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Indonesia: Oil, gas output from Indonesia block halted after ship hits platform

Indonesia: Oil, gas output from Indonesia block halted after ship hits platform

Write: Doug [2011-05-20]
South Korea's Kodeco Energy has halted oil and gas output in Indonesia's West Madura block, offshore East Java, after the production platform was hit by a container ship, a spokesman for upstream regulator BPMigas, Elan Biantoro, said Monday.


The vessel hit one of Kodeco's 14 production platforms, namely KE40,causing it to tilt by 40 degrees and also damaged some other facilities, including dock and hand rails, Biantoro said.


"Therefore we had to shut the KE40 platform, which has seven wells, to avoid leakage," Biantoro said. "We lost 1,600 b/d of oil and condensate as well as 15 million cu ft/day of gas."


Other platforms were unaffected, he added.


Normally, the West Madura block produces 30,000 b/d of oil and condensate as well as 205 million cu ft/d of gas. The gas is distributed to state-owned utility company Perusahaan Listrik Negara, state-owned gas and transmission company Perusahaan Gas Negara and petrochemical company Petro Kimia Gresik.


While the crude is sent to state-owned Pertamina's 260,000 b/d Balikpapan refinery in East Kalimantan and 348,000 b/d Cilacap refinery in Central Java.


BPMigas has been evaluating the platform's stability. The process is estimated to take two-three weeks.


"We will also analyze whether the platform can be used again," he added.


Meanwhile, Kodeco is sending its inspection ship, a remotely operated vehicle, to the KE40 to check the undersea structure for any damage, The Jakarta Post reported Monday. It, along with Pertamina, has also activated equipment to deal with oil spill, including an oil containment boom, in the area, the report added.


Kodeco is the operator of the West Madura production sharing contract,while its sister company, Korea Development Co., is the operator of the Poleng block, located next to West Madura PSC. Kodeco operates 14 production facilities, the newspaper reported.