Premier to develop Gajah Buru gas field off Indonesia

May 15, 2009
Premier Oil Natuna Sea let an EPC contract to a consortium led by Saipem for a central processing platform and other equipment needed to develop Gajah Buru gas field off Indonesia.

Uchenna Izundu
OGJ International Editor

LONDON, May 15 -- Premier Oil Natuna Sea BV let an engineering, procurement, construction, and installation contract to a consortium led by Saipem SPA for a central processing platform and other equipment needed to develop Gajah Buru gas field off Indonesia.

First gas is expected in October 2011, and Premier estimates the field holds recoverable reserves of 325 bcf. It was discovered in 2004 with proved gas in stacked reservoirs in the Arang formation.

The deal is valued at $430 million, and the field is on the Natuna Block A in the West Natuna Sea. The central processing platform will weigh 12,900 tons. Saipem and its partner, PT SMOE Indonesia, will produce a wellhead platform, connecting bridge, and a 3-km, 16-in. subsea gas export pipeline to be laid in 80 m of water.

The pipeline will be linked to the existing export trunkline, with a capacity of 140 MMcfd to deliver gas to Sembgas in Singapore.

Facilities on the central processing platform will include compression, separation, glycol regeneration, gas metering, mechanical refrigeration, utilities, and living quarters for 60 staff. The wellhead platform has an estimated topside weight of 900 tons and a jacket weight of 1,400 tons. Construction is scheduled to commence in August.

"The Central Processing Platform will be installed using the 'floatover' method, while other platform facilities and pipeline will be installed using Saipem's Castoro Otto derrick-lay barge," said Saipem.

Contact Uchenna Izundu at [email protected].