Exploration and development activity in Indonesia is expected to continue at a fast pace in 1992.
OPEC News Agency reported companies plan to increase spending in Indonesia to $4.54 billion in 1992 from $3.8 billion last year.
EXPLORATION OUTLAYS
Exploration spending will account for about $1 billion this year, said S. Zuhdi Pane, foreign contractors coordinating agency chief for Pertamina, Indonesia's state oil company. That's an increase of 9% from last year's level.
The number of exploratory wells drilled is expected to increase to 217 in 1992, compared with 162 in 1991.
Thirteen of the planned exploratory wells are in the eastern provinces of Indonesia, a region considered remote and underdeveloped but targeted by the government for quick development. The growth in exploration continues a trend that began in 1989 when 99 wells were drilled, followed by 131 wells in 1990, Opecna reported.
DEVELOPMENT DRILLING
Meantime, private oil companies and Pertamina plan 730 development wells this year, compared with 603 in 1991, 545 in 1990, and 479 in 1989.
Indonesia expects to sign 15 production sharing contracts in 1992 (OGJ, Jan. 13, Newsletter), compared with 19 in 1990, 22 in 1989, and 10 in 1988.
G.A.S. Nayoan, Pertamina's director of exploration and production, said at least six new contracts will be signed by the end of March.
Indonesia's oil, gas, and geothermal production is expected to average 2.64 million b/d of oil equivalent in the current fiscal year ending in March. Average production was 2.59 million b/d during fiscal 1990-91 and 2.33 million b/d in fiscal 1989-90.
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