16th, 2011to produce 31 MMBO from the North Duri Area through 358 production wells, utilizing steam flooding.

Construction Review Meeting, Duri 17-18 Dec 2012

Living IIF In Action Training for EPC Contractor Employees, Duri 26 Dec 2012

Fencing Installation at J3 Office

Clearing & Grubbing, Road G-4.1

Clearing & Grubbing, Wellpad Road G5-1

Excavation Work at Secondary Canal 12A

14

1213

11

10

8

4 5

63

1

2

9

7

17 Km

8 Km

Undeveloped Area

Developed by Steam Flood

Duri

Minas


83

CORRIDOR BLOCK DEVELOPMENT PROJECT H.Production from this contract area is derived from the Suban, Dayung, Sumpal, Letang / Tengah, Gelam, Sambar, and Rawa Fields.

In 2010, ConocoPhillips (Grissik) Ltd., proposed an investment initiative to increase production from the Corridor contract area, namely the Dayung Compression 1 Project, the Sumpal Expansion Project, and the Grissik Debottlenecking Project.

Sumpal Expansion ProjectThe Sumpal Field is one of eight gas fields located in the Corridor contract area, and has been in production since 2001 with a capacity of 155 MMSCFD of dry gas transported to the Central Grissik Plant (CGP) by pipelines.

The Sumpal Expansion Project adds a second train to the Sumpal Station by constructing and installing a gas dehydration and cooling system, to increase the Sumpal Gas Station capacity to 2x155 MMSCFD.

In detail, the scope of the Sumpal Expansion Project consists of the installation of the second train with a 155 MMSCFD capacity, a gas cooling, glycol dehydration, a produced water system, in addition to an electrical and control system. Moreover, to increase the gas transportation capacity from the Sumpal Station, a 16” trunkline was built to the Sumpal Junction.

It is estimated that the second train will be operational in September 2013. In December 2012, this project is still in construction, and we expect onstream to take place by September 2013.

The Corridor contract area is operated by ConocoPhillips (Grissik) Ltd. with the initial discovery of Rawa Field in 1985. Other exploration activities up to 1998 have successfully found 6 additional fields. With the discovery of those 7 fields, the Corridor contract area has successfully produced oil and condensates with a maximum flow of 10 MBOPD of oil and more than 1 billion SCFD of gas.

530 km, 28”

545 km, 28”

5 km, 16” 30 km, 12”

50 km, 12”

10 km, 10”

71 km, 26”

43 km, 26”

13 km, 24”35 km, 28” 13 km, 6”

649 km, 32-36”

CORRIDOR BLOCK

PALEMBANG

SOUTH SUMATRA

Gas Sales Pipeline (TGI)to Chevron Duri

Gas Sales Pipeline (TGI)to Singapore

GELAM PLANT

SUMPAL PLANT

DAYUNG PLANT

DAYUNG

SUBAN PLANT SAMBAR

GRESIK CENTRAL GAS PLANT

TENGAH

RAMBA

RAWA

LETANG

LETANG

Gas Sales Pipeline (PGN)to West Java

LEGEND

COPI GA P/L

THIRD PARTY P/L

FUTURE P/L

FIELD DISCOVERYRawa/S Rawa 1985Latang/Tengah 1986Gelam 1990Sambar 1991Dayung` 1991Sumpal 1994Suban 1998

84

H. CORRIDOR BLOCK DEVELOPMENT PROJECTIV. DEVELOPMENT AND MAJOR PROJECTS

Dayung Compression ProjectThe Dayung Compression Project was initiated to ensure the transportation level of gas to Caltex contracts and any further contracts (Caltex 3) with a raw gas transport capacity of 200 MMSCFD.

The scope of the Dayung Compression Project consists of the development and installation of a 24 HP gas compressor, development of a produced water system and a backup electricity system. It is estimated that this project will come to an end in September 2013, with an initial production of 97 billion BTUD and will reach peak production in 2014 with 180 billion BTUD.

Grissik Debottlenecking ProjectThe Grissik Debottlenecking Project is a project that will increase the gas prufication capacity of the Grissik Plant, especially the high-CO2 system, from 310 MMSCFD of raw gaw to 460 MMSCFD of raw gas to accomodate additional delivery of gas from Sumpal and Dayung Fields.

The scope of this project consists of the development and installation of a Regen Gas Compression with a 2x26 MMSCFD capacity, an extra CO2 separation system, instruments, and a generator. The schedule for project completion is September 2013, coinciding with the completion of the Sumpal Expansion and Dayung Compression projects.


85

The Ruby Field was developed to produce approximately 214 BCF of gas with a flow of up to 100 MMSCFD of gas in 4 years, produced from 6 development wells from the Berai Formation.

The development concept of this field is the development of an integrated process system consisting of 6 WHP slots connected by a bridge to a Process & Quarters Platform (PQP) located in offshore deepsea with a waterdepth of 60 meters. Processed gas and condesates will be transported through 14” export pipelines for 312 km to the Senipah Terminal operated by Total E&P Indonesie. The gas will then by transported to PT. Pupuk Kalimantan Timur through the East Kalimantan gas pipeline system.

The Ruby Field project progress until the end of 2012 is the completion of pipelines from the Ruby Field to the Senipah Terminal. The WHP and PQP is in fabrication in Batam and Balikpapan. The project is expected to be onstream by September 2013.

RUBY FIELD DEVELOPMENT PROJECTI.

The Ruby Field, an offshore gas field, is part of the Sebuku contract area operated by PearlOil (Sebuku) Ltd.

SENIPAH TERMINAL

RUBY FIELD

312 KM 14” PIPELINE

86

J. KEPODANG FIELDIV. DEVELOPMENT AND MAJOR PROJECTS

KEPODANG FIELDJ.The Kepodang Field is operated by PC Muriah Ltd. in a waterdepth of 60-70 meters from sea level and located around 180 km northeast of Semarang, the capital of Central Java.

The Kepodang Field development consist of 2 stages:

1. Stage 1 development of 6 wells and installation of: • Central Processing Platform (CPP), consisting of a process deck with separation, dehydration, compression, utilities, and wellhead module (WHM-A), with 8 slots / 4 wells. CPP is an unmanned platform controlled from the ORF. • 1 wellhead tower (WHT-C), with 5 slots / 2 wells connected to the CPP by 2.7 km 10” infield pipe.

Stage 1, will also develop an Onshore Receiving Facility (ORF) and a 200 km 14” export gas pipeline from CPP to ORF, which will be built and operated by a third party based on the downstream scheme.

2. Stage 2 development of WHT-D installation with 2 wells connected to the CPP and an additional 2 wells drilled, each in WHT-C and CPP.

The Kepodang gas reserve is used to supply the Tambak Lorok Gas and Steam Power Plant (PLTGU) operated by PT Indonesia Power (PTIP) located in Semarang.

In 2012, several procurement processes were completed, which set in motion the fabrication phase in 2013.The Kepodang Field development project is set to be onstream on October 2014.

The Kepodang Field first POD (POD I) was approved in June 20th, 2005, however in its development several revisions were enacted causing the initial upstream scheme to be altered to a downstream scheme. The Kepodang Field POD I revision was signed on May 14th, 2012 to produce 365 BCF of cumulative gas with a flow rate of 116 MMSCFD of gas for 12 years.

Central Processing Platform (CPP)

Phase 2DN150 (6”ND)4.7 Km Flowline

WHT-C

DNS250 (10”ND)2.7 Km Flowline

DN350 (14”ND)200 Km Export Pipeline:by Transporter

Phase 1 Development Phase 2 Development

Onshore Receiving Facilities (ORF):Transporter will build and own Control Building in ORF, PCML will lease the 2nd Floor for its Operations

Kepodang Development ConceptBusiness Scheme Comparison between Approved POD (2005) and Proposed POD Revision (2011)

ORF Inside PTIP Area

All Facilities and Pipeline by PCML


POD Scheme

UnmannedCPP

14” x 200 kmExport Pipeline

Unmanned CPP


UPSTREAM

DOWNSTREAM

14” x 200 kmExport Pipelineby Transporter

Current Business Scheme(Export Pipeline & ORF Downstream)

New offshore gas matering

PCML built and own Offshore Facilities

Transporter will build and own Control Building in ORF, PCML will lease the 2nd Floor for its Operations

Java Sea


87

In addition, the development of this field also aims to meet the domestic gas needs of power stations and fertilizer plants.

The Senoro Field is located in the northeastern part of the Senoro-Toili contract area, discovered by the Senoro-1 exploration well in April 1999. The Senoro Field produces 310 MMSCFD of gas per day with 55 MMSCFD allocated to PT. Panca Amara Utama, 5 MMSCFD allocated for PT. PLN, and the rest sent to the Donggi Senoro LNG.

SENORO GAS FIELD INTEGRATED DEVELOPMENT AND MATINDOK K.

The integrated development of the Senoro gas field and the Matindok gas field is carried out to fulfill the needs of the Donggi Senoro LNG plant with a capacity of 2,5 MTPA.

The integrated project and commercial

scheme can be seen in the chart below.

The Senoro Field Gas Development - JOB Pertamina Medco Tomori Sulawesi

Nonong

SNR-1

SNR-3

SNR-2

Tangkiang

Bakiriang Reservation Area

Upstream Downstream

Senoro Toili BlockOperator : JOB Pertamina

- Medco E&P,Tomori Sulawesi

Operator: PT DSLNG

Donggi

Minahaki

Maleoraja

Matindok

Senoro

Cendanapura

DONGGI CPP

SENORO CPP

MATINDOK CPP

Pertamina EP

Pertamina EP

JOB P-MTS

TIP 1

TIP 2

LNG PLANT

PLN

FERTILIZER

GSA

50MMSCFD

310MMSCFD

55MMSCFD

335MMSCFD

25MMSCFD

55MMSCFD

Business Scheme Downstream LNG

Gas Supply:Matindok Area: 85 MMSCFDSenoro Area: 250 MMSCFD

Domestik

Electricity, Gas Supply:Matindok Area: 20 MMSCFDSenoro Area: 5 MMSCFD

Fertilizer, Gas Supply:Senoro Area: 55 MMSCFD

Peleng Strait

88

K. SENORO GAS FIELD INTEGRATED DEVELOPMENT AND MATINDOK AREAIV. DEVELOPMENT AND MAJOR PROJECTS

The scope of development consists of 5 workover wells, 16 development wells, construction of a production facility to process 2x155 MMSCFD of gas, and the construction of a 27 km 30” gas pipeline to PT DS LNGS and a jetty terminal for condensates.

Up to the end of 2012, this project has entered into the construction phase started in September 2012, it is estimated that gas production from the Senoro Field wll start in Q4-2012 with 300 MMSCFD of gas.

The Matindok Field Gas Development is based on a gas discovery in the Matindok area from Donggi, Matindok, Maleoraja, Minahaki, Sukamaju, dan Mentawa Fields. The Matindok Field’s total reserves is 852,.75 BCF with 105 MMSCFD allocated for gas sales.

From the 105 MMSCFD of gas, 85 MMSCFD will be transported to Donggi Senoro LNG, while the rest (20 MMSCFD) will be transported to PT. PLN.

The scope of development consists of construction of Donggi Field production facilities with a 60 MMSCFD capacity, which will process gas from the Donggi and Minahaki Fields. The Matindok Field production facilities with a 65 MMSCFD capacity will be used to process gas from the Matindok and Maleoraja Fields.

A gross production of 56 MMSCFD will increase to 115 MMSCFD in mid 2015 for 12 years, after that production will decrease until reaching the abandonment phase in 20 years. The production of condensates will begin at the same time as gas production with 82 BCPD and will hit peak production in 2015 with 643 BCPD. The condensate volume during gas sales is 2.47 million BBL.

The production from the Matindok area will merge with gas from the Senoro Field in Tie-in Point 1 and Tie-in Point 2, while the condensates produced from both facilities will be transported to a production facility in the Senoro Field.

In the end of 2012, this projects has entered into the EPCI phase with a production target of Q4-2014.

The Matindok Field Gas Development - Pertamina EP

AMPANA

SULAWESI

LUWUK

PELENG

Onshore field for LNG

Onshore field for IPP

Dry exploration well

RANGKONG A-1

MAL EO-1

MAL EO BESAR-1

SUKAMAJU

MATINDOK

MALEO RAJA

MINAHAKI

DONGGI

Peleng Strait

CPP

Jetty

BakiriangReservation Area

CP=2

CP=1

CI=5-2w CI=3-5w

CI=2-9w

CI=1-3w

CI=5-2w

Gas P

ipali

ne

Senoro

MATINDOK AREA LOCATION MAP


89

The Government approved BP Berau Ltd. plans for Train 3 Tangguh expansion project (POD II) on November 29th, 2012. This project in a continuation of Train 1 and Train 2 (POD I) which has been in operation since 2009. The Train 3 Tangguh expansion is planned to produce 2.48 TCF (nett sales gas). The production allocation of LNG produced from Train 3 Tangguh is for domestic (40%), and the rest of for buyers with the highest price and best economics.

Initial gas production for commissioning of Train 3 Tangguh plant is at the end of 2018, while first production for delivery to LNG plants and Bintuni electricity is at Q2-2019.

An LNG Plant will be built with a capacity of 3.8 MTPA and 3,200 BPD condensates and ORF. Upstream is the Gas Production Facility (Offshore) with a 700 MMSFD capacity consisting of 2 platforms with 7 wells and gas flowlines to LNG Plant with a 24” diameter for 24 km.

TRAIN 3 TANGGUH EXPANSION PROJECT L.

Bintuni Bay West Papua

OFA PLATFORM

COMBO DOCK

LING COMBO JETTY

LNG Tank 3

LNG T 3

LNG Tank 1&2

DRF T3ORF T1&T2

LNG T1&2

LNG JETTY

ROAPLATFORM

VRF PLATFORM

WDA PLATFORM

VRD PLATFORM

VRB PLATFORM

VRAPLATFORM

WDP ONSHORE GASPRODUCTION FACILITIES

VRCPLATFORM

O 24 - 15 km

O24

-8,3

km

O24

-19

km

O24

- 18

km

O 24 -

18,2

km

O24

-6,

3km

O24-13,5

km

LEGEND

Initial DevelopmentPhase Facilities

Further DevelopmentPhase Facilities

Existing Facilities

Existing Pipeline

Proposed Pipeline

Tangguh Expansion Scope Schematic

In the end of 2012, the Tangguh Expansion Project Train 3 is still in the initial FEED procurement phase.

New TRAIN - 3& Utilities

Offshore

Onshore


91

NATIONAL CAPACITY EMPOWERMENTV

92

From January-December 2012, the total commitment for goods and services approved by BPMIGAS (now SKK Migas) and procured by PSC Contractors is US$16.61 billion with 60.04% local content (TKDN).

SKK Migas encourages the use of local content (TKDN) as to maintain a minimal percentage of 60%. Supervision of this commitment is conducted through the AFE approval mechanism.

Of the total 654 ships needed, 97% are national-flag ships, while foreign-flag ships are mostly for drilling, such as jack up rig, drilling ship, and semi submersible rig, of which there are a limited number around the world.

From 2010 until 2012, the use of local content in procuring goods / services involving State-Owned Enterprises (Badan Usaha Milik Negara / BUMN) has reached US$2.5 billion with an average local content (TKDN) of 74.16%. We hope that State-Owned Enterprises participation can be improved in the future and as such also increases local content (TKDN).

A. UTILIZATION OF DOMESTIC GOODS AND SERVICES V. NATIONAL CAPACITY EMPOWERMENT

UTILIZATION OF DOMESTIC GOODS AND SERVICES A.

2006 2007 2008 2009 2010 2011 2012

43%

54%

43%49%

63% 61% 60%

100%

90%

80%

70%

60%

50%

40%

30%

20%

10%

0

5,862 4,7376,568

5,408

6,976 8,109 11,531

995 1,846 1,400

3,577 3,811 3,7065,082

Utilization of National-Flag Ship

State-Owned Enterprises (BUMN) Participation in Goods / Services From 2010 Until 2012

% Local Content

Services

Goods

Mill

ion

US$

1,699.59

2,000

1,500

1,000

500

-2010 2011 2012

197.28

629.13

State-Owned Enterprises (BUMN) Participation

Mill

ion

US$

18,000

16,000

14,000

12,000

10,000

8,000

6,000

4,000

2,000

0


93

Efficiency of Joint Procurement Coordination between BPMIGAS (now SKK Migas) and PSC Contractors regarding joint procurement, has enabled us to safeguard budget efficiency in the upstream oil and gas industry. In 2012 we targeted a savings of US$125 million with a realization of US$147.96 million.

1 PT. PAL Indonesia (Persero) 178,751.86 64.38

NO State-Owned Companies TOTAL

Amount(Thousand US$)

Local Content(%)

2 PT. Adhi Karya (Persero) 24,599.65 96.30

3 PT. Pertamina (Persero) 1,167,312.67 68.13

4 PT. Pelayaran Nasional Indonesia (Persero) 3,464.05 76.32

5 PT. Pembangunan Perumahan Tbk. 6,336.96 93.73

6 PT. Sucofindo 33,113.28 78.95

7 PT. Surveyor Indonesia 64,516.02 96.76

8 PT. Hutama Karya (Persero) 95,584.58 83.35

9 PT. Wijaya Karya (Persero) Tbk 177,326.73 60.93

10 PT. Dahana (Persero) 7,642.75 92.27

11 PT. Telekomunikasi Indonesia Tbk. 3,113.39 74.87

12 PT. Asuransi Jasa Indonesia 79,050.13 31.79

13 PT. Biro Klasifikasi Indonesia 1,318.02 95.42

14 PT. Rekayasa Industri 663,147.55 86.53

15 PT. Elnusa 12,682.20 74.87

TOTAL 2,517,959.83 74.16

160

140

120

100

80

60

40

20

0

2009 2010 2011 2012

33.2

20

Target

Achievement

70.9

50

103.5

80

147.96

125

Mill

ion

US$

State-Owned Enterprises in the Upstream Oil and Gas Industry

94

Since 2009, procurement efficiencies through optimizing assets and its realization always exceed the target. In 2012, optimizing of assets reached US$43 million, higher than the set target of US$30 million.

From the 55 special terminals operated, 72.7% is managed by PSC Contractors themselves to increase operating costs efficiency.

B. OPTIMIZING ASSET MANAGEMENT IN 2012V. NATIONAL CAPACITY EMPOWERMENT

OPTIMIZING ASSET MANAGEMENT IN 2012B.

50

45

40

35

30

25

20

15

10

5

0

2009 2010 2011 2012*

15

28

Achievement

Target

25

37

25

40

30

43

Mill

ion

US$

Since 2009, procurement efficiencies through optimizing assets and its realization always exceed the target.

* December 31st, 2012 Status awaiting final recapitulation


95

PROCUREMENT TRANSACTIONS THROUGH STATE-OWNED / REGIONAL-OWNED BANKSC.Since 2009, BPMIGAS (now SKK Migas) is committed to boost State-Owned Banks / Regional-Owned Banks / Syariah Banks. A few of the banks involved in procurement transactions are : Bank Mandiri, BRI, BNI, as well as a combination of Bank Mandiri / BNI, Bank Mandiri and BRI, Bank Syariah Mandiri and Bank Muamalat, and also other Regional-Owned Banks. The total value of procurement transactions from April 2009 until December 2012 is US$24.28 billion.

2009 2010 2011 2012

3,969.90

Bill

ion

US%

$522.35 (2%)MANDIRI / BNI

$5.82 (0%)MUAMALAT

$16.29 (0%)MANDIRI & BRI

$32.24 (0%)REGIONAL OWNED BANKS

$3,670.02 (15%)BNI

$17,809.01 (74%)MANDIRI

$1,735.39 (7%)BRI

Transaction Commitments April 2009 until December 2012 (Million US$)

Yearly Transaction Commitments 10,000

8,000

6,000

4,000

2,000

0

4,626.21

6,348.63

9,337.90

$491.29 (2%)SYARIAH MANDIRI

74%

15%

7%

96

SKK Migas commits to continuously increase the capacity and competency of the Indonesian Worker (Tenaga Kerja Indonesia / TKI) through the National Capacity Building (NCB) program.

The NCB program aims to accelerate the Indonesian Worker’s competency in the petrotechnical and relevant technical fields, and to fulfill the demand for petrotechnical and relevant technical professionals to support the national upstream oil and gas industry.

SKK Migas encourages PSC Contractors to improve the Indonesian Worker’s competency through international exposure by means of:

• Technical Development Exchange (TDE) Program, • Job Assignment / On The Job Training, • Job Swapping, and • Internationalization.

As a form of PSC Contractors commitment towards the development of Indonesian Worker’s, up to 2008 there has been an upwards trend in international assignments of Indonesian Worker’s. However after 2008, international assignments declined due to reduced available position overseas and the heightened domestic needs caused by major projects (Banyu Urip, IDD, Masela, Muara Bakau, and Tangguh).

D. NATIONAL CAPACITY BUILDING (NCB) MANAGEMENTV. NATIONAL CAPACITY EMPOWERMENT

NATIONAL CAPACITY BUILDING (NCB) MANAGEMENTD.

SKK Migas commits to continuously increase the capacity and competence of the Indonesian Worker (TKI) through the National Capacity Building (NCB) program.


97

As part of the NCB program, SKK Migas implemented a program with national educational institutions by means of a working partnership with a number of universities, such as ITB, University of Indonesia, Trisakti University and others.

As part of the NCB program, SKK Migas implemented a program with national educational institutions by means of a working partnership with a number of universities, such as ITB, University of Indonesia, Trisakti University, and others. The benefits to be derived from the NCB program, among others, is to increase the national capacity potential, to create a synergy between universities, to encourage universities to work together in creating ready-to-use graduates for PSC Contractors through a tailor-made program, as well as empower universities / education and training centers (Pusdiklat) as a Center of Excellence for related technical competencies

The NCB execution program or mechanism is done through a self-management system (swakelola) by the signing of a Memorandum of Understanding between SKK Migas and 6 universities and Pusdiklat Migas Cepu, followed by the drafting of a cooperation contract involving the universities, LEMIGAS, associated professions (exp: HAGI, IAGI, IATMI) and PSC Contractor practitioners (Indonesian and Foreign Workers), with the following aims:

• To empower and engage capable national capacities with the potential to be developed.

• To reduce the cost of sending fresh graduates abroad to undergo a graduate program.

An NCB program involving 240 participants is planned for next year and 2014, to enter in main educational programs, such as G&G, drilling engineer, drilling supervisor, reservoir engineer, production / operation engineer, process engineer, maintenance/reliability engineer, and rotating engineer

98

In 2012, the concept of environment based development was upgraded to continuous development in order to support the 2015 Millennium Development Goals (MDG), one of which is to ensure environmental sustainability through the fulfillment of the current needs without compromising the needs of future generations. The Company’s Environmental Rating Program (Proper), developed by the Ministry of Environmental Affairs, is an excellent instrument because it not only takes into account regulations but also incorporate resource conservation, as well as social responsibility aspects.

In 2012, in general PSC Contractors received better Proper ratings, and even though there are still 5 PSC Contractors which received a Red Proper ranking, this is more because of a momentary lapse in the quality standards. 55 PSC Contractors fulfilled the quality standards and as such received a Blue Proper ranking, while 23 PSC Contractors received a Green Proper ranking for having an environmental management and resource conservation system. Only 1 PSC Contractor received a Gold Proper ranking for implementing a continuous social responsibility program.

The environmental document is a basic guideline to manage activities in regards to environmental sustainability and monitored by the Government through the granting of environmental licenses. Throughout 2012, approvals for environmental permits has decreased due to the constraints caused by the transition from the central Government to the local Government, and also due to the unpreparedness of the local Government.

E. CONTINUOUS DEVELOPMENTV. NATIONAL CAPACITY EMPOWERMENT

CONTINUOUS DEVELOPMENTE.

In 2012, the concept of environment based development was upgraded to continuous development in order to support the 2015 Millennium Development Goals (MDG), one of which is to ensure environmental sustainability through the fulfillment of the current needs without compromising the needs of future generations.

140

120

100

80

60

40

20

0

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

39

2 6 5 4 410

6 83 7

25

45 44

5864

59

9386

114

66 70

UKL-UPL

AMDAL/RKL-RPL

0

2012

0

5

0

54

23

1

0

2011

0

5

0

52

19

1

0

2010

0

11

0

48

11

0

1

2009

5

5

29

17

10

0

1

2008

3

3

12

27

7

0

0

2004

0

14

0

36

0

0

0

2003

0

4

0

11

0

0

0

2002

0

1

0

5

0

0

BLACK

PINK

RED

LIGHT BLUE

BLUE

GREEN

GOLD

PROPER 2002 - 2012*

* In 2005, 2006 and 2007 the Environmental Ministry did not conduct PROPER

Environment Permit Documents


99

Utilization of Flare Gas

Social Responsibility

In supporting the Governments directive to reduce flare gas in Indonesia, in 2012 SKK Migas with PSC Contractors utilized flare gas in the Tuban District, Sorong District, Tarakan City, and Bunyu Island. JOB Pertamina - PetroChina East Java’s flare gas was utilized by PT Gasuma Corporindo to fulfill industrial gas in the Tuban District and domestic LPG; JOB Pertamina – PetroChina Salawati flare gas was utilized by PT Malamoi Olom Wobok to lift oil and supply gas for electricity in the Sorong District; furthermore PT Pertamina EP Bunyu Field’s flare gas was utilized by PLN Tarakan and PLN Bunyu to fulfill the electricity needs in Tarakan and Bunyu Island.

SKK Migas’s Bright and Green Program is our effort to boost economic activities, mainly in districts or provinces where upstream oil and gas activities occur and areas that have processing facilities and upstream production. This program aims to give local residents access to electricity (bright) so that they can immediately benefit from the upstream oil and gas industry. An example of the bright and green program in 2012 is the utilization of Kondur Petroleum S.A. gas by PT PLN (Persero) to fulfill the electricity demand in the Melibur District.

In order to achieve the safety work plans, than all safety and health matters must be handled with the upmost priority. Occupational safety performance is measured by an index level of accidents in accordance with the American National Standard Institute (ANSI), where the lower the index level, the better the PSC Contractors performance. In 2012, we were able to achieve the lowest index level in the past 6 years.

To ensure marine safety, all offshore activities are socialized to the maritime community through Maklumat Pelayaran (Mapel) and Berita Pelaut Indonesia (BPI) so that activities undertaken will not be affected by marine traffic. In 2012, a total of 62 offshore activities were announced through Mapel and BPI.

2.5

2

1.5

1

0.5

0

2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

1.84

2.29

2

1.67

1.251.15

11.11 1.06

0.97

0.68

Inci

dent

rat

e

Upstream Oil and Gas Work Incident Data


101

INTERNAL SKK MIGASVI

102

BPMIGAS (now SKK MIGAS) strategic plan was approved on December 16th, 2011; based on the National Development Strategy, prevailing regulations, stakeholders aspirations along with SKK Migas vission and mission. From these process 8 strategic targets, 15 initiatives and 81 working plans were formulated.

The 8 strategic targets were divided into 2 categories, which are:

4 strategic actions:1. To increase oil and gas resources and reserves.2. To optimize oil and gas production.3. To optimize the upstream oil and gas industry’s operational costs.4. To increase the empowerment of national capabilities and capacities.

4 strategic enablers:5. To support the effectiveness of regulatory framework among perpetrators in the

upstream oil and gas industry.6. To increase SKK Migas internal human resources capability and capacity.7. To optimize the sustainability of SKK Migas work process and management system.8. To implement integrated and transparent information systems for SKK Migas internal

and PSC Contractors

These 8 strategic targets were then broken down into 15 initiatives and 81 working plans distributed into 3 periods: 15 working plans in 2011-2012; 25 working plans targeted for 2013; and 41 working plans targeted to be completed in 2014-2015.

Monitoring and review of targets set in SKK Migas Strategic Plan and Annual Work Meeting is done periodically. In the 2011 Annual Work Meeting, the Chairman of BPMIGAS (now SKK Migas) appointed the Corporate Secretary to monitor the implementation of work programs by all functions in BPMIGAS (now SKK Migas). The monitoring process was done by quarterly report and was part of the Corporate Secretary’s Key Performance Indicator. In mid 2012, the Corporate Secretary invited all the functions in SKK Migas to give progress reports and convey revisions to the work program, if any, for example if the budget for a work program was rejected by relevant stakeholders. The monitoring results will then be reported periodically every quarter to the SKK Migas management.

A. SKK MIGAS STRATEGIC PLAN (RENSTRA) FOR 2011-2015VI. INTERNAL SKK MIGAS

SKK MIGAS STRATEGIC PLAN (RENSTRA) FOR 2011-2015A.

2011 - 2015

81WORK PROGRAMS

1. INCREASE OIL AND GAS RESOURCES AND RESERVES.

2. OPTIMIZE OIL AND GAS PRODUCTION.

3. OPTIMIZE THE UPSTREAM OIL AND GAS INDUSTRY’S OPERATIONAL COSTS.

4. INCREASE THE EMPOWERMENT OF NATIONAL CAPABILITIES AND CAPACITIES.

5. REGULATORY MANAGEMENT6. PEOPLE7. PROCESS8. TOOLS

2011-2012 2013 2014-2015

15WORK

PROGRAMS

25WORK

PROGRAMS

41WORK

PROGRAMS

BPMIGAS (now SKK MIGAS) strategic plan was approved on December 16th, 2011; based on the National Development Strategy, prevailing regulations and the hopes on stakeholders and also aligned with SKK Migas vision and mission.

15INITIATIVES

8TARGETS


103

Based on MEMR Letter Number 2302/08/MEM.S/2012, dated March 29th, 2012, the function, role and organizational structure of BPMIGAS (now SKK Migas) is as follows:

BPMIGAS (now SKK Migas) organizational structure is derived from the dynamics of upstream oil and gas activities in Indonesia and Government mandates so as to ensure that BPMIGAS (now SKK Migas) creates a breakthrough in supervising the upstream oil and gas activities in order to optimize production.

Structuring of the organization leads to the following:• To expedite monetization / commercialization of discovered reserves and new fields.• To improve intensification of existing potential fields by maintaining and increasing

production of all PSC Contractors.• To carry out Government directives regarding EOR implementation, CBM management,

increasing the use of local content, and decreasing unplanned shutdown.• To strengthen BPMIGAS (now SKK Migas) coordination and policy in the future.

CONFIGURING BPMIGAS (NOW SKK MIGAS) ORGANIZATION STRUCTUREB.

CORPORATE SECRETARY

HUMAN RESOURCES AND GENERAL

AFFAIRS DIVISION

EVALUATION, REPORTING, AND

INFORMATION TECHNOLOGY DIVISION

RISK MANAGEMENT AND TAXATION

DIVISION

PROJECT MANAGEMENT

DIVISION

EXPLORATION DIVISION

MONETIZATION OF OIL AND GAS

DEPUTY FOR GENERAL AFFAIRS

DEPUTYFOR EVALUATION AND

LEGAL ADVISORY

DEPUTY FOR FINANCIAL MANAGEMENT

DEPUTYFOR OPERATIONS

MANAGEMENT

DEPUTY FOR PLANNING

PROCUREMENT AND ASSET MANAGEMENT

DIVISION

LEGAL ADVISORY DIVISION

ACCONTING DIVISION

PRODUCTION OPERATIONS

DIVISION

PRODUCTION DIVISION

PUBLIC RELATIONS, SECURITY

AND FORMALITIES DIVISION

MANAGEMENT REPRESENTATIVES

OPERATIONAL COST AUDIT DIVISION

OPERATION FACILITIES

MAINTENANCE DIVISION

EVALUATION AND DEVELOPMENT

DIVISION

REPRESENTATIVE DIVISION

GOVERNMENT ENTITLEMENT AUDIT

DIVISION

OPERATION SUPPORT DIVISION

WORK PROGRAM AND BUDGET

MANAGEMENT DIVISION

INTERNAL AUDITOR UNIT

BPMIGAS CHAIRMAN

BPMIGAS VICE CHAIRMAN

EXECUTIVE ADVISOR

BPMIGAS (now SKK Migas) ORGANIZATION STRUCTURE

SKK Migas organizational structure is derived from the dynamics of upstream oil and gas activities in Indonesia and Government mandates.

104

BPMIGAS (now SKK Migas) management decided that all the functions in SKK Migas should undergo an ISO 9001:2008 certification process. The audit started on June 15th, 2012 and ended on September 7th, 2012.

The scope of the ISO 9001:2008 is the supervision and control of upstream oil and gas activities by PSC Contractors.

There are 5 stages in order to receive an ISO 9001:2008 Certification. Starting from Audit Preparations, Internal Audit, Corrections, Audit Certification, and Follow-Up.

C. ISO 9001:2008 CERTIFICATIONVI. INTERNAL SKK MIGAS

ISO 9001:2008 CERTIFICATIONC.

On September 11th, 2012, TUV North officially published an ISO 9001:2008 Certificate for BPMIGAS (now SKK Migas).

AUDIT CERTIFICATION

FOLLOW UPINTERNALAUDITS

PREPERATIONS CORRECTIONS ISO CERTIFICATION AWARD


105

1. Audit Preparations ISO 9001:2008 audit certification for BPMIGAS (now SKK Migas) employees on behalf of all functions were conducted on 15-16 May 2012.

2. Internal Audit a. 25 Internal Auditors conducted internal audits on 5-18 June 2012. b. The results of the internal audit were 22 non-conformity founding’s and 10 suggestions.

3. Corrections a. The 22 non-conformity founding’s were followed up by the Organization and Management System Department and related functions by revising several business processes and existing Standard Operating Manual. b. The 10 suggestions were followed up by planning the implementation in each function.

4. ISO 9001:2008 Audit Certification ISO 9001:2008 audit certification was conducted by TUV Nord, divided into 2 stages: a. Stage I (29-30 August 2012) - Quality Management System audit and sampling from 2 Divisions (Exploration and Production). b. Stage II (3-7 September 2012) - Quality Management System implementation audit throughout all the BPMIGAS (now SKK Migas) Divisions. c. No findings of non-conformity.

5. Follow-Up Due to the certification audit, all follow-ups to findings were conducted in the preparation stage and no residual non-conformities were found.

106

D. INTERNAL HUMAN RESOURCES MANAGEMENT AND DEVELOPMENTVI. INTERNAL SKK MIGAS

INTERNAL HUMAN RESOURCES

MANAGEMENT AND DEVELOPMENTD.

MANAGEMENT EXECUTIVE UNIT

51

18

182

5

186

28

148

7

83

2

168

41

PLANNING EXECUTIVE UNIT

OPERATIONS MANAGEMENT

EXECUTIVE UNIT

FINANCIAL MANAGEMENT

EXECUTIVE UNIT

EVALUATION AND LEGAL ADVISORY EXECUTIVE UNIT

GENERAL AFFAIRS EXECUTIVE UNIT

Employees

Temporary Employees

1. Employee Demographic

MANAGEMENT

400

300

200

100

0

<26

26-30

31-35

36-40

41-45

46-50

51-55

>55

EXECUTIVE ADVISOR

DIVISION HEAD /

EQUIVALENT

SENIOR MANAGER / EQUIVALENT

MANAGER / EQUIVALENT

STAFF /AUDITOR /

LEGAL COUNSEL

SECRETARY SECRETARIAT

39% ENGINEERING

28% EARTH SCIENCE

17% ECONOMY

6% LAW

3% PSYCHOLOGY

2% SOCIAL

1% SCIENCES

4% SECRETARIAL

a. The quantity of employees per December 2012 is 919 employees. Consisting of 818 permanent employees and 101 contract employees.

b. A rapid organization growth is shown by the 69% of new employees actively working in the past 5 years (since 2008).

Num

ber

of P

eopl

e

Quantity of Employees200

150

100

50

0

Num

ber

of P

eopl

e

Age of Employees

39%

28%

17%

6%

Educational Background


107

A total of 82 new employees were recruited in 2012 (22 were recruited to close the gap of employees in 2011, employees entering their retirement and resignation, as well as 60 employees based on the approved 2012 budget by the Ministry of Finance).

The diversity in new employees reached the target set for placement, education and race, however it has not reached the target regarding job experience and gender.

The growth of SKK Migas organization is moving at a rapid pace and is focused on the development of the Planning and Operations Management Unit. The growth of the organization in 2012 in each Executive Unit is as follows:

2. Recruitment

• The employee formation approval for 2012 is 829 employees

• The additional target of 18 employees is caused by resignation (4), retirement (11), non active MPP (2) and death (1).

• Which makes the total recruitment target 86 employees

• Before 2012 the recruitment process was conducted quietly by referral to cover the 2011 gap and to replace ex-employees - resulting in 22 employees.

• Total vacant positions announced through an open recruitment process is 63 positions - resulting in 60 employees (53 active in 2012 and 7 active in 2013).

The gap of 4 workers:• 1 worker resigned after

signing the employment contract because of inability to participate in the on-boarding program

• 2 Division did not utilize its slot for 2 positions (Representative Office, Procurement)

• 1 position is for the external Manager (Exploration)

• The quantity of employees in the beginning of 2012 is 761 employees, however based on the employee formation target in 2011 of 768 employees, there is a gap of 8 employees.

• The employee recruitment target in 2012 is 60 employees.

• Which makes the total recruitment target 68 employees.

33% PLANNING EXECUTIVE UNIT

29% OPERATIONS MANAGEMENT EXECUTIVE UNIT

9% FINANCIAL MANAGEMENT EXECUTIVE UNIT

10% EVALUATION AND LEGAL ADVISORY EXECUTIVE UNIT

13% GENERAL AFFAIRS EXECUTIVE UNIT

6% CHAIRMAN AND VICE CHAIRMAN EXECUTIVE UNIT

33%

29%

9%

10%

13%

6%

Percentage of Employees per Executive Unit

108

1. Throughout 2012 there have been 41 in-house courses and 4 on-boarding programs (2 generations).

2. 1,178 public learning programs were conducted, with 823 domestic programs and 355 programs abroad.

3. From those 1,178 programs, 1,069 programs were seminars, workshops, and conferences, while the rest 109 programs were certified programs. On November 13th, 2012 the realization percentage of BPMIGAS employees Individual Learning Plan (RPI) is 68,39%.

4. The signing of a Memorandum of Understanding and Self-Management Agreement regarding Learning Programs with 2 institutions, BPKP and the Army’s Department of Phycology.

D. INTERNAL HUMAN RESOURCES MANAGEMENT AND DEVELOPMENTVI. INTERNAL SKK MIGAS

Learning and Development

Domestic69%

Abroad31%

Management

Domestic37%Abroad

63%

Head Senior Manager Manager

Domestic55%

Abroad45%

Domestic50%Abroad

50%

Domestic59%

Abroad43%

Executive Advisor

Domestic50%Abroad

50%

Secretariat

Domestic97%

Abroad3%

Staff

Domestic70%

Abroad30%

TEAM BUILDING

Department of Psychology Army

10 Days

INTERNAL CLASSROOM

12 Days

WORKING IN EACH UNIT

60 Days

EMPLOYEE APPOINTMENT

LETTER OF DECREE

ON THE JOB

TRAINING

60 Days

5 MONTHS

On-Boarding Program Process XVIII Generation

The growth of SKK Migas organization is moving at a rapid pace and focusing in the development of the Planning and Operations Management Function.


109

5. 19 functional competencies for functions undergoing changes caused by organizational shifts were completed and sent to each function to certify on October 23rd, 2012.

6. Individual employees end of year performance appraisal started with an Organizational Behavior Assessment with an average of 76% filled. Individual employees behavior appraisal was conducted with 87% filled. The cut off date for appraisal was January 2nd, 2013.

7. The budget realization for learning and development of SKK Migas employees reached 122%.

ONE OF THE COMPONENTS IN PERFORMANCE

APPRAISAL

HELP EMPLOYEES IN RECOGNIZING

THEIR STRENGTHS AND AREAS OF DEVELOPMENT

HELP THE MANAGEMENT IN DEFINING

COMPETENCIES AND LEARNING

3 REASONS WHY ORGANIZATIONAL

BEHAVIOR ASSESSMENT IS FOR YOU?

100%

80%

60%

40%

20%

0

STRUCTURAL

84%

Percentage of Organizational Behavior Assessment per December 28th, 2012. 89% 88%

16% 11% 13%

NON STRUCTURAL SECRETARY

<70% Total Respondent

>70% Total Respondent

110

The total number of production PSC Contractors manpower up to the end of 2012 is 25,298 people or a 2% rise from 2011. From that total, 97% constitutes as the Indonesian manpower (TKI) while only 3% are foreign manpower (TKA).

The total number of exploration PSC Contractors manpower is 1,274 people or a 1% decline from 2011. This decline is caused by exploration failures in several areas (mainly in eastern area of Indonesia). From that total, 95% constitutes as the Indonesian manpower (TKI).

The number of Indonesian and foreign manpower in the upstream oil and gas industry is dependent on the amount and type of activities conducted in that year. In 2012, the cumulative number of manpower in exploration and production PSC Contractors increased 2% compared to 2011. However, since 2008, the use of foreign manpower is maintained to be lower than 4% of the total manpower.

E. MANAGEMENT AND DEVELOPMENT OF PSC CONTRACTORS HUMAN RESOURCES VI. INTERNAL SKK MIGAS

MANAGEMENT AND DEVELOPMENT OF PSC CONTRACTORS HUMAN RESOURCES E.

2006 2007 2008 2009 2010 2011 2012 2013

20,491

792

21,277

783

21,492

714

21,520

649

21,727

776

23,938

792

24,478

820

27,544

1,043

Indonesian Manpower

Foreign Manpower

Indonesian vs. Foreign Manpower in Production PSC Contractors

2006 2007 2008 2009 2010 2011 2012 2013

1,344

277

1,637

249

2,176

246

2,233

252

1,601

152

1,305

183

1,204

70

1,786

117

Indonesian Manpower

Foreign Manpower

Indonesian vs. Foreign Manpower in Exploration PSC Contractors

Num

ber

of P

eopl

eN

umbe

r of

Peo

ple

30,000

25,000

20,000

15,000

10,000

5,000

0

2,500

2,000

1,500

1,000

500

0


111

The opportunity for Indonesia manpower based on the approved manpower plan approval (RPTK) is 6,025 positions in many fields.

It is predicted that due to the needs of PSC Contractors in developing certain major projects, such as Mobil Cepu Ltd., BP Indonesia, and Inpex Masela Ltd., there will be a significant raise in the upstream oil and gas industry manpower in 2013. Those projects are a continuation of 2012.

The use of foreign manpower is limited to disciplines where Indonesian manpower is inadequate and as investor representatives (leadership). Foreign manpower is required to have a minimum of 10 years experience. For the development of Indonesian manpower, SKK Migas encourages PSC Contractors to have an internalization program (swapping & TDE).

It is predicted that due to the needs of PSC Contractors there will be a significant raise in the upstream oil and gas industry manpower in 2013.

112

F. SKK MIGAS BUDGET REALIZATION AND EXPENDITUREVI. INTERNAL SKK MIGAS

SKK MIGAS BUDGET REALIZATION & EXPENDITUREF.The Minister of Finance approved SKK Migas’ budget for 2012 amounting to Rp1,46 trillion and US$14.56 million or a total of Rp1,59 trillion assuming the currency exchange is Rp9.000 per US$.

That amount has risen compared to BPMIGAS 2011 budget of Rp289 billion, this is because of added work programs and manpower, which in turn caused an increase in wages, benefits, along with the planning and development of human resources. However, such amount is still much lower than the allowed percentage (1%) of upstream oil and gas 2011 revenue.

By December 2012, the budget realization is 52% for human resources cost and professionalism enhancements, followed by lease of office space 10% and other operational costs 38%.

Budget Realization And Expenditure (US$)

46%OFFICIAL ASSIGNMENT ABROAD

4%INFORMATION SYSTEM MANAGEMENT

DEVELOPMENT IN 2012

0%OTHER ACTIVITIES

31%OPERATIONAL MANAGEMENT

18%EMPLOYEE & PROFESSIONAL

DEVELOPMENT COST

1%BUSINESS EVALUATION AND DEVELOPMENT

Budget Realization And Expenditure (Rp)

1%BUSINESS EVALUATION

AND DEVELOPMENT

0%OFFICIAL ASSIGNMENT ABROAD

2%INFORMATION SYSTEM MANAGEMENT

DEVELOPMENT IN 2012

5%OTHER ACTIVITIES

6%ASSIGNMENT BENEFITS

11%OFFICE SETUP AND LEASE

19%OPERATIONAL MANAGEMENT

56%EMPLOYEE & PROFESSIONAL

DEVELOPMENT COST

The Minister of Finance approved SKK Migas’ budget for 2012 amounting to Rp1,46 trillion and US$14.56 million or a total of Rp1,59 trillion assuming the currency exchange is Rp9.000 per US$

18%

31%

4%

46%

56%

11%

6%

19%

5%


113

STATE OFFICIAL EMPLOYEE REPORT BY SKK MIGASG.

Following the Memorandum of Understanding between BPMIGAS and KPK in 2011 and as concrete support for transparency and prevention of corruption, the Chairman of BPMIGAS issued letter of decree Number KEP-0175/BPO0000/2011/S0 dated December 22nd, 2011, obligating each and every BPMIGAS management and employee, no exception, to submit a State Official Property Report (Laporan Harta Kekayaan Penyelenggara Negara - LHKPN) to the Corruption Eradication Commission (KPK).

Collection of LHKPN was targeted on May 22nd, 2012. Socialization regarding technical guidelines in filling the LHKPN form was conducted 5 times by SKK Migas in conjunction with KPK. The initial collection time of all the employees LHKPN was not met due to several employees being out of town / abroad and approximately 70 new employees partaking in orientation, resulting in the cut off date being moved to November 13th, 2012.

On November 13th, 2012, 750 employees (97.5%) from of a total of 769 employees handed in their LHKPN, which as a government agency supporting transparency is an achievement in itself.

KPK Chairman, Abraham Samad and BPMIGAS Chairman officiate the Guidelines Governing Gratification (Pedoman Pengendali Gratifikasi - PPG) and the Whistle Blowing System (WBS) in BPMIGAS’ office on April 10th, 2012.

PPG is a guideline on gratification for BPMIGAS management and employees. This guideline is used as a tool to ensure that BPMIGAS management and employees conduct themselves in an appropriate manner. While the WBS is used as a tool for acts or potential corruption, bribery, and other fraudulent practices.

In December 22nd, 2011, the Chairman of BPMIGAS issued a letter of decree obligating each and every BPMIGAS management and employee, no exception, to submit a State Official Property Report to the Corruption Eradication Commission (KPK).

114

H. INFORMATION AND COMMUNICATION TECHNOLOGIES (ICT)VI. INTERNAL SKK MIGAS

INFORMATION AND

COMMUNICATION TECHNOLOGIES (ICT)H.Information management is an important factor in the upstream oil and gas industry. As an organization that strives to be a world-class organization, it has become imperative for SKK Migas to optimize its information technology system in fulfilling its role to manage upstream oil and gas activities. One of the breakthroughs is Integrated Operating System (IOS), which is used to monitor each PSC Contractor’s oil and gas production in near real time.

In the initial stage, IOS was applied to 9 PSC Contractors representing more than 50% of national oil and gas production, which consists of Chevron Indonesia Company, Chevron Makassar Ltd, PT Chevron Pacific Indonesia, Chevron Siak Inc., Total E&P Indonesie, ConocoPhillips (Grissik) Ltd, ConocoPhillips (South Jambi) Ltd, ConocoPhillips Indonesia Inc. Ltd, and Virginia Indonesia Company (Vico) LLC. Currently, IOS is also in the progress of deployment to monitor Drilling, Financial, and Asset Life-Cycle Management.

Example: Implementation of IOS in ConocoPhillips

By implementing IOS Production Monitoring, the flow of data for reporting is exchanged through system-to-system data communication mechanism. This increases the accuracy and transparency of data. In 2013, IOS will be implemented in another 14 PSC Contractors with considerable production.

In supporting Go Green, SKK Migas has improvised by optimizing the use of e-mail, enterprise content management (ECM) and printer management usage. These initiatives are contributed to support the Paperless and Go Green Policy.

ECM is an integrated document processing system. The ECM structure was developed based on SKK Migas organization structure. With ECM, document collaboration in the user level and the application level can be easily managed because the user level uses information collaboration folder, application level uses web service (via enterprise service bus).

Integrated Operating System (IOS)

Go Green


115

Printer Management Usage

Indonesia Open Source Award (IOSA)

Printer Management Usage, so called Print-Per-Click, is a system designed to control the printer management, the use of paper, paper, and toner, with main aims to improve the efficiency of energy, paper and toner/ink consumptions, in addition to avoid unauthorized printing (secure printing).

Note. The use of paper for printing has declined drastically

In 2012, BPMIGAS (now SKK Migas) won first place in the Indonesia Open Source Award (IOSA). The Minister of Communication and Information Technology, Mr. Tifatul Sembiring presented this award. IOSA was held to increase utilization and implementation of free and open source software (FOSS) in the Government and educational institutions. This award was given through a series of assessments and observations of a variety of Government agencies and secondary education institutions regarding the level of utilization and implementation of open source software in its organizations activities. BPMIGAS (now SKK Migas) won first place in the central government category.

According to the Ministry of Communications and Information Technology, the use of FOSS by BPMIGAS not only refers to cost considerations, but also on the basis of security and reliability. Furthermore, BPMIGAS was also deemed able to require third parties (contractors) to use open source software. The IOSA started in 2010 and has become an annual event. In 2012, 17 central government agencies and 64 regional government agencies participated in IOSA 2012. With the increased use of open source, Indonesia could become self-sufficient in meeting its information technology needs.

160,000

140,000

120,000

100,000

80,000

60,000

40,000

20,000

-JAN FEB MAR APR MAY JUN JUL AUG SEP OCT NOV DEC

16,132

143,981

153,070

106,804101,837

80,803

95,773

101,268

84,037

119,687

131,255

71,577

Terkait dengan penggunaan Open Source di SKK MIgas, pada 2012 SKK Migas berhasil meraih juara pertama Indonesia Open Source Awar (IOSA).

2012 ANNUAL REPORTSKK MIGAS

117

2012 OIL, GAS AND CBM CONTRACT AREA MAP

APPENDIX

118

SPECIAL TASK FORCE FOR UPSTREAM OIL AND GAS BUSINESS ACTIVITIES REPUBLIC OF INDONESIA

EXPLORATION DIVISION, PLANNING MANAGEMENT GROUP

2013 OIL, GAS AND CBM CONTRACT AREA MAPAPPENDIX


119

2012 OIL, GAS AND CBM CONTRACT AREA MAPStatus : Januari 1st, 2013

120

I.23 Gurita, LUNDIN GURITA BV

PSC, 12-12,2004, Ons.Eks(B-3)

I.24 Jabung, PETROCHINA

PSC, 27-02,1993, Ons.EPT(B3)

I.25 Jambi Merang, JOB HESS

JOB, 10-02,1989, Ons.Ept(B3)

I.26 Kakap, STAR ENERGY

PSC, 22-03,1975, Off.Ept-EXT(C1)

I.27 Kalyani, EURORICH

PSC, 19-12,2011, Ons.Eks(B3)

I.28 Karang Agung, ODIRA

PSC, 16-01,2007, Ons.Ept(B3)

I.29 Kerapu, PEARL OIL

PSC, 13-11,2008, OFF.Eks(c1)

I.30 Kisaran, PACIFIC O7G

PSC, 17-05,2001, Ons.Eks(B2)

I.31 Korinci Baru, KALILA

PSC, 15-05,1997, Ons.EPT(B2)

I.32 Krueng Mane, ENI

PSC, 27-09,1999, Off.Ept(A1)

I.33 Lampung III, HARPINDO

PSC, 05-05,2009, Ons.Eks(C3-4)

I.34 Langgak (MFK), SPR-KINGSWOOD

PSC, 25-11,1963, Ons.Ept(B2)

I.35 Lemang, HEXINDO

PSC, 16-01,2007, Ons.Eks(B3)

I.36 Lematang, MEDCO

PSC, 06-04,1987, Ons.Ept(B3)

I.37 Lhokseumawe, ZARATEX

PSC, 22-12,2006, Ons/Off,Eks(A1)

I.38 Lirik II, KARYA INTI

PSC, 16-01,2007, Off, Eks(C2)

I.39 Mahato, EMASPTH-BKTENERGY

PSC, 25-05,2012, Ons.Eks(B2)

I.40 Malacca Strait, KONDUR

PSC, 05-08,2000, Ons/Off, Ept-EXT(B2)

I.41 Marquisa, SCHINTAR

PSC, 01-04,2011, Ons.Eks(AB-2)

I.42 Mentawai, TOTAL

PSC, 09-10,2012, Ons.Eks(AB-2)

I.43 Merangin I, MEDCO

PSC, 06-04,1987, Ons.Eks(B3)

I.44 Merangin II, SELE RAYA

PSC, 04-10,2003, Ons.EPT(B3)

2012 OIL, GAS AND CBM CONTRACT AREA MAP LEGEND

Territorial Sea Limit, need agreement Continental Shelf Maximum Claim

(where possible)

CA LEGEND

I.01 Air Komering, CAHAYA BR

PSC, 12-12-2004, Ons,Eks

How to reade the legend

: Contract Area ID

Air Komering : Contract AreaCahaya BR : OperatorPSC : Type of Contract12-12-2004 : Contract Effective DateOns. : Location Ons/OffExp. : StatusB-3 : Contract Area Location (in column B, line 3)

Information CA Legend Colors

Exploration CA : 161

GMB Exploration CA : 54

Production CA : 75

Termination Process CA : 18

I.01

I.01 Air Komering, CAHAYA BR

PSC, 12-12-2004, Ons.Eks(B-3)

I.02 Anambas, AWE

PSC, 12-12-2004, Off.Eks(C1-2)

I.03 Andaman III, TALISMAN

PSC, 30-11-2009, Off.Eks(A1)

I.04 Area A – N.Sumatera, Medco

PSC-EXT, 01-09-1991, Ons.Ept-EXT (A2)

I.05 Bangko, PETROCHINA

PSC, 17-02-1995, Ons.Ept (B3)

I.06 Baronang, LUNDIN

PSC, 30-12-2003, Ons.Eks(B3)

I.07 Batanghari, CNOOC

PSC, 16-01-2007, Ons.Eks(B3)

I.08 Batu Gajah, RANHILL

PSC, 16-01,2007, Ons.Eks(B3)

I.09 Belida, SELE RAYA

PSC, 12-12,2004, Ons.Eks(B3)

I.10 Bentu Segat, KALILA

PSC, 20-05,1991, Ons.Ept(B2)

I.11 Bohorok, BUKIT ENERGY

PSC, 25-05,2012, Ons.Eks(A2)

I.12 Bukit Batu, GEO LINK

PSC, 25-05,2012, Ons.Eks(B2)

I.13 Bungamas, BUNGAMAS E.

PSC, 22-12,2005, Ons.Eks(B3)

I.14 Cakalang, LUNDIN

PSC, 13-11,2008, Off.Eks(C1)

I.15 CPP, BOB BUMI SIAK PUSAKO

PSC, 09-08,1975, Ons.Ept (B2)

I.16 Corridor, COPI

PSC, 20-12,1983, Ons.Ept-EXT(B3)

I.17 Duyung, W.NATUNA EXPL.

PSC, 16-01,2007, Off.Eks(C2)

I.18 East Jabung, PAN ORIENT

PSC, 11-11,2011, Ons.Eks(B3)

I.19 East Pamai, NORTHERN

PSC, 05-05,2009, Ons.Eks(B2)

I.20 East Seruway, KRISENERGY

PSC, 13-11,2008, Ons.Eks(A2)

I.21 East Sokang, SERICA

PSC, 10-10,2012, Ons.Eks(A2)

I.22 Gebang, PHE COSTA

JOB, 29-11,1985, OnS/Off.Ept(A2)

AREA I



121

I.45 Natuna A, PREMIER

PSC-EXT, 16-10,2009, Off, Ept-EXT(C1-2)

I.46 North Baturaja, TERRA GLOBAL

PSC, 19-12,2011, Ons.Eks(B3)

I.47 NE.Natuna, TITAN RES.

PSC, 15-05,1997, Off.Eks(C1)

I.48 North Sokang, NS ENERGY LTD

PSC, 00-12,2010, Off.Eks(C1)

I.49 N.Sumatra B block, EXXON

PSC-EXT, 01-09,1997, Ons.Eks(B-3)

I.50 NW Natuna, GENTING OIL

PSC, 12-12,2004, Off.Eks(C1)

I.51 North Sumatera Ofs, EXXON

PSC, 17-09,2005, Ons/Off.Ekp-EXT(A1)

I.52 Ogan Komering, JOB TALISMAN

PSC, 29-02,1988, Ons.EPT(B3)

I.53 Palmerah, TATELY N.V

PSC, 30-12,2003, Ons.Eks(B3)

I.54 Pandan, TROPIK ENERGY

PSC, 12-12,2004, Ons.Eks(B3)

I.55 Pari, INDOREACH

PSC, 16-01,2007, Off.Eks(C2)

I.56 Pase, TRIANGLE PASE INC.

PSC, 16-10,1968, Ons.Ept(A2)

I.57 Pendopo, JOB GOLDENSPIKE

JOB, 06-07,1989, Ons.Ept(B3)

I.58 Puri, PURI PETROLEUM

PSC, 18-05,2010, Ons.Eks(B3)

I.59 Ranau, PRABU ENERGY

PSC, 12-11,2011, Ons.Eks(B3)

I.60 Rimau, MEDCO

PSC, 23-04,1973, Ons.Ept(B3)

I.61 Rokan, CHEVRON

PSC-ext, 28-11,1993, Ons.Ept-EXT(B2)

I.62 Sakakemang, CAKRA NUSA

PSC, 18-05,2010, Off.Eks(B3)

I.63 Sekayu, STAR ENERGY

PSC, 16-01,2007, Ons.Eks(B3)

I.64 Selat Panjang, PETROSELAT

PSC, 08-09,1991, Ons.EPT(B2)

I.65 Sembilang, MANDIRI PU

PSC, 01-04,2011, Ons.Ept(B2)

I.66 Seruway, TRANSWORLD

PSC, 12-12,2004, Ons.Eks(A2)

I.89 GMB Air Benakat I, PHE METANA

PSC, 30-04,2011, Ons.Eks(B3)

I.90 GMB Air Benakat II, PHE METANA

PSC, 30-04,2011, Ons.Eks(B3)

I.91 GMB Air Benakat III, PHE METANA

PSC, 30-04,2011, Ons.Eks(B3)

I.92 GMB Air Komering, BATURAJA-ANUGRAH

PSC, 30-04,2011, Ons.Eks(B3))

I.93 GMB Batang Asin, BUMI&GLORY

PSC, 30-11,2009, Ons.Eks(B3)

I.94 GMB Belida, SELE-ANDALAS

PSC, 01-04,2011, Ons.Eks(B3)

I.95 GMB Indragiri Hulu, SAMANTAKA

PSC, 26-06,2008, Ons.Eks(B3)

I.96 GMB Lematang, MEDCO-SAKA

PSC, 01-04,2011, Ons.Eks(B2)

I.97 GMB Muara Enim, TRISULA

PSC, 30-11,2009, Ons.Eks(B3)

I.98 GMB Muara Enim I, PHE – INDO GAS

PSC, 24-11,2010, Ons.Eks(B3)

I.99 GMB Muara Enim II, PHE-MTN-INDON

PSC, 01-04,2011, Ons.Eks(B3)

I.100 GMB Muara Enim III, PHE-BTRAJA MTN

PSC, 01-04,2011, Ons.Eks(B3)

I.101 GMB Muralim, DART

PSC, 24-11,2010, Ons.Eks(B3)

I.102 GMB Ogan Komering, OIG

PSC, 05-05,2009, Ons.Eks(B3)

I.103 GMB Ogan Komering II, EOM

PSC, 04-08,2009, Ons.Eks(B-C3)

I.104 GMB Rengat, INDON CBM

PSC, 30-11,2009, Ons.Eks(B3) I.105

GMB Sekayu, MEDCO SEKAYU PSC, 26-06,2008, Ons.Eks(B3)

I.106 GMB Sekayu II, EPHINDO-STAR

PSC, 09-10,2012, Ons.Eks(B3)

I.107 GMB Sijunjung, LION - BA

PSC, 01-04,2011, Ons.Eks(B3)

I.108 GMB Suban I, PHEM - SUBAN

PSC, 12-12,2004, Ons.Eks(B3)

I.109 GMB Suban II, PHEM – SUBAN MG

PSC, 01-04,2011, Ons.Eks(B3)

I.110 GMB Tj.Enim, DART

PSC, 08-04,2009, Ons.Eks(B3)

I.111 Bengkulu, ECOSSE

PSC, 04-08,2009, Ons.Eks(B3)

I.67 Siak, CHEVRON

PSC, 25-09,1963, Ons.Ept(B2)

I.68 Sokang, BLACK PLAT.INVST

PSC, 00-12,2010, Off.Eks(C2)

I.69 S&C. Sumatera, MEDCO

PSC, 28-11,1963, Ons.Ept(B3)

I.70 South Baturaja, ANUGERAH MS

PSC, 19-12,2011, Ons.Eks(B3)

I.71 South Betung, TECHWIN

PSC, 01-04,2011, Ons.Eks(B3)

I.72 South Blok A, RENCO ENERGY

PSC, 05-05,2011, Ons.Eks(A2)

I.73 South CPP, RANHILL PAMAI

PSC, 13-11,2008, Off.Eks(B2)

I.74 SE. Tungkal, GUJARAT

PSC, 13-11,2008, Off.Eks(B3)

I.75 South Jambi B, COPI

PSC, 26-01,1990, Ons.Ept(B3)

I.76 South Natuna B, COPI

PSC-EXT, 16-10,2016, Off.Ept-EXT(C2)

I.77 S Lirik, TEXCAL-INDRILL

PSC, 25-05,2012, Ons.Eks(B3)

I.78 S Sokang, LUNDIN-SALAMANDER

PSC, 06-12,2010, Off.Eks(C2)

I.79 SW. Bukit Barisan, RADIANT

PSC, 13-11,2008, Ons.Eks(A2)

I.80 Sumbagsel, COOPER ENERGY

PSC, 01-04,2011, Ons.Eks(B3)

I.81 Tonga, MOSESA PETROLEUM

PSC, 16-01,2007, Ons.Ept(A2)

I.82 Tuna, PREMIER

PSC, 21-03,2007, Off.Eks(C1)

I.83 Tungkal, MONTD’OR OIL

PSC, 26-08,1992, Ons.Ept(B3)

I.84 W.Air Komering, TIARA BUMI

PSC, 21-03,2007, Ons.Eks(B3)

I.85 W.Belida, ORCHARD ENERGY

PSC, 05-05,2009, Ons.Eks(B3)

I.86 W. Glagah K, PETRONAS

PSC, 30-11,2009, Ons.Eks(A2)

I.87 W.Kampar, SPE

PSC, 22-12,2005, Ons.Eks(B2)

I.88 W.Tungkal, THREE GOLDEN

PSC, 13-11,2008, Off.Eks(B3)

122

II.20 Ketapang, PC KETAPANG II

PSC,11-06-1998, Off.Ept (D4)

II.21 Kuala Pambuang, MENTARI

PSC, 19-12-2011, Ons.Eks(C4)

II.22 Kuningan, EQUATOR ENERGY

PSC, 25-05-2012, Ons.Eks(C4)

II.23 Long Hubung L. Bagun, KALISAT

PSC,18-05-2010 Ons.Eks(E2)

II.24 Madura, SPE PETRO

PSC, 13-11-2008,Off.Eks(D4)

II.25 Madura Offshore, SANTOS

PSC, 13-11-2008, Off. Eks (D4)

II.26 Mahakam Hilir, SPC

PSC,13-11-2008, Off.Eks(E3)

II.27 Mandala, BUMI HASTA-FORTUNE

PSC, 18-05-2010, Ons.Eks(D4)

II.28 Muriah, PETRONAS

PSC, 20-05-1991, Off.Ept(D4)

II.29 NE Madura, TECHWIN

PSC, 18-05-2010, OFF.Eks(E4)

II.30 North Kangean, PETROJAYA

PSC, 16-01-2007, Off.Eks(D4)

II.31 North Madura, HUSKY

PSC, 13-11-2008, Off.Eks(E4)

II.32 North Sumbawa II, HUSKY

PSC, 13-11-2008, Off.Eks(E4)

II.33 Offshore NW, Java, PHE

PSC, 19-11-1967,Off.Eks(C3)

II.34 Off. Lampung I, ANP

PSC, 21-13-2007,Off.Eks(C3)

II.35 Ons&Off. Kangean, KANGEAN E.

PSC, 14-11-1980, Ons/Off.Eks(E4)

II.36 On&Off Madura Strait, HUSKY

PSC, 20-10-1982, Off, Ept. (D4)

II.37 Palangkaraya, PETCON RES.

PSC, 25-05-2012, Ons,Eks(D3)

II.38 Pangkah, HESS

PSC,08-05-1996, Off, Ept(D4)


AREA II II.01 Alas Jati, INSANI BINA P

PSC,09-00-2007, Ons.Eks(D-4)

II.02 Babai, KOMODO ENERGY

PSC, 25-05-2012,Ons.Eks(D3-4)

II.03 Bangkanai, SALAMANDER

PSC, 30-12-2003, Ons.Eks (E3)

II.04 Barito, ALTAR

PSC,12-12-2004, Ons.Eks (E3)

II.05 Bawean, CAMAR RESCR.

PSC,21-11-2011, Ons.Eks (B2)

II.06 Belayan, GERALDO ENERGY

PSC, 21-11-2011, Ons.Eks (B2)

II.07 Bengara I, MEDCO

PSC, 17-09-1999 Ons/Off.Eks(E2)

II.08 Biliton, MITRA ENERGY

PSC, 30-12-2003, Off.Eks(D3)

II.09 Blora, SELE RAYA ENERGY

PSC, 30-11-2009,Off.Eks(D3)

II.10 Brantas, LAPINDO

PSC, 23-04-1990, Ons.Ept(D4)

II.11 Bulu, KRISENERGY

PSC, 14-10-2003,Off.Eks(D4)

II.12 Cepu, MOBIL CEPU

PSC, 22-12-2006, Ons.Eks(C4)

II.13 Citarum, PAN ORIENT

PSC, 22-12-2006, Ons.Eks(C4)

II.14 E. Bawean I, EAST BAWEAN LTD.

PSC, 13-11-2008, Off.Eks(D4)

II.15 East Kangean, GREENSTAR

PSC, 22-12-2006, Off.Eks (E4)

II.16 East Muriah, PEARL OIL

PSC, 13-11-2008,Off.Eks (D4)

II.17 East Sepanjang, EASCO

PSC, 13-11-2008, Off.Eks(D4)

II.18 INDONESIA – PERTAMINA E&P

II.19 Karapan, AMSTELCO

PSC,18-05-2010, Ons.Eks(D4)



123

II.39 Pasir, PASIR PETROLEUM

PSC, 05-05-2009, Ons.Eks(E3)

II.40 Randu Gunting, PHE

PSC, 09-08-2007, Ons/Off,Eks(D4)

II.41 Sampang, SANTOS

PSC, 04-12-2011, Ons/Off, Ept (D4)

II.42 Sanga-Sanga, VICO

PSC, 08-08-1998, Ons.Ept, EXT(E3)

II.43 Sei Nangka-Senipah, KUTAI ETAM

PSC, 12-12-2004, Ons.Eks(E3)

II.44 Sibaru, MITRA ENERGY

PSC,16-10-2007, Off.Eks(E4)

II.45 Simenggaris, JOB MEDCO

JOB, 24-02-1998, Ons, Ept(E2)

II.46 South Barito, MURPHY

PSC, 27-05-2008, Ons/Off.Eks(D3)

II.47 South Bengara II, ACG

PSC, 13-11-2008, Ons,Eks(E2)

II.48 SE. Madura, ENERGI MINERAL

PSC, 05-05-2009, Ons-Off, Eks(D4)

II.49 SE. Sumatera, CNOOC

PSC-EXT, 06-09-1998, Off.Ept-EXT(D4) II.50 South Madura, AED PSC, 14-10-2003, Off.Eks(D4)

II.51 Sunda Strait I, NIKO XXVI

PSC, 18-05-2010, Ons .Eks (C4)

II.52 Terumbu, AWE

PSC, 05-05-2009, Offs.Eks (C4)

II.53 Titan, AWE, BARUNA & SILLO

PSC, 26-11-2011, Off.Eks(C2)

II.54 Tuban, JOB PETROCHINA

PSC, 29-02-1988, Off.Ept(D4)

II.55 Ujung Kulon, M3NERGY

PSC, 21-03-2007, Ons/Off.Eks(C4)

II.56 Wailawi, PERUSDA BENUA TAKA

PSC, 22-12-2005, Ons.Ept(E3)

II.57 Wain, PANDAWA

PSC, 16-01-2007, Ons.Eks(E3)

II.78 GMB Kutai I, KUTAI WEST CBM

PSC, 13-11-2008, Ons.Eks(E3)

II.79 GMB Kutai II, EPHINDO-RAE

PSC, 01-04-2011, Ons.Eks(E3)

II.80 GMB Kutai Barat, SUGICO

PSC, 01-04,2011, Ons.Eks(E2)

II.81 GMB Kutai Timur, SENYIUR - TTL

PSC, 01-04-2011, Ons.Eks(E2)

II.82 GMB MelakMendung I, EPHINDO

PSC, 01-04-2011, Ons.Eks(E2)

II.83 GMB MelakMendung II, MONNET

PSC, 01-04-2011, Ons.Eks(E2)

II.84 GMB Pulang Pisau, SIGMA&BLUE

PSC, 04-08-2009, Ons.Eks(D3)

II.85 GMB Sanga – sanga, VIRGINIA

PSC, 30-11-2009, Ons.Eks(E3)

II.86 GMB Sanga – sanga I, SANGA E

PSC, 30-04,2012, Ons.Eks(E2)

II.87 GMB Sangatta I, PHE&SANGAT

PSC, 13-11-2008 Ons.Eks(E2)

II.88 GMB Sangatta II, VISI MULTI

PSC, 04-08-2009, Ons.Eks(E2)

II.89 GMB Tabulako, ARTHA WIDYA

PSC, 04-08-2009, Ons.Eks(E3)

II.90 GMB Tanah Laut, ASAM METHAN


II.91 GMB Tanjung II, PHE

PSC, 24-11-2010, Ons.Eks(D3)

II.92 GMB Tanjung IV, PHE

PSC, 01-04,2011, Ons.Eks(E3)

II.93 Banyumas, LUNDIN

PSC, 17-05-2001, Ons.Eks(C4)

II.94 Gunting, EXXON

PSC, 13-11,2008, Off.Eks(D4)

II.95 NE.Madura III, ANADARKO

PSC, 12-12-2004, Off.Eks(D4)

II.96 Off. Lampung II, PETRONAS

PSC, 22-09-2006, Off.Eks(C3)

II.97 Rangkas, LUNDIN

PSC, 27-05-2008, Ons.Eks(C4)

II.58 West Madura, PHE WMO

JOA, 07-05-1981, Off.Ept(D4)

II.59 W.Sangata, KAL.KUTAI ENERGY

PSC, 16-01-2007, Ons.Eks(E3)

II.60 W.Tanjung, MRI ENERGY

PSC, 21-11-2011, Ons.Eks(D3)

II.61 GMB Bangkanai I, BANGKANAI CBM

PSC, 30-04-2012, Ons.Eks(C3)

II.62 GMB Bangkanai II, BORNEO METANA

PSC, 30-04-2012, Ons.Eks(C3)

II.63 GMB Bangkanai III, BANGKANAI ER

PSC, 19-12-2011, Ons.Eks(C3)

II.64 GMB Bangkanai IV, BANGKANAI JP

PSC, 19-12-2011, Ons.Eks(B3)

II.65 GMB Barito, TRANS ASIA&JINDAL

PSC, 30-11-2009, Ons.Eks(D3)

II.66 GMB B.Banjar I, INDOBARAMBAI

PSC, 13-11-2008, Ons.Eks(D3)

II.67 GMB B.Banjar II, BARITO BG

PSC, 13-11-2008, Ons.Eks(D3)

II.68 GMB Barito Tapin, TGM

PSC, 04-08-2009, Ons.Eks(D3)

II.69 GMB Belawa, BELAWA ENERGY

PSC, 09-10-2012, Ons.Eks(D3)

II.70 GMB Bentian Besar, RIDLAUTAMA

PSC, 26-06-2008, Ons.Eks(E5)

II.71 GMB BontangBengalon, DARTE

PSC, 09-10-2012, Ons.Eks(D3)

II.72 GMB Kapuas I, TRAN ASIA - BP

PSC, 01-04-2011, Ons.Eks(E3) II.73 GMB Kapuas II, KAPUAS - BP PSC, 01-04-2011, Ons.Eks(E3)

II.74 GMB Kapuas III, GMU - BP

PSC, 01-04-2011, Ons.Eks(E3)

II.75 GMB Kotabu, SATUI BASIN GAS

PSC, 04-08-2009, Ons.Eks (E3)

II.76 GMB Kuala Kapuas I, CBM ASIA KK

PSC, 09-10-2012, Ons.Eks (D3)

II.77 GMB Kuala Kapuas II, BINA MANDIRI

PSC, 30-04-2012, Ons.Eks(E3)

124


AREA III III.21 East Bula, BLACK GOLD

PSC, 30-11-2009, Off.Eks(E2)

III.22 E. Kalimantan (W.Pasir), CHEVRON

PSC, 25-10-1998, Ons/Off .Ept-EXT(C4) III.23

East Sepinggan, ENI PSC, 25-05-2012 Off.Eks(E3) III.24

East Simenggaris, SON LAW UC PSC, 21-11-2011, Ons/Off.Eks(E2) III.25

Enrekang, SIGMA ENERGY PSC, 21-03-2007, Ons.Eks(E3)

III.26 Ganal, CHEVRON

PSC, 24-02-1998, Off.Ept(E3)

III.27 Halmahera II, STATOIL & NIKO

PSC, 19-12-2011, Off.Eks(E2)

III.28 Halmahera-Kofiau,NIKOXVI

PSC, 30-11,2009, Ons/Off.Eks(G2-3)

III.29 Karama, STAT OIL

PSC, 21-03-2007, Off.Eks(E3) III.30

Kasuri, GENTING OIL PSC, 27-05-2008, Ons/Off.Eks(H3)

III.31 Kepala Burung, PETROCHINA

PSC EXT, 15-10-2000, Ons.Ept-EXT(H3)

III.32 Kofiau,NIKO

PSC, 05-05-2009, Ons/Off.Eks(H3)

III.33 Kuma, COPI

PSC, 16-01-2007, Off.Eks(E3)

III.34 Kumawa, MARATHON

PSC, 05-05-2009, Off.Eks(H3)

III.35 Kutai, KRISENERGY

PSC, 16-01-2007, Ons/Off.Eks(E2-3)

III.36 Mahakam, TOTAL

PSC, 31-03-1997, Ons/Off.Ept-EXT(B3)

III.37 Makasar Strait, CHEVRON

PSC, 26-01-1990, Off.Ept(E3)

III.38 Malunda, PTTEP

PSC, 18-05-2010, Eks(E3)

III.39 Mandar, EXXON

PSC, 21-03-2007, Off.Eks(E3)

III.40 Manokwari, ECOSSE

PSC, 12-12-2004, Ons.Eks(H3)

III.01

Ambalat, ENI PSC,27-09-1999, Off.Eks(E2) III.02

Arafura Sea, COPI PSC, 13-11-2008, Off.Eks(HI4)

III.03 Arguni I, ENI

PSC, 21-11-2011, Off.Eks(HI4)

III.04 Aru, NIKO RES.

PSC,25-05-2012, Off.Eks(H3)

III.05 Attaka Field, INPEX

PSC,28-03-1991, Ons.Ept-EXT(E5)

III.06 Babar Selaru, INPEX

PSC, 21-11-2011, Off.Eks(BHI4)

III.07 Berau BP INDONESIA

PSC, 12-02-198, Off.Ept-EXT(H3)

III.08 Bone, MITRA ENERGY

PSC, 26-11-2010, Ons.Eks(F3-4)

III.09 Bone Bay, MARATHON

PSC, 13-11-2008, Off.Eks(F3)

III.10 Bontang, SALAMANDER

PSC, 30-12-2003, Off.Eks(E2)

III.11 Budong – Budong, TATELY N.V.


III.12 Bukat, ENI

PSC, 24-02-1998, Off.Eks(E2)

III.13 Bula, KALREZ

PSC EXT, 01-11-1999, Ons.Ept-EXT(H3)

III.14 Bulungan, ENI

PSC, 12-12-2004, Off.Eks(E2)

III.15 Buton, JAPEX

PSC, 16-01-2007, Ons.Eks(F4)

III.16 Buton I, PUTINDO BINTECH

PSC, 13-11-2008, Off.Eks(F4)

III.17 Cendrawasih, EXXON

PSC, 05-05-2009, Off.Eks(I3)

III.18 Cendrawasih II, REPSOL

PSC, 18-05-2010, Eks(I3)

III.19 Cendrawasig III, NIKO

PSC, 18-05-2010, Eks(I3)

III.20 Cendrawasih IV, NIKO-REPSOL

PSC, 18-05-2010, Eks(I3)



125

III.41 Masela, INPEX

PSC, 16-1-1998, Off.Ept(GH4)

III.42 Muara Bakau, ENI

PSC, 30-12-2002, Off.Eks(E3)

III.43 Muturi, BP Indonesia

PSC, 26-08-1992, Ons/Off.Ept-EXT(H3)

III.44 North Arafura, BP

PSC, 26-11-2010, Ons.Eks(I3-4) III.45 North Ganal, NIKO, STATOIL, ENI & GDF PSC, 21-11-2011, Off.Eks(I3-4)

III.46 N Makasar St, BARUNA & NIKO XIV


III.47 Northern Papua, SARMI PAPUA

PSC, 05-05-2009, Ons/Off.Eks(I3)

III.48 Nunukan, ANADARKO

PSC, 12-12-2004, Off.Eks(E2)

III.49 Obi, NIKO-STAT OIL & ZIMOREX

PSC, 21-11-2011, Off.Eks(I3-4)

III.50 Ofs. Timor Sea I, HESS

PSC, 19-12-2011, Off.Eks(I3-4)

III.51 Rapak, CHEVRON

PSC, 04-12-1997, Off.Ept(E2-3)

III.52 Rombebai, AED ROMBEBAI

PSC, 16-11-1998, Ons/Off.Eks(I3)

III.53 Sadang, TALISMAN

PSC, 18-05-2010, Eks(E3)

III.54 Sageri, TALISMAN

PSC, 21-03-2007, Off.Eks(E3)

III.55 Salawati, JOB PETROCHINA

JOB, 23-04-1990, Ons/Off.Ept(H3)

III.56 Sareba, LUNDIN B.V

PSC, 24-02-1998, Ons/Off.Eks(H3)

III.57 Sebatik, STAR ENERGY


III.58 Sebuku, PEARL OIL

PSC, 17-09-1997, Off.Ept(E3)

III.59 Semai II, MURPHY SEMAI

PSC, 13-11-2008, Off.Eks(H3) III.60

Semai III, SUMA SARANA PSC, 13-11-2008, Off.Eks(H3)

III.81 Talen, TOTAL

PSC, 09-10-2012, Ons.Eks(H3)

III.82 Tengah, TOTAL

JOA, 05-10-1988, Off.Ept(E3)

III.83 Udan Emas, KRIS ENERGY

PSC, 25-05-2012, Ons.Eks(H3)

III.84 Warim, COPI

PSC, 26-05-1987, Ons.Eks(I3)

III.85 West Aru I, BP

PSC, 19-12-2011, Ons.Eks(H3)

III.86 West Aru II, BP

PSC, 19-12-2011, Ons.Eks(H3) III.87

West Papua I, CHEVRON PSC, 13-11-2008, Off.Eks(H3)

III.88 West Papua III, CHEVRON

PSC, 13-11-2008, Off.Eks(H3)

III.89 W Papua IV, NIKO XV

PSC, 30-11-2009, Off.Eks(H3)

III.90 West Sageri, NIKO

PSC, 13-11-2008, Off.Eks(E3) III.91

West Salawati, MONTD’OR OIL JOB, 30-12-2003, Ons/Off.Eks(H3)

III.92 West Timor, ENI

PSC, 27-05,2008, Ons/Off.Eks(F4-5)

III.93 Wiriagar, BP

PSC, 27-02-1993, Ons.Ept-EXT(H3) III.94

Wokam II, MURPHY PSC, 17-12-2010, Ons.Eks(H3)

III.95 Amborip VI, COPI

PSC, 22-09-2006, Off.Eks(I4)

III.96 E. Ambalat, CHEVRON

PSC, 12-12-2004, Off.Eks(E2) III.97

Papalang, ANADARKO PSC, 07-12-2001, Off.Eks(E2) III.98 Pasangkayu, MIPIL PSC, 22-09-2006, Ons.Eks(E3) III.99

Popodi, ANADARKO PSC, 07-12-2001, Off.Eks(E2)

III.100 Popodi, ANADARKO

PSC, 27-05-2005, Off.Eks(H4)

III.61 Semai IV, MURPHY

PSC, 21-11-2011, Off.Eks(H3)

III.62 Semai V, HESS

PSC, 13-11-2008, Off.Eks(H3)

III.63 Sengkang, ENERGY EQUITY

PSC-EXT, 24-10-2000, Ons.Ept-EXT(F3)

III.64 Senoro-Toili (Tomori), JOB MEDCO

JOB, 04-12-1997, Ons/Off.Ept(F3)

III.65 Seram, BLACK GOLD

PSC, 13-11-2008, Off.Eks(H3)

III.66 Seram Non Bula, CITIC

PSC-EXT, 01-11-1999, Off.Ept-EXT(GH3)

III.67 SE. Ganal I, NIKO

PSC, 13-11-2008, Off.Eks(E3)

III.68 SE. Mahakam, TOTAL

PSC, 21-03-2007, Off.Eks(E3)

III.69 SE. Sangatta, SALAMANDER

PSC, 13-11-2008, Off.Eks(E-2)

III.70 SE. Seram, NIKO

PSC, 19-12-2011, Off.Eks(H4)

III.71 South Mandar, PTTEP

PSC, 18-05-2010, Eks(E3)

III.72 South Matindok, BLACK GOLD

PSC, 13-11-2008, Off.Eks(F3) III.73

South Sageri, TALISMAN PSC, 18-05-2010, Eks(E3)

III.74 South Sesulu, HESS

PSC, 05-05-2009, Off.Eks(E3)

III.75 SW Bird’s Head, TOTAL E&P

PSC, 01-08-2011, Ons.Eks(H3)

III.76 Sula I, BRILLIANCE ENERGY

PSC, 30-11-2009, Off.Eks(F3)

III.77 Surumana, EXXON

PSC, 18-02,1981, Off.Eks(E3)

III.78 Tanjung Aru, KRISENERGY

PSC,196-12-2011, Off.Eks(E2)

III.79 Tarakan, MEDCO

PSC, 14-01-1982, Ons.Ept-EXT(E2)

III.80 Tarakan Offshore, MANHATTAN KI

PSC, 14-10-2003, Off.Ept(E2)

SKK MigasSpecial Task Force For Upstream Oil and Gas Business Activities Republic of Indonesia

Wisma Mulia Building 35th FloorJl. Jend Gatot Subroto No 42Jakarta 12710, PO BOX 4775Indonesia

T : +62 21 2924 1607F : +62 21 2924 9999E : [email protected] : www.skkmigas.go.id

skk migas annual report 2013

Documents

history of skk migas

skk migas performancea

skk migas chairman foreword

skk migas budget realization

missionskk migas vision

oil gas production activities

core values4skk migas

continuous development