Oyong gas field off Indonesia comes on stream

Rick Wilkinson
OGJ Correspondent

MELBOURNE, Oct. 5 -- Santos Group’s Oyong natural gas field off Indonesia has been brought on stream as part of the field’s Phase 2 development.

Gas is being transported from the field via a 60-km subsea pipeline to an onshore processing plant at Grati in East Java.

Oyong lies in the Sampang production-sharing contract area in the Straits of Madura and contains both oil and gas reserves in the Mundu formation carbonate reservoir of Pliocene age.

Discovery well Oyong-1 was drilled in 2001 and Phase 1 oil development began in September 2007.

Phase 2 has been to recover the field’s estimated 103 bcf of gas reserves. Gas is contracted to PT Indonesia Power to use as an electric power generation fuel under a deal signed in 2003.

Santos Ltd., Adelaide, is operator with 40%. Cue Energy Ltd., Melbourne, has 15% and Singapore Sampan has 40%.

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