KEMENTERIAN
ESDM
MINISTRY OF ENERGY AND MINERAL RESOURCES
DIRECTORATE GENERAL OF OIL AND GAS
INDONESIA GAS SITUATION
by :
Agus Cahyono Adi
Deputy Director for Oil and Gas State Revenue
Delivered at:
WORKSHOP ON UNCONVENTIONAL GAS
APEC ENERGY WORKING GROUP (EWG 41th )
VANCOUVER, CANADA, May 9-13, 2011
© DJMIGAS 201210
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ESDM
AGENDA

OIL AND GAS CONDITION

GAS POLICY

GAS INFRASTRUCTURE PLAN AND DEVELOPMENT

GAS BALANCE

UNCONVENTIONAL GAS DEVELOPMENT

GAS DEVELOPMENT CHALLENGE
2
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OIL AND GAS CONDITION
3
© DJMIGAS 201210
KEMENTERIAN
ESDM
INDONESIA’s GAS PRODUCTION 2000 – 2011*)
10,000
9,000
8,000
MMSCFD
7,000
6,000
5,000
4,000
3,000
2,000
1,000
0
2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011*
PRODUCTION 7,927 7,690 8,318 8,644 8,278 8,179 8,093 7,686 7,883 8,386 9,336 8,944
UTILIZATION
Losses
*) Data s.d. Maret 2011
© DJMIGAS 201210
7,471 7,188 7,890 8,237 7,909 7,885 7,785 7,418 7,573 7,912 8,829 8,483
456
502
428
407
369
294
308
268
310
474
507
461
KEMENTERIAN
ESDM
INDONESIA’s GAS SUPPLY 2000 - 2010
MMSCFD
8,000
4,000
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
TOTAL KONSUMSI 6,416.4 6,260.4 6,857.4 7,255.6 7,086.1 6,934.3 6,901.1 6,639.3 6,758.2 7,008.7 7,787.6
EXPOR
4,348.6 4,184.2 4,768.8 5,049.0 4,762.3 4,615.3 4,377.2 4,182.3 4,114.3 4,152.4 4,827.2
DOMESTIC
2,067.8 2,076.5 2,088.6 2,206.6 2,323.8 2,319.0 2,523.9 2,457.0 2,643.9 2,856.3 2,960.4
5
© DJMIGAS 201210
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NATURAL GAS RESOURCES - RESERVES & CBM RESOURCES
ACEH (NAD)
5.74
NATUNA
NORTH SUMATRA
1.28
51.46
CENTRAL SUMATRA
8.56
18.33
PAPUA
EAST BORNEO
SOUTH SUMATRA
4.23
17.90
24.32
CELEBES
WEST JAVA
3.70
6.40
EAST JAVA
MOLUCCAS
15.22
(Advance Resources Interational, Inc., 2003 processed)
GAS RESOURCES = 334.5 TSCF
CBM RESOURCES = 453.30 TCF
GAS RESERVES (TSCF)
Total CBM Basin = 11
PROVEN
=
POTENTIAL =
TOTAL
=
(Advance Resources Interational, Inc., 2003)
108.4 TSCF
48.74 TSCF
157.14 TSCF
(AS OF JANUARY 1st 2010)
© DJMIGAS 201210
Signed Contracts up to 2010:
23 CBM PSCs
6
KEMENTERIAN
ESDM
GAS POLICY
7
© DJMIGAS 201210
KEMENTERIAN
ESDM
ROLE OF OIL AND GAS FOR NATIONAL
DEVELOPMENT
OIL &GAS
INDUSTRI
High Capital
High Risk
High Technology
INDUSTRIAL RAW
MATERIAL
RESOURCES
FULFILL DOMESTIC
FUEL DEMAND
SOURCE OF
STATE REVENUE
Sustainable
National
Development
CREATING
MULTIFLIER
EFFECTS
8
© DJMIGAS 201210
KEMENTERIAN
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NATIONAL GAS POLICY
A.
IMPROVING EXPLORATION ACTIVITY TO INCREASE NEW
RESERVE (CONVENTIONAL AND UNCONVENTIONAL)
B.
GAS ALLOCCATION POLICY
C.
GAS PRICING POLICY (TO SECURE SUPPLY AND GROW
INVESTMENT)
D.
INFRASTRUCTURE DEVELOPMENT
9
© DJMIGAS 201210
KEMENTERIAN
ESDM
NO
1
OUTLINE
POLICY IMPLEMENTATION
DETAILS
improving
• Opening new working area with the target singed contracts 40
exploration activity
working area per year baru pertahun
to increase new • In 2009, signed contracts 34 Working Area and in 2010,
reserve
signed contracts 38 Working Area
• Develop unconventional gas resources (CBM dan shale gas)
2
Gas allocation
policy
 Gas utilization is prioritized for domestic use by keeping
considering economic field development
 A new found gas reserve utilization allocation is prioritized for
fulfilling local needs. if there is an excess can be utilized for
fulfilling the need outside the local.
 Gas utilization for domestic needs is done by considering the
availability of the infrastructure, reserve and the economic of
field by prioritized upstream utilization ( electricity and fertilizer)
 if there is a shortage (less gas supply) in certain area as result
of lack of gas resources and infrastructure, so it can be done
gas reallocation or swap as one form of contingency plan.
© DJMIGAS 201210
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POLICY IMPLEMENTATION
NO
OUTLINE
3
Gas pricing policy (to
secure supply and grow
investment)
CONTINUATION ......
DETAILS
• Government regulate and determine gas price
• Gas price depend on the economic of gas field
development and availability of infrastructure
• Gas price can be increased related to oil price,
product’s price and the combination of product and oil
price
• Gas price model selection consider state revenue by
considering optimum of economic growth
• Determine gas price by considering balance between
gas’ producer and consumer
4
© DJMIGAS 201210
Infrastructure
Development
- Continue contruction transmission and distribution
- Contruction of LNG Receviing termina in Jawa and
Sumatra
KEMENTERIAN
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GAS INFRASTRUCTURE
PLAN AND DEVELOPMENT
© DJMIGAS 201210
KEMENTERIAN
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Infrastructures: Existing and Planned
13
© DJMIGAS 201210
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GAS BALANCE
© DJMIGAS 201210
KEMENTERIAN
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INDONESIA GAS BALANCE 2011-2025
MMSCFD
12.000
Potential
Demand
10.000
Existing Supply
Project Supply
8.000
6.000
4.000
Contracted
Demand
2.000
0
2011
© DJMIGAS 201210
2012
2013
2014
2015
2016
2017
2018
2019
2020
2021
2022
2023
2024
CONTRACTED DEMAND
POTENTIAL DEMAND
EXISTING SUPPLY
PROJECT SUPPLY
POTENTIAL SUPPLY dari CADANGAN BELUM DIKEMBANGKAN
POTENTIAL SUPPLY dari KAPASITAS UNIT DAN REGASIFIKASI
2025
KEMENTERIAN
ESDM
INDONESIA GAS BALANCE MAP 2011-2025
(EXISTING SUPPLY + PROJECT SUPPLY VS CONTRACTED DEMAND)
REG I (NAD)
THAILAND
Year
2011
2020
Supply
235
78
Demand
25
75
2025
REG VII (KALIMANTAN BAGIAN TIMUR)
REG LAOS
XI (KEPULAUAN RIAU)
Year
2011
2020
BANGKOK
19
Supply
550
150
CAMBODJA
VIETNAM
15
Demand
103
36
2025
Year
0
Supply
7
Demand
522
140
20
2367
1211
253
1695
333
0
Balance
210
3
4
Balance
447
114
-7
Balance
Keluar Region
197
0
0
Keluar Region
575
318
80
Keluar Region
Net Balance
13
3
4
Masuk Region
Net Balance
78
-50
78
2020
2889
Net Balance
0
-126
2011
2025
1351
672
MANILA
REG VIII (SULAWESI BAGIAN
SELATAN)
REG IX (SULAWESI BAGIAN TENGAH)
Year
2011
2020
2025
Supply
48
62
23
Demand
38
38
0
273
878
Balance
10
24
23
Keluar Region
0
0
0
Net Balance
10
24
23
253
Year
2011
2020
2025
Supply
0
410
403
Demand
0
0
0
Balance
0
410
403
Keluar Region
0
335
335
Net Balance
0
75
68
-87
REG X (PAPUA)
NAD
BRUNEI
DARUSSALAM
EAST
NATUNA
KUALA
LUMPUR
SUMUT
SUMTENG
EAST
MALAYSIA
SINGAPORE
KALTIM
DURI
Year
2011
2020
2025
Supply
880
1039
1024
Demand
2,5
5
0
Balance
877,5
1034
1024
Keluar Region
943
1028
1028
Net Balance
-65,5
6
-4
REG II (SUMATERA BAGIAN UTARA)
Year
2011
2020
2025
Supply
52
27
4
Demand
85
2
0
Balance
- 33
25
4
Keluar Region
0
0
0
Net Balance
- 33
25
4
REG II (SUMATERA BAGIAN TENGAH
&SELATAN)
Year
2011
2020
2025
UJUNG PANDANG
JABAR
JATENG
REG IV (JAWA BAGIAN BARAT)
Year
2011
2020
JATIM
PAGERUNGAN
Year
2011
2020
Blok Masela
REG VI (JAWA BAGIAN TIMUR & BALI)
REG V (JAWA BAGIAN TENGAH)
2025
MALUKU SELATAN
2025
Year
2011
2020
2025
Supply
616
131
54
Supply
1.8
148
50
Supply
467
342
149
385
0
Demand
1440
583
0
Demand
3.5
130
50
Demand
573
275
42
1066
106
1723
Demand
870.1
Balance
852.9
Keluar Region
1172
780
0
- 319
Gris
sikSUMSEL
106
Supply
Net Balance
PAPUA
SULAWESI
1451
286
Balance
-824
-452
54
Balance
- 1.7
18
0
Balance
- 106
67
107
Masuk Region
619
604
0
Keluar Region
0
0
0
Keluar Region
0
0
0
Net Balance
-205
152
54
Net Balance
- 1.7
18
0
Net Balance
- 106
67
107
106
REG XII (MALUKU BAGIAN SELATAN)
Year
2011
2020
2025
Supply
0
450
450
Demand
0
0
0
Balance
0
450
450
Keluar Region
0
0
0
Net Balance
0
450
450
5
© DJMIGAS 201210
KEMENTERIAN
ESDM
INDONESIA GAS BALANCE MAP 2011-2025
(EXISTING SUPPLY + PROJECT SUPPLY VS CONTRACTED DEMAND + POTENTIAL DEMAND)
REG I (NAD) THAILAND REG XILAOS
(KEPULAUAN RIAU)
Year
2011
2020
Supply
235
78
Demand
185
229
2025
Year
2011
2020
BANGKOK
19
Supply
550
150
CAMBODJA
VIETNAM
229
Demand
247
234
REG VII (KALIMANTAN BAGIAN TIMUR)
2025
Year
2011
0
Supply
234
Demand
535
784
561
2354
567
-288
2889
Balance
50
-151
-210
Balance
303
-84
-234
Balance
Keluar Region
197
0
0
Keluar Region
575
318
80
Keluar Region
Net Balance
-147
-151
-210
Masuk Region
Net Balance
78
78
-194
0
-324
2020
1351
1695
Net Balance
2025
REG VIII (SULAWESI BAGIAN
SELATAN)
REG IX (SULAWESI BAGIAN TENGAH)
Year
2011
2020
2025
Supply
48
62
23
Demand
83
111
110
273
333
659
MANILA
Balance
35
-49
-87
Keluar Region
0
0
0
Net Balance
-35
-49
-87
0
234
-288
Year
2011
2020
2025
Supply
0
410
403
Demand
30
145
145
Balance
-30
265
258
Keluar Region
0
335
335
Net Balance
-30
-70
-77
-314
REG X (PAPUA)
NAD
EAST
NATUNA
KUALA
LUMPUR
SUMUT
SUMTENG
BRUNEI
DARUSSALAM
EAST
MALAYSIA
SINGAPORE
KALTIM
DURI
Year
2011
2020
2025
Supply
880
1039
1024
Demand
18.5
221
216
Balance
861.5
818
808
Keluar Region
943
1028
1028
Net Balance
-81,5
-210
- 220
REG II (SUMATERA BAGIAN UTARA)
Year
2011
2020
2025
Supply
52
27
4
Demand
260
203
201
Balance
- 208
-176
-197
Keluar Region
0
0
0
Net Balance
- 208
-176
-197
REG II (SUMATERA BAGIAN TENGAH
&SELATAN)
Year
2011
2020
UJUNG PANDANG
JATENG
JATIM
JABAR
REG IV (JAWA BAGIAN BARAT)
Year
2011
2020
Year
Blok Masela
PAGERUNGAN
REG VI (JAWA BAGIAN TIMUR & BALI)
REG V (JAWA BAGIAN TENGAH)
2025
MALUKU SELATAN
2011
2020
2025
Year
2011
2020
2025
Supply
616
131
54
Supply
1.8
148
50
Supply
467
342
149
915
673.9
Demand
1858
2281
2207
Demand
168
449
449
Demand
821
1165
1125
536
-567.9
780
0
1723
1451
Demand
1015.5
Balance
707,5
Keluar Region
1172
- 464.5
Gris
sikSUMSEL
106
Supply
Net Balance
2025
PAPUA
SULAWESI
-244
Balance
-1242
-2150
-2153
Balance
- 166.2
- 301
-399
Balance
- 354
-823
-976
Masuk Region
619
604
0
Keluar Region
0
0
0
Keluar Region
0
0
0
Net Balance
-623
-1546
-2153
Net Balance
- 166.2
- 301
-399
Net Balance
- 354
-823
-976
-567.9
REG XII (MALUKU BAGIAN SELATAN)
Year
2011
2020
2025
Supply
0
450
450
Demand
0
0
0
Balance
0
450
450
Keluar Region
0
0
0
Net Balance
0
450
450
6
© DJMIGAS 201210
KEMENTERIAN
ESDM
UNCONVENTIONAL GAS
DEVELOPMENT
© DJMIGAS 201210
KEMENTERIAN
ESDM
ROAD MAP OF CBM DEVELOPMENT IN INDONESIA
PP: CBM – 1
Rambutan
(GOI Sponsor)
Ministerial
regulation
No.1669
Ministerial
Minister Regulation
Decree
No. 036, revision
to
No.036/2008,
revision
–
Ministerial
Regulation
to
Minister Decree
No.
No.
033/2006
033/2006
1.0 BcfD
CBM Estimated
Production
~500 MMSCFD
CBM for Electricity
Pilot Project
1998
CBM Estimated
Production
~1500 MMSCFD
CBM Estimated Production
1.8 BcfD
~1000 MMSCFD
2007 2008
2003 2004 2005
2005 2006 2007
2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
Increasing number of CBM Contract
Average production = 250 MSCFD/ well
Ministerial
Minister
Decree
No. 033/2006
Legend:
Feasibility study
Technical and Economical
Start of CBM era
st
(1 CBM PSC Contract )
Government Participation
Start of Commercial Period (Exploration)
Estimated CBM Production
PP: Pilot Project
19
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CBM UTILIZATION PLANNING
CBM for electrical power
CBM for another domestic
consumption
CITY GAS
CNG for
TRANSPORTATION
INDUSTRY
CBM for LNG
20
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SHALE GAS POTENTIAL AND
GAS INFRASTRUCTURE
THAILAND
LAOS
Manila
NAD
LNG Receiving Terminal
Bangkok
CAMBODIA
Ban
Mabtapud
Phnom
Penh
Philipines
VIETNAM
Songkhla
Bangkot
LNG Plant
Jerneh
Guntong
Penang
Lhokseumawe
West
Natuna
WEST Kerteh Duyong
Mogpu
MALAYSIA
BAONG SHALE
Medan
CNG Plant
Sea
Lawit
Banda Aceh
Planned Pipeline
China
Ho Chi
Minh City
Erawan
Khanon
Existing Pipeline
South
Port Klang
Natuna
Bandara Seri
Begawan
Kuala
Lumpur
Bintul
EASTu
MALAYSIA
Port Dickson
Pacific Ocean
KLASAFET
FORMATION
Manado
Dumai
Duri
Shale Gas Highlight Areas
Kota
Kinibalu
BRUNEI
Alpha
Kuchin
g
SINGAPORE
Batam Bintan
Ternate
HALMAHERA
Bontang LNG Plant
& Export Terminal
Attaka
Tunu
Bekapai
KALIMANTAN Samarinda
Padang
Balikpapan
Sorong
Jambi
TELISA SHALE
Jayapura
SULAWESI
Grissik
Banjarmasin
Palembang
BURU
GUMAI SHALE
Ardjuna
Fields
Cirebon Semarang
WEST
JakartaJAVA
JAVA
IRIAN JAYA
SERAM
Ujung
Pandang
I Pagerungan
N D O N E S I A
MADURA
Bangkalan
Surabaya
EAST JAWA
SUMBAWA
Maluku Selatan
FLORES
LOMBOK
BALI
Indian Ocean
TIMOR
SUMBA
AUSTRALIA
© DJMIGAS 201210
Merauke
KEMENTERIAN
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GAS DEVELOPMENT
CHALLENGE
22
© DJMIGAS 201210
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INDONESIA GAS DEVELOPMENT
CHALLENGE
 Indonesia endowed with potential of variety energy resources conventional
as well as unconventional gas
 Domestic and Global Natural Gas demand increased
 Government of Indonesia is obliged to guarantee the availability of domestic
feed stock and fuel supply (including natural gas).
 Adequate infrastructure support is required to assure smooth supply and
distribution of domestic feed stock and fuel.
 Source of oil and gas in Indonesia located far from demand centre.
 Limited oil and gas infrastructures currently hinder feed stock and fuel
supply and distribution.
 Optimizing benefit of natural gas utilization for foreign exchange trade
balance and driver of domestic economic growth
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www.migas.esdm.go.id
24
© DJMIGAS 201210