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January 2012 4th Edition

Newsletter
Highlights Features
2 40th Annual General Meeting

3 35th IPA Convention & Exhibition

7 Committee Highlights

13 Company Profile
Talisman Energy

14 CSR
Statoil’s CSR:
Leaving Sustainable Footprints

15 News Flash

16 Professional Division Section

Foreword from the IPA Board with Government Authorities and the DPR to try to
resolve industry’s issues and challenges. We have made
the government aware of the challenges facing the
industry as well as the challenges and expectations of
Elisabeth Proust both domestic and foreign investors.
IPA Officer We believe that the Industry is now in urgent need for
TOTAL E&P INDONESIE the government of Indonesia to create the positive
investment climate that is needed to increase
investment and production, and the IPA is well placed
to work collaboratively with the government to meet the
Dear IPA Members... challenges ahead for the benefit of Indonesia, its people
and all industry stakeholders.
On this special occasion, I would like to wish you a very
Happy New Year on behalf of the IPA Board of Directors. We hope for the best in 2012. The government is trying
For all our members and their families, I wish health, to implement policies that foster Indonesia’s economic
prosperity and a lot of pleasure at work. growth and because oil and gas investment, from initial
investment to production, can take a significant number
May also this year be a year of positive growth and of years, it is important for the right policies to be put in
development for the oil and gas industry in Indonesia place now in order to secure Indonesia’s future energy
and a year of hope and success to us all. security.
As you may see in this edition of IPA newsletter, the IPA As the primary source of credible information and the
has been conducting many activities and new initiatives representative association for the industry in Indonesia,
in 2011. The IPA organized the biggest IPA Annual the IPA is ready to work closely with respective
Convention and Exhibition ever held in 2011 and took government institutions to achieve our mutual
strategic steps to convey industry’s key messages and objectives, we need to bring valuable information to all
concerns for the development of oil and gas industry in the stakeholders and act as problem solver.
Indonesia.
I am confident that with the same solidarity among
In this 4th edition of IPA newsletter, you may find a the members we had in 2011, constructive debates
special section on the Professional Division Activities and positive behaviours, we can impact favourably our
which promote and facilitate the transfer of technical environment and make 2012 a successful year.
information and advancing new technologies to
individuals and companies working in the upstream oil I wish you an informative and enjoyable reading of this
and gas industry in Indonesia newsletter and look forward to seeing you at the 36th
IPA Convention and Exhibition on 23rd - 25th May 2012 at
In 2011, the IPA Board and Committees have conducted the JCC and at various other IPA events and gatherings
numerous meetings and have initiated advocacy efforts during 2012!

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The 40th IPA Annual General Meeting of oil and gas to benefit Indonesian economic growth for
the people of Indonesia.”

2011 has also been a very busy year for most of the IPA
Committees, with attention being focused on the newly
issued Government Regulations No. 79/2010 on Cost Re-
covery, the planned revision of the Oil and Gas Law and
other regulations that have created uncertainty amongst
investors. Numerous meetings, lobbying activities and
ongoing negotiations with the respective government
institutions have been conducted by the IPA committees
to deal with these respective industry issues in order to
help create a positive investment climate within the oil
and gas industry and to improve the performance of this
industry for the benefit of all stakeholders.

In his concluding remarks, Jim Taylor conveyed his


On December 7, 2011 the IPA held its 40th Annual Gen- thanks and gratitude to the IPA Committees who have
eral Meeting (AGM) at the Dharmawangsa Hotel to de- continued to contribute valuable time and resources to
liver the IPA President’s Report, the Financial Report support the IPA. In addition, he also mentioned the need
and the IPA Committee representatives reports on the to work collaboratively with government to achieve the
various activities undertaken during the year as well as principle objective of promoting the petroleum industry
the plan for future activities to the IPA members. in Indonesia to achieve the essential exploration invest-
ment that is so critical to sustaining and growing future
The event was attended by 110 industry representatives energy supplies. Collectively, these messages reinforced
from the IPA Company Members and Associate Mem- the IPA Mission which is “To maximize the hydrocarbon
bers groups. potential of Indonesia for the benefit of all stakeholders;
the contractors, the government and the people of Indo-
In his President’s Report, Jim Taylor highlighted that in nesia. “
2011 Indonesia has shown strong economic growth of
around 6.5% which is expected to continue in future and
that the country needs energy to fuel this future growth.
A sustainable, growing energy supply is a prerequisite
to achieving the sustained economic growth that is tar-
geted by the government.

Jim added that to secure Indonesia’s future energy sup-


ply, aggressive efforts, major new exploration and in-
frastructure investment and a supportive regulatory
environment are essential. Without further significant
investment, exploration activity will continue to decline
and Indonesia’s oil and gas potential will not bring any
additional value and benefits to the State and its people.
Jim also highlighted other key issues that are currently
being faced by the industry in Indonesia and that are be-
ing addressed by the IPA, including Government Regula-
tion No 79/2010, Revisions to the Oil and Gas Law, Gas This year AGM was also marked by the organization of
Price competitiveness, PSC Licence extension policy and the first IPA year-end press conference which was at-
the new Bank Indonesia regulation of Foreign Exchange tended by 25 international and national media represen-
proceeds. tatives. The press conference has generated almost 50
items of positive media coverage that conveyed a con-
The IPA’s summary view is that the Government’s priori- sistent IPA message for the development of oil & gas in-
ties and concerns should be moved from “managing cost dustry in Indonesia.
recovery” to the “managing and creation of new supplies

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“35th Annual IPA Convention and • The new feature in the IPA Convex which is the Ener-
Exhibition 2011: The Biggest in Its gy Edutainment Corner also recorded an additional
1,420 visitors to the event.
History”
The large numbers of visitors in this year IPA Convex has
reflected the strong enthusiasm and hope from within
the industry for the development of the oil and gas in-
dustry in Indonesia.

In their Opening Addresses, H.E. Vice President


Boediono and the then Minister of Energy and Mineral
Resources, Darwin Z. Saleh, conveyed the following
messages:

• Government has a clear understanding of the need


to attract investment into the energy sector and their
determination to support industry in addressing any
issues causing concern.
• With regard to regulations, the government be-
lieves that issues raised last year on cost recovery
and income tax and cabotage have been adequately
The 35th Annual IPA Convention & Exhibition 2011 which addressed. However, there is recognition that other
was held on May 18-20, 2011 at the Jakarta Convention areas have not improved perceptibly, notably the
Center with the theme : process of approval of a variety of implementation
permits involving both central and local institutions.
“Indonesia Energy: • A recognition that gas is the energy resource of
Growth, Security and Sustainability” the future – a step change in exploration activity is
needed to unlock untapped reserves and gas infra-
Our theme was all about the country being poised for structure development is also a priority, including
economic growth; needing energy to fuel this growth gas pipelines on Java and additional Floating Stor-
while also ensuring the security and sustainability of age and Regasifications Units in several locations in
future energy supply. It was agreed that Indonesia can Java and Sumatra to supply gas for power genera-
be self-sustaining in its energy supply as Indonesia does tion, manufacturing activities, transportation and
have that potential. It’s a question of realizing that po- domestic use. In addition, pricing of the gas must be
tential to provide its own energy requirements. And then market driven to attract investors.
it is about policies and regulations to ensure that the • Government also acknowledged that it needs to de-
energy supply continues to be secured, which in turn is velop unconventional gas and renewable energy, if
about reinvestment, exploring for the future, exploring necessary under terms appropriate to the nature of
to unlock the untapped resources both in conventional the resources to achieve energy self-sustainability.
oil and gas, non-conventional gas, CBM, shale gas, new • HE the Vice President also expressed a measure of
and renewable energy. It is also about the proper use disappointment that oil targets were not being met
and the efficient use of that energy. but reiterated that he is certain that all of us, indus-
try and government alike, will do everything possible
The 35th IPA Convention and Exhibition (Convex) was to redress that situation.
the biggest IPA Convention & Exhibition ever held in its
34 years of history. It was officially opened by H.E. Vice In his Opening Address, the then President of IPA Ron
President Boediono for the second consecutive years Aston emphasized that :
and has set several records as follows:
• Indonesia is poised for strong economic growth and
• 150 companies exhibiting in 4,200 square meters of needs energy to fuel it. It also needs to secure en-
space compared to 120 companies in 3,300 sqm last ergy supplies for the future and to do so in a sustain-
year. able manner.
• The visitors this year also doubled to 7,000 people • The country has huge natural resources and can be
compared to 4,000 people last year. self sustaining in its energy requirements by un-

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locking them. Focus needs to move from mature oil sential to keep the investment climate positive.
production to realising the potential of gas reserves,
both conventional and unconventional and other • GR 79 on Cost Recovery: strong cooperation be-
forms of energy and renewables. tween the Government and industry is required in
• Industry needs to explore for, develop and produce finalizing the implementing guidelines to the GR
gas in increasingly difficult frontier areas in order which continues to concern the industry.
to meet domestic needs and still generate valuable • Fiscal Regime: that is tailored to a maturing oil sec-
export revenues. To achieve this, will require a step tor whilst incentivizing gas development and explo-
change in exploration activity and huge additional ration activity.
investment. Policies should be aimed at encourag- • Regulatory regime that facilitates approvals in
ing this and the IPA’s principal role is to coordinate speedy fashion – the IPA strongly believes this
with the government to ensure it happens. would have the greatest impact on increasing cur-
• The oil and gas sector is the true enabler of the rent production.
economy, the key to future economic growth and • PSC Extensions: a clear and transparent process
success as it makes an enormous contribution to for extending the Production Sharing Contract
the economic wellbeing of the country; it accounts should be established. The absence of a transparent
for 7% of Indonesia’s GDP and contributes over 25% process will lead to a slowdown of investment in the
to state budget revenues. The sector also provides final years of the PSC and a consequent deceleration
direct employment for over 300,000 Indonesian of production.
workers and indirect employment for the countless • Early engagement: as a partner of the Government,
more. It contributes almost US$19 billion in direct the IPA welcomes early engagement in energy policy
investment. formulation and ongoing collaboration in the regu-
latory process.
What’s needed to secure energy supply:
The three (3) Plenary Sessions were very well attend-
• Gas: represents the future focus in Indonesia, but ed and achieved their objective of providing a forum
brings with it more complexity and a need for far for distinguished speakers and guests to have an open
greater financing particularly when the gas is found exchange views and opinions on industry 3 (three) key
in remote and very challenging areas. To supply do- issues. A brief summary of the Presentations and key
mestic requirement, it needs domestic infrastruc- discussion points is shown below:
ture- transmission pipelines, liquefaction plants,
receiveing terminals – all of which must be under- Plenary Session 1 - “How Can Indonesia Re-Establish
pinned by long term supply agreements to secure Energy Independence in a Growing Economy”:
the necessary financing. The principal driver will be
price – the gas price must be market driven and not • There is a change of paradigm in the role of oil and
limited by producers providing indirect subsidies to gas: from merely being a source of State Revenue to
end users. becoming the driver of economic growth as indus-
• Exploration: is the key to future production and it is trial feedstock, domestic fuel and in generating a
essential to encourage as much activity as possible. multiplier effect.
Exploration terms offered should be competitive to • For Indonesia to reach energy Independence, the
attract investment in an increasingly challenging country has to :
and competitive global environment. • increase exploration and production activities to
Industry must also be encouraged to explore for and improve oil and gas reserves
develop the extensive Unconventional Gas Resource • develop oil and gas infrastructure
that Indonesia possesses. In doing so, it need to be • develop unconventional oil and gas
supported by appropriate regulations, incentives • have a reliable and affordable oil and gas price
and partnerships to ensure that the necessary in- and ensure oil and gas conservation
vestment is forthcoming. • establish effective management of oil and gas
development based on the principles of sustain-
The Policies Needed to Boost Investment : ability.
• In order to grow and be independent, the country
In order to obtain the level of funding needed to secure MUST attract significant investment, not only in oil
Indonesia’s future energy requirements (US$ 23 billion and gas, but in all forms of energy.
per annum from 2020 onwards – Source:BCG), it is es- • In conclusion, the Government should ensure that

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the energy must become available, accessible and also by learning from the experiences of other coun-
affordable tries
• Again, we heard of the need for Government and In-
As endorsed by the independent view from the Boston dustry stakeholders to work in strong partnership
Consulting Group during this plenary session, the large and create the demand for Renewables in order to
investment that is needed in Indonesia demands 4 “Must stimulate Supply and Infrastructure development
Haves” : for the benefit of all stakeholders
• And finally, a recognition that the time to act is NOW
• Proven material and accessible resources to establish the regulatory framework and pricing
• Clear and consistent regulation policies that will encourage investment in these
• A stable judicial and political environment technically challenging areas so that renewable
• Competitive economics. and unconventional resources can take their place
alongside conventional resources in Indonesia’s fu-
These key areas are becoming more and more criti- ture energy mix.
cal as companies focus on return over growth and all
of the distinguished speakers endorsed the view that The Energy Edutainment Corner (EEC) was also achieved
through cooperation and collaboration, these goals can its goal as to advocate the public, specifically the young
be achieved. generations, with regard to the history and development
of oil and gas industry in Indonesia. EEC has attracted
Then in the afternoon session, the Plenary Session 2 more than 1,400 visitors, of which 60 percent were stu-
discussed “the Role of Gas in Meeting Indonesia’s Eco- dents from 22 schools and universities. As a follow up
nomic Growth Potential”. initiative, the movie shown at the EEC was donated to
the Indonesian Oil & Gas Museum Graha Widya Patra
As Pak Priyono outlined in his speech, with a view that at Taman Mini Indonesia Indah. This is inline with IPA’s
was endorsed by the distinguished speakers from the mission which is to promote education and knowledge
Parliament, PLN, PGN and industry stakeholders; transfer to the public.

• Domestic demand for Gas is increasing at a project- Furthermore, as part of IPA’s commitment to promote
ed 24% per year higher education for underprivileged students, at the
• Remaining large gas reserves to be discovered are Closing Ceremony of the IPA Convex, the IPA awarded
likely to be located in eastern areas within Indone- scholarships worth 100 million rupiah to the selected
sia, often in deepwater locations that are technically under-privileged high-school students in Jakarta areas
challenging and expensive to develop in cooperation with YKAI (Yayasan Kesejahteraan Anak
• there is a clear requirement for an integrated Na- Indonesia).
tional Gas Policy in Indonesia encompassing sup-
ply management, transportation management and AWARDS PRESENTATION at THE CLOSING OF 35th IPA
demand management, including domestic pricing CONVEX :
policy, to support the huge investment that is need- TECHNICAL PROGRAM
ed to produce the estimated 400 MMscf per day of BEST PRESENTATION AWARDS:
additional production that is required to fulfill this
demand. 1. Category of Engineering and Formation Evaluation:
‘Successful application of combined impact ham-
And finally at the Plenary Session 3 in the discussion on: mer and hydraulic shifting tool run on coil tubing for
“The Role of Unconventional and Renewable Resources SSD manipulation in highly deviated wells – A case
to Indonesia’s future Energy Security and Sustainabil- history from Offshore North West Java’ presented
ity”, we heard a stimulating discussion and numerous by Hermawan Susanto (Pertamina Hulu Energi,
questions on how to turn the Unconventional’s of today ONWJ).
into the Conventional’s of tomorrow. It was remarked
that; 2. Category of HSE, Community Development, Busi-
ness, and Commercial: ‘Managing overlapping land
• Indonesia has proven, world-class potential in re- usage’ presented by Surya Safari (VICO).
newable and unconventional resources but they
need to be developed in conjunction with conven- 3. Category of Geology: ‘A sequence stratigraphic
tional resources within an overall Energy Policy and frame work of the Sunda region based on integra-

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tion of bio-stratigraphic lithological and seismic 7. Category of Student (oral): ‘3D modeling of Kerek
data from Namconson basin, Vietnam’ presented by turbidite sand bodies based on out crop studies in
Robert J Morley (Palynova Limited). Kedung Jati area, Central Java : An analogue for
sandy miocene formation in Western Kendeng Zone’
4. Category of Geophysics: ‘Filling the inversion “gap” presented by Fery Andika Cahyo (UPN Veteran,
without well data : Multi-level sources and stream- Yogyakarta).
ers help improve inversion’ presented by Martin
Bayly (WesternGeco, Schlumberger). 8. Category of Student (poster): ‘Hydrocarbon produc-
tion during underbalance drilling – A mathemati-
5. Best Award of Overall (Professional): ‘Early carbon- cal model to predict well productivity’ presented by
ate growth in the East Java basin Indonesia : A case Samuel Zulkhifly Sinaga (ITB, Bandung).
study from the Jimbaran field’ presented by Stefan
Van Simaeys (ExxonMobil Exploration company).
EXHIBITION:
6. Category of Poster (Professional): ‘True amplitude BEST BOOTH AWARD
preserved multi-azimuth pre-stack deth migration Best Booth 50 sqm or larger: INPEX
for structural and reservoir characterization (Sisi Best Booth 18 sqm-50 sqm: ELNUSA
Nubi field, Indonesia)’ presented by M. Baturin Best Booth for smaller size 9 sqm: SCOMI
(Total E &P Indonesie). Most Favourite Booth by Public Votes: MEDCO

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Commitee Highlights

Communications Committee (SPE) and Global Methane initiatives, Global Initiatives


in Oil Spill Response Management. The IPA ESC is also
For the second semester of 2011 the committee has set represented in the ICCOSH- Institute Certifications of
three main focuses of activities as follows: Competence of Occupation safety and Health and has
become a member of the Board. Meetings have been
1. Stakeholder Awareness and Reputation Management held periodically to discuss many issues and to socialize
• Building public awareness on the IPA standards of competence.
organization
• Enhancing IPA reputation as the reliable partner The IPA ESC was chosen as an important partner to be
of the Government of Indonesia consulted by the KNLH office relating to the development
of environmental implementing regulations. High level
2. External communication activities to achieve IPA’s positions i.e. Deputy of Ministry, have attended in the IPA
Vision and Objectives ESC session discussions or workshops.
• Building trust and understanding between the
IPA, Government and Media as well as other Currently the committee have been deeply involved in
strategic stakeholders four (4) drafts of Implementing regulations as follows:
• Supporting key-issues advocacy • Environmental Impact Assessment and Environment
• Outreaching through community engagement Permit
programs • Air Pollution Controlling Management
• Water Pollution Controlling Management
3. Internal Communication activities • Hazardous Material, Hazardous Waste and Dumping
• Feeding the Board with industry news and media
briefing materials Related to these draft regulations, one of the committees’
• Leveraging expertise within the IPA to provide priorities will focus on the mechanism of dumping of
knowledge contribution to universities, media Drilling Cutting or waste for offshore operations.
and other stakeholders
• Assisting in databank improvement, IPA website On top of the four draft implementing regulations, the
content and communication to members Committee has also identified some concerns regarding
Tier 3 Response for Oil Spill Response Management,
specifically regarding the support from GOI to establish
Data Management Committee an effective international assistance mechanism. The
Committee has completed a “White paper” on Oil Spill
1. Continue as liaison to Government and industry for Response. This paper is intended to provide the current
Data Management issues update or information on the existing related regulatory
• Involve in IPA Exploration Committee. issues on oil spill response management, together with
• Start collaboration work in addressing data the existing Practice and Challenges.
management challenge to improve oil and gas
industry climate investment. Following several fatality accidents in 2011, the
committee also has an initiative to cooperate with the
2. Work with IPA Members and Patra Nusa Data on Indonesian Safety Professional Association (ISPA/IAKKI)
Data Disaster Recovery Plan to organize a periodic safety discussion forum, identify
• Review PND services, including possibility for lessons learnt and directly listen to details concerning
PND to also manage closed and hardcopy data. these incidents from affected parties, discuss root causes
and develop proposed actions to avoid recurrence.
3. Start discussion on the possibility of returning open
area data that still kept by IPA members The discussion forum was established with a non
blaming culture and was well facilitated to create values
of sharing information among professionals, industries
and the regulator, with the collective aim to lead the
Environment & Safety Committee industry towards a world class safety culture.
During 2011, periodic dialogue and developing
partnerships have been done with related stakeholders
through courtesy visits and formal or informal Exploration Committee
meetings. These sessions have been conducted with
several regulatory bodies such as KNLH, MIGAS, The Exploration Committee is charged with providing
Sea Communication Transportation, BPMIGAS and recommendations to the IPA Board of Directors to
professional institution IAKKI/ISPA (Indonesian Safety promote increasing the level of exploration investment
Professional Association), IATMI (Indonesian Petroleum and also improving the efficiency of exploration activities.
Engineers Association), Society of Petroleum Engineer Three sub-committees have been established in order to

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focus on particular aspects of exploration activities: Finance and Tax Committee information meeting
during the year.
• Regulatory procedures and management of PSC .
activities, WP&B, AFE’s
• Data access and management Human Resources Committee
• Exploration investment climate, bid rounds, fiscal
regime
1. Provided advocacy on GR 79/2010 related to HR
The goal for the sub-committees is to seek constructive items to BPMIGAS and other department. We raised
dialog on various aspects affecting exploration in issue that remuneration both expat and national
investment and efficiency in order to be able to should not be capped, but based on competitive
recommend and implement measures which will result markets. Also, Pension and other employee benefits
in an increase in exploration activity and ultimately lead to should honor existing Collective Labor Agreement
discovery of new hydrocarbon resources and provinces. of respective companies. We met also with APINDO
This is particularly important to address given the poor chairman on this subject.
industry response to recent bid rounds and the decade-
long downward trend in new field wildcat exploration 2. Provided inputs and subject matter experts on draft
of BPMIGAS PTK-018 revision. We suggested the
drilling activity in Indonesia. guidelines should be more strategic and not to give
more burden administrative to PSC.

Finance & Tax Committee 3. Continued to provide inputs to BPMIGAS regarding


implementation of the extension of employment for
1. Supporting the IPA Board of Director in engaging national employees after regular retirement age of
various stakeholders of oil and gas industry to 56 years. As each PSC may have different operational
improve the understanding on cost recovery, the needs, PSC should be given flexibility on the timing
importance of cost recovery, and the impact of and transition for smooth implementation of each
changes in cost recovery mechanism to the industry. PSC.

2. Continuously working with BPMIGAS, MIGAS and 4. Provided inputs to both BPMIGAS and MIGAS on
DGT to ensure the principal of PSC income tax RPTK/IMTA process. We expect an integrated review,
calculation is following the current tax principal coordination, and consistency between BPMIGAS/
under the existing PSCs. MIGAS. Objective is to have more efficient process,
such that there will be no business impact, cost and
3. Continuously engage and collaborate with BPMIGAS, impromptu/sudden personnel mobilizations.
BKF and other stakeholders:
a. to immediately issue the implementing 5. Supported people development program such
procedure for tax borne by Government on as global HR certification. Facilitated knowledge
Parent Company Charges and other charges sharing among PSCs on HR related issues; industrial
coming from head office and the amendment/ hygiene program, medical evacuation, industrial
revision of PMK 73/2010 (with the involvement relation, fresh graduate program, mentoring
of DG of State Budget and DGT). program, etc
b. to maintain the current tax treatment on cost
sharing/cost allocation inter and intra PSC 6. Participated in Human Resources Annual Forum
companies and on drilling services; and to with participants consisting of HR professionals and
obtain clarification on transfer pricing reporting management from BPMIGAS, PSC, and Services
requirements for oil and gas industry. Company on October, 26-28, 2011 discussing
various HR issues in the oil and gas sector including
4. To engage IPA Board of Director to provide input CDM Award, Lecturer, Sharing Best Practice from
for BPMIGAS Management for the improvement of various industries, and HR service provider booths.
Work Program & Budget process, which should be
more focus on the strategic issues with a longer 7. Strengthen the co-ordination between HR IPA
term vision. committee with sub working groups to ensure
alignment for inputs to BPMIGAS and support the
5. Continue to proactively engage and conduct dialogue sub working group program.
with the DGT to share the progress on industry
cost recovery issues and progress on BPKP audit 8. Established relations with new appointed official
exceptions; and to coordinate and advocate audit both MIGAS and BPMIGAS
issues raised by BPK, BPKP and BPMIGAS auditors
for appropriate attention and resolution.
LNG & Gas Committee
6. To conduct regular meeting and/or teleconference
with Finance and Tax Committee (core) team to
share knowledge, to discuss issues and agree on 1. Interaction with the Indonesian Gas Association
the strategic action point to progress/resolve the (IGA) and National Economy Commission (KEN)
industry issues and to conduct a wider industry

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KEN is a commission which reports directly to 4. Interaction with Regulatory Affairs Committee
the President of Indonesia and works with the
Coordinating Minister of Economy to provide analysis The LNG and Gas Committee has nominated a
and input on global and domestic issues related representative and alternate to coordinate with the
to the economy. Following the INDOGAS 2011, Regulatory Affairs Committee on the impacts of the
KEN asked IGA for inputs on efforts to accelerate proposed revision of the Oil and Gas Law and the
development of gas fields and infrastructure. IPA, Law on Currency to the gas business.
via the LNG and Gas Committee, was later included
in the process to formulate the final input.

Following the meeting in September 2011 with the Professional Division Committee
leaders of KEN, IPA and IGA formulated the top 3
issues of the oil and gas industry and the proposed The Professional Division has continued to successfully
solutions and the benefits to Indonesia to be carry out its mission during 2011. Eight (8) luncheon talks
forwarded to the President by Chairman of KEN: were held during the year, with attendance exceeding
780 professionals in Jakarta. In addition, eighteen (18)
• Government Regulations 79/201 short courses were held on diverse technical topics
• Streamlining Regulators Roles & throughout the year and all were well received and
Responsibilities and their approval process attended. The short courses presented in 2011 drew a
• Challenges in fulfilling domestic gas demand total of 306 attendees, which is a significant increase
over last year. The demand for educational services
The draft paper was presented to the IPA Board in remains strong, and the excellent work of short course
October and comments are being incorporated to organizers and instructors, has resulted in a healthy
be forwarded to the IGA for final submission to KEN surplus for the IPA. In addition, five (5) educational
before the end of 2011. fieldtrips were successfully completed during 2011,
which is one more than the previous year.
2. Independent consultant study on Indonesian Gas
Policy and Investment Climate The 2011 IPA Membership Directory was published and
distributed to members, as were two (2) informative
The idea to engage a consultant was initially newsletters, which now can be accessed exclusively
suggested by KEN to provide independency, through the IPA website.
credibility and quantitative support on IPA’s position
on the LNG and gas business climate in Indonesia. The Publications group continues with distribution of the
Several consultants were contacted and Wood IPA Proceedings volumes in digital format, both via an
Mackenzie is considered the right entity to do this online website and on CD. This service can be accessed
type of work. The proposed scope of works includes: via the AAPG data pages, which is a highly efficient
and cost effective method of disseminating technical
• How current regulatory affect gas investment in information.
Indonesia
• Assessment of gas commerciality from
upstream development and overall Indonesia Regulatory Affairs Committee
gas market

The proposed scope and estimated costs have been 1. Regulation on Cost Recovery and Taxation
presented to the IPA Board of Directors in October
and comments are being incorporated for final A petition for Judicial Review on GR 79 on cost
scope to be sent to Wood Mackenzie. The Board also recovery and Income Tax Treatment in Upstream Oil
suggested that the report be also used for other and Gas Activities was filed by the IPA on 16 June
purposes besides as input to KEN. 2011 after consultation with the GOI. The petition
emphasizes the key arguments that the GR should
3. Review of the possibility of gas/LNG equity lifting in be revoked since it violates higher laws and/or its
Indonesia formation does not comply with applicable laws.

This idea was initially asked by MIGAS as a way for GOI The IPA conducted an extensive media campaign
to take its in-kind gas entitlement to meet domestic in conjunction with the filing of the petition to seek
demand. The Committee compared the practices to educate the public on the reasons for filing the
in other countries with the PSC fiscal regime in petition.
Indonesia and noted that the implementation of
full equity gas lifting is probably not practical in RAC sought to discuss and resolve ongoing
Indonesia, nevertheless the committee will continue implementation issues associated with the GR
to look into the possibility of applying equity lifting including those relating to WP&B pending the
for a portion of a PSC’s production. The findings Supreme Court decision.
were presented to the IPA Board of Directors in
October. On 18 October 2011 the petition was denied by the
Supreme Court. The basis of the denial is not yet
known as the judgment is not expected for another

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one to three months. There are no rights of appeal arising from BPMIGAS PTK 007-RevI-II/2011. The
from the decision of the Supreme Court. Individual matter of domestic content dominates the list of
contractors can avail themselves of the rights issues. Other issues identified during the meeting
they have under their respective existing PSCs in are advance payment, bidder/contractor security
response to GR 79. Despite this disappointing news (e.g. bid bond, performance bond, parent company
RAC will continue to assist the IPA in its endeavours guarantee), and processes during commercial
to seek the revocation of the GR. negotiation (e.g. processes related to owners’
estimate). RAC is seeking to ventilate industry
2. Oil and Gas Law Bill concerns through this process.

On April 29, pursuant to an invitation from the 5. Repatriation of Export Proceeds


Parliament (DPR), the IPA attended a Parliamentary-
initiated session to discuss the terms of a draft of a Bank Indonesia (BI) recently issued a regulation
new Oil and Gas Law. concerning export sales proceeds (BI Regulation
No. 13/20, “PBI 13”). It seeks to capture export
With the assistance of RAC, the IPA advised the DPR proceeds in domestic bank accounts. It appears
about potential unfavorable impacts on investment that BI wishes to strengthen Indonesia’s domestic
due to the introduction of an entirely new law. liquidity of foreign currency by requiring Indonesia’s
sizeable export proceeds to be brought into the
The IPA formed a Task Force, on which the RAC is domestic banking system. PBI 13 contains no
represented, to primarily advise the IPA Board on exemption to any industry including Oil and Gas. It
how best to proceed. The IPA continues to seek a is intended to be applicable for any export proceeds.
confirmed version of the draft Bill to improve IPA’s
ability to influence and continues to correspond with The RAC worked together with the F&T Committee
GOI stakeholders advocating the primary message to define IPA’s position with regard to the PBI 13
that substantive change is not required and will act which has been formally conveyed to BI. In essence,
as a disincentive to investment in the future. the IPA believes that the PSC Contractors should
not be subject to the PBI 13 for several reasons but
The DPR has not as yet distributed any official draft mainly because the PSC expressly provides a right
Bill for comment to the IPA despite requests. to Contractors to retain Petroleum proceeds abroad.

3. Explosive Permitting 6. Cabotage

IPA through the RAC is a primary participant in The RAC together with the Communication
an Explosives Permitting Task Force, together Committee were actively involved in a task force
with 19 PSCs, service companies and BPMIGAS. initiated by BPMIGAS to secure an exemption from
The Task Force is seeking to address the lack the cabotage requirement for vessels used in the oil
of transparency in procedure and costs relating and gas industry. Through active participation and
to obtaining explosives permits and handling effective lobbying, the task force was successful in
explosives to mitigate compliance risks. The Task securing the exemption prior to May 7th, thereby
Force is working with relevant government offices avoiding any disruption to oil and gas operations.
(Police Dept, BPMIGAS, MIGAS, Ministry of Finance,
UKP4) to establish an appropriate legal instrument The Government issued Government Regulation No.
that will address concerns while complying with 22 of 2011 (GR 20) on 4 April 2011 which sets out the
administrative laws. list of vessels (that are mostly used in the oil and
gas industry) that are exempted from the cabotage
In the interim short term solutions have been requirement. The Ministry of Transportation
proposed, (i) BPMIGAS to obtain the permits and subsequently issued an implementing regulation to
services on behalf of the PSC pursuant to Section the GR 20 on 18 April 2011 in the form of a Ministerial
V of the PSC; (ii) BPMIGAS to elevate efforts to Transportation Regulation No. 48 of 2011 that
resolve permitting problems in each PSC to UKP4; further sets out the procedure to obtain a permit for
and (iii) BPMIGAS to enter into an agreement with foreign flag vessels operating in Indonesia.
various Provincial Police Offices. Option (iii) is being
progressed, BPMIGAS is to arrange a meeting 7. Regulated Increases in Production
with the Police Headquarters and explore whether
option (iii) is at all possible. The meeting with Police RAC was closely involved in consultations on the
Headquarters is expected to take place in December implementation of Ministerial Regulation on Oil and
2011. gas Production Increase (“the MR”) early in 2010.
The MR requires non-producing fields and wells to
4. Procurement of Good and Services be inventoried and new discoveries to be notified
and seeks to impose an accelerated program for
BPMIGAS is considering further revisions to development inconsistent with prevailing law,
BPMIGAS PTK 007-RevI-II/2011. To facilitate this applicable PSCs, and industry capability.
exercise, BPMIGAS invited a number of PSCs to a
meeting in Bandung to discuss and identify issues Following consultations on the MR, in which RAC

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was involved, BPMIGAS acknowledged that there • There are some concerns from PSCs, mainly on:
were challenges in complying with the MR and »» Procurement process lead time related to
some uncertainly in its application and sought input local content.
on the same. »» Advance payment.
»» Pre-qualification procedure, etc.
In an effort to ensure implementation of the MR, • Feedbacks have been given by PSCs to
during the first quarter and third quarter this year, BPMIGAS.
BPMIGAS sent letters to a number of PSCs reminding • Some clarifications have also been issued by
the PSCs of the requirements of the MR. In January BPMIGAS.
2011, BPMIGAS reminded PSCs to put together an
inventory of idle and or non-producing fields and in 3. “Cabotage” issue.
August 2011, BPMIGAS instructed a number of PSCs • Discussion on the implementation of cabotage
to re-activate (“mengaktivasikan kembali”) idle law for specific vessels used in oil and gas
fields and idle wells located in the work area of the upstream activities.
respective PSCs. Despite uncertainties arising from • Participation with other committees of IPA and
the requirements of the MR, to date BPMIGAS has related Government Institutions to find the
not issued any clarification and or implementation solution.
directives or guidelines on the provisions of the MR.
4. GR No.79/2010.
8. Regulations On Put on Production and the • SIC concerns about article 13 point q, r and t
Establishment of Work Area for Non-Conventional concerning procurement that exceed 10%
Oil and Gas of AFE value, surplus of material stock and
procurement without open tender.
On August 23, MIGAS invited a number of parties • Waiting the result of Judicial Review proposed
including the IPA to a socialization of the following by IPA.
draft Ministerial Regulations (“MR”):
a. Draft MR on Put on Production for Oil and Gas, 5. PTK-007 third book (Asset Management).
and • Our concern is about surplus material in stock
b. Draft MR on Procedures for the Establishment with potential of non cost recoverable if it
and Offer of Work Area for Non-Conventional Oil exceeds a certain limit.
and Gas Resources. • Other concern is related to Minister of Finance
Decree No.165/2010 particularly about engine
IPA’s Unconventional Gas Committee is preparing exchange activity that approval is needed up to
feedback, RAC is committed to provide the necessary BPMIGAS level only.
support to the Unconventional Gas Committee.
6. Local Content achievement monitoring.
3. Implementing Regulations for the 2009 • Discussion about its implementation (refer to
Environmental Law PTK-007).
• SIC has invited PT.Surveyor Indonesia to give
The Government is drafting implementation presentation on Local Content monitoring on
regulations for the 2009 Environmental Law. IPA 16th March 2011.
RAC continues to monitor the development of • Some PSCs has now the contract with
these regulations and is committed to help prepare authorized surveyor for doing the Local Content
feedback to the Government. achievement monitoring.

7. Establishment of Team for Increasing Utilization of


Local Products by Minister of EMR.
Supply Chain Management Improvement • Minister of EMR issued a decision letter on
Committee 1st April 2011 for establishment a team for
increasing the utilization of local products.
1. Workshop Procurement Strategy & SCM Forum • Chairman of IPA Supply Chain Committee was
with BPMIGAS. assigned as a member amongst the other
• Preparation for attending Workshop on representatives from Ministry of EMR, Migas,
Procurement Strategy held by BPMIGAS in Ministry of Industry, Ministry of Research and
Bandung on 31st January to 1st February 2011. Technology, BPMIGAS and Guspen Migas.
• The main purpose of workshop was to see • 1st meeting in August 2011 was cancelled at the
possible for making joint contract of some last minute.
commodities amongst the PSCs.
• While the SCM forum was organized by 8. Importation of goods using Master List mechanism
BPMIGAS and conducted in Batam on 9th - 11th (tax exemption).
February 2011. • Discussion of the implementation problem
due to different method of calculation of Local
2. Procurement Guideline (PTK-007 Revision 2). Content (price based vs. cost based) during
• Has been issued by BPMIGAS on 9th May 2011 tender and importation.
and in force starting 1st May 2011. • CBM PSC still cannot use the Master List

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mechanism to get exemption from import duty April 2011 which gives the exemption for specific
and taxes. vessels (category C) with foreign flag used in oil
& gas upstream activities as long as the vessels
9. BPMIGAS Procurement Online Information System. with Indonesian flag is still not available in the
• BPMIGAS has established an Integrated Online market.
Information System for Procurement and Assets • To get the dispensation to use vessel with
Management called as “PMA Dashboard”. foreign flag, PSC has to prove with at least
• All supply chain activity reports from PSCs to 1 (one) tender fail for obtaining vessel with
BPMIGAS are now to be uploaded through this Indonesian flag.
system. • So far, there is no problem in obtaining permit
for these specific vessels.
10. Explosive.
• Discussion on explosive handling issues.
• Letter has been sent by IPA to BPMIGAS on
7th February 2011 asking for simplification of Unconventional Gas Committee
explosive permitting processes.
• Coordination meeting between BPMIGAS and 1. Through previous engagement the Pre-POD
PSCs has also been conducted on 10th and 24th Gas Sales issue has been incorporated by the
August 2011. government in new awarded CBM PSC contracts
which is also applicable to the existing contracts.
11. Protection &Indemnity (P&I) Club. The inclusion of this clause in the PSC contract
• BPMIGAS requested PSCs to use Indonesian provides assurance on the mechanism of CBM gas
P&I Club Promindo for all vessels operated sales during dewatering and early development
by PSCs (letter Deputy of Operation dated 4 which is not applicable to conventional gas business.
February 2011).
• There are some concerns from PSCs regarding 2. IPA sent letters to propose fiscal incentives through
this issue. Director General Oil and Gas. Presentations to
Ministry of Finance (BKF) have been made with the
12. Minister of Industry regulation No.15/2011. proposal a combination of:
• Issued in February 2011. It regulates the use of a. FTP holiday
local products. b. Tax Holiday 10 years after POD approved
• A new inventory list of local products is now c. 50% investment credit
available in the web of Ministry of Industry The discussion was around the format of the fiscal
complete with its percentage local content and incentives which can be managed outside of the
period of validity. PSC contract.
• APDN book issued by Migas book is still to be
used as reference for oil and gas sector. 3. Both in the letter and during the discussion we
continuously mention the important of PSC contract
13. Key Performance Indicator (KPI) for PSC Supply extension for CBM due to the nature of CBM
Chain Activities. production. Since the CBM PSC contract is governed
• BPMIGAS is now implementing KPI to measure under the Oil and Gas Law it might be difficult to
the performance of PSCs in doing the supply get assurance on contract extension at early years.
chain activities. However, there have been some precedents in
• 6 monthly review is done by BPMIGAS with each conventional business that Government grants
PSC. contract extension.

14. Currency Law. 4. Sustaining engagement with BPMIGAS needs to be


• SIC concern on Currency Law no.7/2011 dated built to ensure streamlining approval processes for
28th June 2011, particularly article 21 which CBM projects. In the past IPA has addressed this
requires that all transactions made in Indonesia concern through formal letter and presentation
territory should be made in Indonesian rupiah during CBM workshop organized by BPMIGAS in
currency. 2011.
• Waiting further guideline from BPMIGAS.

15. Cabotage follow up :


• Participation from of SIC members in various
meetings with BPMIGAS, Migas, Ministry of
Transportation, Directorate General of Sea
Transportation and INSA in obtaining solution
on implementation cabotage law for specific
vessels used in oil and gas industry.
• Finally GoI issued the new Government
Regulation No.22/2011 (revision of GR
No.20/2010) on 4th April 2011 and Minister of
Transportation Regulation No.48/2011 on 18th

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southern part of the island, then West Java offshore, to
Makassar Straits and West Papua. Our gross production
currently reaches approximately 76,400 boe/day and is
expected to constantly grow in the coming years to set
new records. Around 81 percent of our gas production
is contracted for domestic usage, supporting Indonesian
economic development.

Talisman has strong commitment to position its


international exploration portfolio for continual
renewal, Talisman has been awarded by the Indonesian
government the highly prospective deepwater acreages
in Indonesia’s challenging frontier zones: the 8,517 sq
Bunga Orchid Field in Malaysia
km Andaman III block in the North Sumatera Basin and
the 3,878 sq km Sageri block in the Makassar Straits.
Company Profile We believe that the South Makassar Basin has all the
attributes of a characteristically prolific basin. In our
view, the Sageri Block has significant prospective
resources, a diversity of play types and indications of
a working petroleum system. Following the recent
completion of our seismic activities, the first drilling at
Talisman Energy Inc. established in 1992, is an the Sageri block commenced in July 2011.
independent oil and gas exploration and production
company with the purpose of safe, profitable growth. Together with state-owned oil and gas company
Headquartered in Calgary, Canada, our main operating Pertamina, Talisman is the assistant operator in the
areas are North America, the North Sea and Southeast Jambi Merang JOB onshore South Sumatra with an
Asia. In addition, we are pursuing a number of indirect 25% interest and in the nearby Ogan Komering
international exploration opportunities. JOB with a 50% interest. Jambi Merang marked its first
gas production in March 2011 and started its commercial
We are building an international exploration portfolio sales in the following month. The initial production of 60
that will contribute to our renewal through discovery mmscf/day will be ramped up to reach the maximum
of significant new hydrocarbon resources. In Peru and capacity of 120 mmscf/day by year end. With a total
Colombia, we are building an oil-focused core region. production of 2.6 million barrels of oil equivalent in 2010,
We are also looking for exploration opportunities to Ogan Komering is set to achieve 6,000 boe/day in 2011.
sustain North Sea production. In addition we are also
pursuing material growth opportunities in Poland and in
the Kurdistan region of northern Iraq.

In South East Asia, we are exploring prospects offshore


Indonesia, Malaysia and Vietnam and onshore PNG.
Current production from the region is predominantly
oil and liquids or natural gas linked to oil prices. Our
Southeast Asia operations are expected to continue
as a growth area, with new projects coming on stream
over the medium term and with significant exploration
upside.

Indonesia

Talisman has been operating in Indonesia since 1994


and, in the past 8 years, Talisman has built up its portfolio
in Indonesia.

As of mid 2011, we have 12 blocks across the country JOB Pertamina - Talisman Jambi Merang
– spreading from the northern tip of Sumatra to the Sungai Kerawang Central Gas Plant

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CSR Statoil is an international energy company, headquar-
tered in Norway, with operations in 34 countries. Build-
ing on 40 years of experience from oil and gas production
Statoil’s CSR: Leaving Sustainable Footprints on the Norwegian continental shelf, Statoil is committed
to accommodating the world’s energy needs in a respon-
Statoil regarded Corporate Social Responsibility (CSR) sible manner, applying technology and creating innova-
as an effort in managing risk and being also embed- tive business solutions. Statoil has 20,000 employees
ded certain procedure in a way reputation risk does not worldwide, and is listed on the New York and Oslo stock
suffer. exchanges.

Statoil, established its office in Indonesia, back in 2007 In Indonesia, Statoil is the operator of the deep-water
after they acquired two exploration license; Karama and Karama production sharing contract (PSC) and Halma-
Kuma. Approximately three years prior to its drilling op- hera-2 PSC, as well as a partner in the Kuma PSC, West
erations, they initiate their so-called “Integrated Com- Papua IV PSC, Halmahera-Kofiau PSC, North Makassar
munity Development (ICD) Program” – as part of their Strait PSC, North Ganal PSC and Obi PSC.
corporate social responsibility project in the West Su-
lawesi region, where their operations are located. For Statoil-operated block Karama, the expected first-
spud is in January 2012. Statoil is committed to drill
The aim of this program is for Statoil to be able to leave a three exploration wells at the Karama block. The drilling
significant, useful and sustainable community develop- operations are expected to complete by early 2013.
ment project and sustainable enough for the well-being
of the people of West Sulawesi. Statoil contribute to sus-
tainable development based on its core activities in the
countries where we work.

Statoil is committed to make choices based on how they


affect our interests and the interests of the societies
around us, and by practising corporate responsibility we
ensure transparency, anti-corruption and respect for
human rights and labour standards and generate posi-
tive spin-offs from our core activities.

Focusing on four main key issues; health, education,


community empowerment and public facilities, Statoil
Indonesia’s integrated community development pro-
gram hopes to build good relations with both stakehold-
ers and local people, to support its operations within the
adjacent off-shore area.

Adjacent from the two blocks in West Sulawesi, Statoil


carries several corporate social responsibility projects.
To name a few, school renovation projects in several vil-
lages, small scale local business assistance and mobile
community health services.

To contribute to local economic development in the West


Sulawesi region, a micro-financing project has been es-
tablished between Statoil and local NGO, to provide sup-
port for housewives who want to start their own busi-
nesses in running the coconut oil and sea-weed home
industry. Statoil also contributes to these housewives in
training the micro-financing program.

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News Flash
IPA Scholarship 2011

Here are the names of the IPA scholarships Recepients :

No Name School Avg. Grade


1 Inas Nabilah SMAN 52 86, 04
2 Lisa Ariska Ulfah SMAN 52 86,46
3 Puspita Dewi SMAN 23 77,42
4 Rizkyani SMAN 23 76,98
5 Komariah SMAN 40 80,40
6 Fitri Rahmayani SMAN 40 80,30
7 Farhah MA Al-Falah 82,50
8 Haidar SMAN 8 83,27
9 Agung Jakaria SMAN 29 78
10 Mira Nurfitriyani SMAN 97 84
11 Ika Pratiwi SMAN 97 75,5
In 2011, the Indonesian Petroleum Association (IPA) 12 Riskha Indah Pratiwi SMAN 49 81,15
has provided scholarships amounting to nearly 100 13 Dedi Kurniawan SMAN 49 82,25
million rupiah to 25 disadvantaged high school students 14 Juliana Bakti Pertiwi SMAN 12 81,71
majoring in science in the Jakarta area through its 15 Gilang Ramadhan Kotta SMAN 72 73
association with the YKAI (Indonesian Child Welfare
16 Dimas Prabowo SMAN 4 76,69
Foundation). Each scholarship recipient is entitled to
tuition fees for 1 (one) year and textbooks. 17 Achmad Fauzi SMAN 91 76,54
18 Mega Lialita Maharani SMAN 91 82,36
The final 25 students were selected from an original 19 Faralita Faisal SMAN 68 88,83
group of 46 students who applied for a scholarship, 20 Yudha Prabowo SMAN 68 84
with the primary selection criteria being eveidence of 21 Hendra Dainanto Prakoso SMAN 68 85
academic ability and low economic status.
22 Chaerul Umam SMAN 1 88
The IPA President at the time, Ron Aston, symbolically 23 Elvina SMAN 1 85,5
awarded the IPA scholarships to the Executive Director of 24 Diana SMAN 45 85
YKAI, Winarti Sukaesih and 5 students as a representative 25 Abu Bakar SMA IT 74,2
group of scholarship recipients at the closing of the 35th Al Qur’aniyah
IPA Convention & Exhibition in May 20, 2011.

From the subsequent interviews with the recipients and


their parents, they expressed their gratitude and thanks
to the IPA and YKAI for the scholarship as it will help
them a lot to ensure the further continuation of their
children’s education.

Inquiries, Responses and Contributions to our


Newsletter are welcome at inquiries@ipa.or.id

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SPECIAL SECTION:
PROFESSIONAL DIVISION
Editor’s Note
warranted, but sometimes individual expression is far
Stephen Scott more valuable. And it can take an astute manager to
Editor know when that is the case. Working in the Gulf of Mexico
IPA Professional Division during the first “all blocks” open bid round in 1983, my
Genting Oil (Kasuri) Pte. Ltd. geologist partner and I proposed several blocks to bid on
stephen.scott [at] gentingenergy.com and when presented for management consideration we
suggested that there was already sufficient seismic data
to drill if we were awarded the blocks. We were awarded
the blocks and started preparations. I was asked by the
team leader to lay out 3 west-east and 3 north-south
I have been asked to write the Editor’s Note for this seismic lines over the block. But I argued that we had
publication and I am happy to do so although I will already told upper management additional seismic was
take a different approach and offer the reader some not necessary and I believed that was still the case.
single paragraph “short stories” based on my 30 plus None the less I was told this is standard practice so
years experience as a practicing geophysicist and please lay out the seismic lines. A few weeks later I had
explorationist. If nothing else perhaps these will be food to present the proposal and defend it although I did not
for thought. believe in it. Upon being questioned I kept replying “We”
feel this is important for this or that reason. Finally, the
VP Exploration turned his head as if contemplating what
Story 1: I had been saying and said to me “You keep saying “we”.
I don’t care what “we” think is best, I want to know what
In 1980 when I was working in Alaska exploring the you think is best”. To that I responded, I don’t think we
North Slope there was a legal requirement to destroy all need these extra seismic data and the VP Exploration
of the seismic data that had been capitalized against a responded, “That’s exactly what I thought, I don’t think
block that was subsequently written off for tax purposes. so either”. We did not acquire those seismic data. I
I was standing at the shredder one day destroying think the moral of the story here is that conformity and
seismic lines and my boss, the District Geophysicist, consensus does not always give the best answer and
walked down the hall with the V.P. Exploration, who did that we sometimes need to have the courage to state
not know me well since I had only been in the district a what we, as individuals, believe when asked and not take
short time. They stopped momentarily and looked into the easy way out by following the crowd.
the room where all the shredder noise was coming from
and the VP asked the District Geophysicist “Isn’t he one Story 3:
of our geophysicists”, to which the District Geophysicist
relied “Yes”. The VP then said, I don’t ever want to see We all have a “right place to be” in our professional
one of our professional G&G staff standing at a shredder G&G careers and it sometimes takes a while for all the
doing that kind of work again. These people are far too conditions to come to fruition to propel us to that place.
valuable to have them using their time doing that when You might remember a time back in the 80’s when it was
we have tech aides who can do it. I think the moral of fashionable for oil and gas companies to diversity into
the story here is that we must utilize our limited human mining, solar, shale oil and so on. In the late 80’s while
resources in the most efficient manner possible and working in California I befriended a fellow geophysicist
make sure people are working on projects aligned with in the company I worked for who had been pulled into the
their expertise. But times have changed. oil and gas company when the mining company within
the corporation was sold. This fellow was educated and
Story 2: trained in mining geophysics and electro-magnetics
was his specialty. Now, to remain employed he was
Society and the business world tend to force us into forced to interpret seismic data and construct maps to
conformity and consensus which in many cases is develop prospects and search for oil and gas. But this

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area of endeavor was just not aligned with the type of and said “Wrong answer”. I asked the question again
geophysics that he loved. I remember him saying to me and added that the answer should be more about your
“I’m just not worth a rat’s butt in this”. Still he struggled work. He thought again and replied “I have to interpret
on, trying to become what was expected of him, but it seismic data and make maps that are required by my
was all for naught as he was eventually “surplused”. boss”! I again replied “Wrong answer”. Then he and the
He eventually landed on his feet and took a consulting others said, “So why”? I replied “You came to work to
job back in mining geophysics and as I understand the find oil and gas”! That should be the whole focus of your
company he was initially working for did not pay him mind throughout the day and you should remember that
properly so he left and went to work for another small you will need to go through many different processes
company where he was partly paid in shares of stock. like interpreting seismic, making maps, considering
And with that he was in the “right place to be”. My friend petroleum systems concepts and so on to find the oil
and colleague went on to be the principle geophysicist and gas. But if you get caught up in process and define
mostly responsible for the discovery of one of the most your success simply in terms of completing these
substantial mineral deposits to be found in Canada in various work tasks, however interesting and important
the last 50 years. That is the Voisey’s Bay Ni-Cu-Co they might be, you will likely not find very much oil and
deposit in Labrador discovered in the mid-90’s. The gas. So stay focused on the goal: finding oil and gas.
small company my friend worked for was bought by a
larger company as usually happens and my friend was
fortunate indeed to own many shares of stock in that
small company. “Surplused” turned to “Success”!

Story 4:

I am an explorationist at heart, so this next story is about


being an explorationist, pure and simple. In the late
90’s the company I had worked at for just over 20 years
was bought out by a larger major oil and gas company.
These things happen, right, and we should be prepared.
I did work for the purchasing company for 8 months to
complete a deepwater block 3D seismic interpretation
project and then moved on to work for a very large and
successful company in India. However, this company was
relatively new to oil and gas exploration and had sought
out a few staff having world-wide experience. As an
advisor to the company’s exploration management and
program I also had the responsibility of helping to train
their newly hired G&G staff. The staff was very bright
and eager to learn although most were sorely deficient
in practical matters regarding oil and gas exploration as
would be most newly hired G&G staff. I was working on
a rotation basis spending a few weeks in Mumbai and
then a few weeks back in Dallas in the small office this
company had set up for the staff they had hired from the
U.S. On one visit to our Mumbai office I found a number
of the G&G staff gathered around in deep discussion.
I went over and joined the discussion about various
exploration and G&G subjects. Then without much
thought I asked one of the staff “Why did you come to
work today”? I received a strange look from him and
the others standing around. So I asked the question
again “Why did you come to work today”? He thought
for a moment and then replied, “My boss expects me to
come to work and it is my duty to do so”! I looked at him

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Professional Division Chairman’s Corner

plays and new reserves being added on a regular basis.


In some cases, like North America, it is the shift to un-
conventional resources which has revitalized the indus-
Ron Noble
try. There are also new countries, not historically known
Chairman
for their hydrocarbon potential, that are reporting huge
IPA Professional Division
new discoveries. East Africa (Mozambique) and North-
Niko Resources Ltd.
rnoble [at] nikoindonesia.com west Africa (Ghana) are a couple that come to mind.

The bottom line, there is still plenty of oil and gas to be


Professional Division Members and Friends, found in the world. That certainly is true for Indonesia,
perhaps more so than many other countries. We are not
If we look around the oil business today in Indonesia, running out of resources. We just need the confidence
there are many important issues that need to be ad- and technical skills to find them. Confidence because it
dressed. The most critical of these, in my opinion, is takes individuals who are prepared to follow their con-
reserves replacement and reversing the oil production victions and tell their companies where and how to in-
decline. vest their money. Technical skills, because the easy oil
has been found, and we must now explore for oil in re-
The question that follows is how do we stop the produc- mote or hostile locations.
tion decline? The simple answer is to find and develop
new oil fields, or get more out of existing fields. As an ex- Oil and gas professionals should never become com-
ploration professional, my focus is on reserves replace- placent and rely on what they accomplished yesterday.
ment through discovery and new field development. There are many new things to learn, and many new tech-
nologies to apply. I would encourage all professionals to
Many experts consider Indonesia a “mature” oil prov- attend at least one training class a year and actively par-
ince. However, if you look at an exploration map of this ticipate in technical symposia. You will learn something
vast archipelago, you will notice many under-explored new which can be applied in your work. This will make
sedimentary basins, and a surprising number of totally a big difference, and with a little luck, it will lead to new
un-drilled basins. Look around the world at other “ma- discoveries and reversal of declining production in
ture” countries for oil production, and you will find new Indonesia.

Professional Division Activities 2012 (includes: airfares Jakarta-Surabaya


Solo-Jakarta, airport tax, trans-
portation, board-lodging, refresh-
1. Title : A Brief History of Depth … and ments and field guide book)
Time Seismic Imaging
Speaker : Samuel Gray, CGG Veritas, 3. Title : The Modern and Ancient Mahakam
Calgary - Canada Delta Sedimentology
Dates : February 8 Trip Leader : Irfan Cibaj – Total E&P Indonesie
Venue : Le Meridien - Jakarta Dates : March 23 - 27
Cost : Rp. 325.000 (IPA Member) Cost : US$ 2,700 (IPA Member)
Rp. 385.000 (Non-IPA Member) US$ 2,800 (Non-IPA Member)
(includes: round-trip airfare Jakarta
2. Title : A Field Seminar for Non-Geosci- Balikpapan, airport tax, land / sea
entist from Porong-Pamekasan- transportation, meals, Refresh-
Mudu-Sukowati-Ledok-Kuwu- ments, lodging, and field guide book)
Sangiran
Trip Leader : H.M. Yohannes P. Koesoemo 4. Title : Practical Investment Appraisal and
Sumber Daya Alam Consultant, Business Decision Analysis in Pe-
Cepu, Indonesia troleum Exploration & Production
Dates : February 19 - 23 with special reference to the
Cost : US$ 1,300 Indonesian PSC system

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Instructor : Dr. H.L. Ong - ITB & BPMIGAS 8. Title : Sequence and Seismic Stratigraphy:
Dates : April 9 - 13 Concepts and Applications
Venue : Sheraton Bandung Hotel & Towers Instructor : Dr. Henry Posamentier
Bandung, Indonesia Sr. Geological Consultant,
Cost : TBA Chevron Energy Technology Co.
Dates : October or November (tentatively)
5. Title : Corporate Communications in Venue : Bali
Indonesian Petroleum Industry Cost : TBA
Instructor : H. Kiswanto - Consultant
Dates : May 1 - 3 9. Title : Geological Application of Well Logs
Venue : Royal Ambarrukmo Hotel, Yogyakarta Instructor : Jenny Garnham
Cost : TBA Independent Consultants, UK
Dates : October 29 - November 2
Venue : Holiday Inn Baruna Resort Bali
Cost : TBA
In conjunction with the:
Thirty-Sixth IPA Annual Convention & Exhibition 10. Title : 3-D Seismic Interpretation
Jakarta, May 23-25, 2012 Techniques
Instructor : Alistair R. Brown
IPA will organize 3 or 5 short courses Consulting Reservoir Geophysicist
Dates : November 26 - 30
DETAIL OF THE COURSES WILL BE INFORMED SOON Venue : Bali
Cost : TBA

11. Title : Carbonate Sedimentation, Sequence


6. Title : Petroleum System Analysis: Stratigraphy & Reservoir
Essential Concepts & Methods for Characterization
Increasing Exploration Success and Instructor : Dr. Rick Sarg
Assessing Risks of Plays & Subsurface Consultants &
Prospects Associates, LLC - USA
Instructor : Awang Harun Satyana - BPMIGAS Dates : December 10-14
Dates : June 4 - 8 Venue : Bali
Venue : Solo, Indonesia Cost : TBA
Cost : TBA
12. Title : Petroleum Geology of Deep-Water
7. Title : Applied Subsurface Geological (Turbidite) Depositional Systems
Mapping Instructor : Dr. Roger Slatt
Instructor : Siamak Agah - Subsurface Consul- University of Oklahoma, USA
tants & Associates, LLC - USA Dates : December 10-14
Dates : June 25 - 29 Venue : Bali
Venue : Sheraton Senggigi Beach Resort Cost : TBA
Lombok, Indonesia
Cost : TBA

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Luncheon Talks 2011 limitations on what areas can be accessed by available
lease blocks, surface constraints, etc. Understanding
the spatial variation in the resource density as early as
The first half of 2011 has been extremely active with possible is crucial and finding the appropriate balance of
excellent luncheon talks presented in January, February, volumetric and performance techniques is essential for
March, April and June. Kurt Steffen from ExxonMobil a successful project outcome.
presented a very interesting talk titled “Assessment
of Unconventional Resources” to a full and attentive Assessing the potential hydrocarbon volumes and well
audience at the Le Meridien Hotel in January. This was performance of an opportunity and understanding the
followed by a talk at the Four Seasons Hotel in February full range of possible outcomes is critical for a successful
given by Dr. Dale Issler, Geological Survey of Canada resource assessment. The evaluation process must
and AAPG Distinguished Lecturer titled “Integrated also be scalable to allow the screening of basins, sub-
thermal history analysis of sedimentary basins using regional plays and detailed lease or pilot project areas.
multi-kinetic apatite fission track thermochronology:
examples from northern Canada”. In March, Pak Priyono This talk reviewed the methodology for assessing
from BPMIGAS presented an eagerly awaited talk titled unconventional resources with specific examples from
“Summary of 2010 E&P Activities in Indonesia and ExxonMobil’s work in the Piceance basin in Colorado.
Outlook for 2011” to over 200 participants at the Ritz Both the assessment of shale gas and coal bed methane
Carlton Hotel Pacific Place. This was followed in April were discussed.
by Trey Meckel from Tately N. V. with a excellent talk
at the Le Meridien Hotel titled “Sand-Prone Submarine
Mass-Transport Deposits: Reservoir Characteristics Integrated thermal history analysis of sedimentary
and Classification of an Underappreciated Deepwater basins using multi-kinetic apatite fission track
Facies.” Rounding out the talks for the first half of the thermochronology: examples from northern Canada
year was Dr. Henry Posamentier from Chevron Energy
Technology Company. His talk in June at the Le Meridien At this event in February, Dr. Dale Issler, an AAPG
Hotel was titled “Deep-water sedimentation; seismic Distinguished Lecturer for 2011, shared his insights on
recognition of sand-prone and mud-prone depositional working with apatite fission track data. Apatite fission
elements”. If you missed any of these talks then you track (AFT) thermochronology is a powerful thermal
missed out on discussions of current and relevant topics history analysis approach that is well suited to the study of
to the E&P industry. Come and enjoy excellent technical sedimentary basins. It originated as a geochronological
presentations, a great lunch and network with others dating method in the 1960s but has been continually
working in the Indonesia O&G industry! evolving as new insight has been gained concerning the
time-temperature conditions and mineral compositional
factors influencing the thermal annealing of fission
Assessment of Unconventional Resources tracks in apatite. Fission tracks are linear zones of
crystal damage that result from the spontaneous fission
Around 90 participants from the oil and gas industry of 238U. They are revealed by polishing and etching
attended this event in January. Kurt began his talk by mounted grains, allowing their orientations and lengths
discussing how unconventional resources have taken a to be measured.
more prominent position in many countries with shale
gas and coal bed methane in particular accounting Annealing occurs within and somewhat below the
for significant amounts of natural gas production. He temperature range for petroleum generation and can
mentioned that the government of Indonesia has already thus be used to constrain petroleum generation histories
begun offering CBM PSC’s and they have indicated that through numerical modeling.
they will begin to open tenders for potential shale gas
areas in the near future. Dr. Issler has been applying this state-of-the-art
methodology to thermal history studies of northern
The bulk of the talk was focused on assessing Canadian basins (Beaufort-Mackenzie and Mackenzie
unconventional resources. These tend to be laterally Valley regions in the Northwest Territories) and much
extensive and over broad areas these accumulations can has been learned that challenges existing data analysis
contain large in-place and recoverable volumes. But in and modeling approaches. In these regions, he has
many cases a business opportunity will represent only a found that mixed AFT compositional populations greatly
fraction of the total potential resource as there may be complicate data analysis and thermal modeling.

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Summary of 2010 E&P Activities in Indonesia and Sand-Prone Submarine Mass-Transport Deposits:
Outlook for 2011 Reservoir Characteristics and Classification of an
Underappreciated Deepwater Facies
Pak Priyono from BPMIGAS presented to a full house at
this luncheon held in March. The BPMIGAS talk is a yearly Another large audience in April heard Trey Meckel, Chief
event and generally draws the largest IPA Luncheon Talk Geologist at Tately N.V. in Jakarta talk about sand-prone
audience each year. submarine mass-transport deposits. These deposits are
deepwater deposits that have been underappreciated
The talk addressed six major items: oil and gas upstream by geoscientists as reservoirs and as drilling hazards.
performance in 2010, 2011 oil and gas targets, major Recent studies confirm that sand-prone mass-transport
issues affecting the industry, an evaluation of production deposits are common in the deepwater stratigraphic
in Indonesia, PSC commitment issues and finally record and that they act as significant oil and gas
BPMIGAS initiatives. reservoirs in major global hydrocarbon provinces such
as the Gulf of Mexico, West Africa, and the North Sea.
Oil and gas performance in 2010 was generally good with Furthermore, sand-prone mass-transport deposits
crude oil and condensate lifting achieving 99% of the set filled with locally over pressured gas or water in the
target and the targets met for both government revenue shallow subsurface represent a shallow drilling hazard
and the production decline rate. Both production and that warrants significant consideration in deepwater
revenue rates have shown an increasing trend over the drilling programs.
past three years. However, the one downside was the
increase in the number of fatality accidents during 2010. Mass-transport deposits are defined as sedimentary,
stratigraphic successions that were remobilized after
Pak Priyono revealed BPMIGAS’s targets for 2011 that initial deposition but prior to substantial lithification,
include oil production of 970 MBOPD, gas lifting of and transported downslope by gravitational processes
7770 BBTUD and USD 26 billion of government revenue as non-Newtonian rheological units. Individual mass-
from O&G activities. Drilling and well work over targets transport deposits may consist of one or many beds,
include 224 exploration wells, 872 development wells and, depending on the pre-existing stratigraphy that
and 621 well walkovers. has been remobilized, mass-transport deposits may be
sand-prone or mud-prone.
Also outlined were several key issues affecting the
industry including the need of some PSCs to cut Trey’s presentation utilized personal observations, as
production to fulfill environmental requirements and well as published examples from producing fields, the
the attempt at requiring Indonesia-flagged vessels seafloor and shallow subsurface, outcrops, and flume
for offshore O&G activities. Pak Priyono stated that tank experiments to illustrate specific criteria that aid in
BPMIGAS and the IPA are both working to resolve the the recognition of sand-prone mass-transport deposits
cabotage issue. in the subsurface. Many of the criteria presented to
identify sand-prone mass-transport deposits are
A downward trend in total production beginning in August individually valid for deepwater channels and/or injected
2010 was discussed with the largest single contributing sands. None of the criteria presented are sufficient by
factor being the number of unplanned shutdowns. Two themselves to distinguish between a mass-transport
lists were presented, one of 2011 production “Top 5 Par deposit and a turbidite system. However, in aggregate,
Performers” and one of “Top 5 Below Par Performers”. the criteria are sufficiently diagnostic to identify mass-
Pak Priyono made some light-hearted comments and transport deposits that are likely to be reservoir-prone,
encouraged the “Below Par” performers to do better as and have a reasonable probability of discriminating them
the year progresses. His discussion on PSC commitment from other genetic units.
issues was then largely focused on discussing specific
clauses in PSC contracts that are targeted at reducing Trey’s talk was very well received and a lively question
unplanned shutdowns and BPMIGAS initiatives such and answer session followed.
as increased field inspections to aid in addressing this
problem.
Deep-water sedimentation; seismic recognition of
This was an excellent summary of the activities and sand-prone and mud-prone depositional elements
issues in the Indonesia O&G industry. We look forward
to next year’s talk. Dr. Henry Posamentier’s talk in June drew yet another

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January 2012 4th Edition

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very large audience that were treated to an excellent Please contact the Luncheon Talks Chairman:
review of deep-water depositional deposits.

Deep-water environments are populated by a range Mark A. Thomsen


of depositional elements, some of which are sand ExxonMobil Oil Indonesia
prone whereas others are mud prone. Many of these
elements have distinctive seismic expression. Henry’s (021) 571-5129
presentation focused on the seismic stratigraphic and mark.thomsen [at] exxonmobil.com
seismic geomorphologic expression of these deposits.

Three-dimensional seismic data can provide insight not with suggestions or volunteers for future talks. Topics
only as to lithologic content but also as to the processes should be relevant to exploration and production in
responsible for their formation. Deep-water sand prone Indonesia or be of interest to a wide range of disciplines.
systems commonly are associated with sand-rich shelf
edge systems where sands are delivered from hinterland See you at the next IPA Luncheon Talk!
areas and staged for delivery into deep-water settings on
the slope and basin floor. Sands travel within turbidity
currents through slope valleys and onward across basin
floors within leveed channels. As levees, which confine
and contain turbidity currents, become progressively
lower down-system, leveed channels ultimately give
way to terminal lobes made up of numerous bifurcating
weakly-confined channels.

In contrast with these sand-prone turbidite deposits,


mud-prone mass transport deposits (MTD’s) are
a common depositional feature in deep-water
environments. These commonly originate in the mid to
upper slope and can travel great distances across the
slope and basin floor, commonly bulking up as they go,
by eroding the mud-prone lower slope and basin floor.
The seismic expression of these deposits is distinctive
and provides insights as to rheology and genesis.

Another common type of deposit in deep water is


sediment waves, usually mud-prone. These features
commonly form on the lower slope to proximal basin
floor and are associated with weak contour currents
or channel overbank flows. These linear waveforms
usually are characterized by up-current accretion. In
addition to the aforementioned depositional elements,
the background sedimentation by hemipelagic and
pelagic processes commonly is a significant component
of deep-water stratigraphic sections.

This was an excellent talk and a great way to end the


first half of 2011. The IPA Professional Committee has
a number of excellent speakers lined up for the second
half of 2011, so be on the lookout for future IPA Luncheon
announcements.

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Deepwater Operation: Challenges in Future Response Requirements for Oil Spill Incidents

Author:
Yoppy Tan, Senior Preparedness Development Executive
PT Oil Spill Response Indonesia
Indonesia Stock Exchange Tower II, 17th Floor
Jl. Jenddral Sudirman Kav. 52-53, Jakarta 12190, Indonesia
E-mail: yoppytan [at] oilspillresponse.com
Web: www.oilspillresponse.com

There has been a significant reduction in marine related oil spills due to the improvements in regulations, ship manage-
ment and ship construction. Unfortunately in the oil exploration and production industry there has been a number of high
profile incidents that have brought to attention the need for better risk management. Risk being a factor of the likelihood
of an event and the impact of that event; even though the impact of recent events has been high the likelihood was low
and the risk therefore assumed to be low. That is no longer the case and the risk is assessed as much higher.

The Macondo incident in the Gulf of Mexico was the major trigger event although there have been others no so dramatic.
The public is now more aware on the impact an oil spill can cause and hence there are higher expectations that the In-
dustry will learn from this event and get as much prepared as possible to response to such spill should it occurs. Closer
to home, the Montara incident in 2009 in Timor Leste, though it was not as big as the Macondo in terms of the scale of oil
spill area, have also served as another wake-up call that blow-out scenario is a probable event.

Since the Macondo incident, the oil industry has developed a number of initiatives to review how oil spills can be pre-
vented and better managed in the event of their occurrence. American Petroleum Institute (API), UK Oil and Gas and
International Association of Oil & Gas Producers (OGP) have all had working parties and joint task forces considering how
to better mitigate the risk in the future.

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In the graph above, it shows the escalation of the scale of oil spills from Tier 1 to Tier 3 as will normally be stated in Oil
Spill Contingency Plan (OSCP) document. Tier 1 spill refers to operational-type spills that may occur at or near com-
pany’s own facilities as a consequence of its own activities. An individual company would typically provide resources to
respond at this Tier. Tier 2 spills refer to a larger spill in the vicinity of a company’s facilities where resources from other
companies, industries and possibly government agencies can be called in on a mutual aid basis. Tier 3 spill refer to
larger spills where substantial further resources will be required and support from national or international cooperative
stockpile may be necessary. Well blowout scenario will normally be considered as Tier 3 type of spill.

For Tier 3 scenario (eg. well blowout), the oil industry is now expected to include well risk assessment report, have ac-
cess to International Oil Spill Response Organisations (OSROs), access to capping and containment devices and have in
place a source control plan.

OGP have looked at the risks associated with the drilling and production of oil not just from deepwater but also with a
focus on the heightened risks associated with the ever increasing frontier exploration. Risk is analysed using the bow
tie principle with an assessment of the actions needed in advance of an incident, (i.e. the prevention aspect), the controls
and barriers that should be in place of the incident itself and the mitigating actions post to the incident.

OGP, similar to the actions taken by the other groups has also split their activities into three work groups that in them-
selves mirror the analysed areas:
1. Well design and management;
2. Capping and containment;
3. Oil spill response.

The output from these work groups is just being made available; it is clear that the industry has done a lot but a lot more
will be done.

The oil industry must recognise that there will be a greater regulation in place surrounding deepwater operation. We can
already see this happening in the US with its drilling moratorium that was in place; in Australia, AMSA (Australia Mari-
time Safety Authority) just revised their National Plan which reflect the need of more resources and encourage operators
to publish their OSCP online make it available for public to view; in Europe, regulators are trying to push for the adop-
tion of Effective Daily Recovery Capacity (EDRC) concept which suppose to determine the amount of oil spill response
resources required for certain amount of spill exposure.

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For deepwater activities, and in fact in most of the exploration and producing areas of the US, UK and Europe, there is a
desire to see capping and containment devices readily available to deploy immediately an incident occurs. These devices
are being designed and produced set up to deploy at a significant expense. Oil spill response processes and tools are also
under review by regulators in those regions and in particular how lessons learned from Macondo can be brought to bear.

Importantly there need to be a substantive communication programme organised by the oil industry necessary to com-
municate the scope of work the working groups have undertaken, the contingencies that have been put in place and the
new developments that will be important to adopt. Some issues such as in-situ burning of oil and the use of subsea
dispersants are not fully understood or accepted by regulators or other influential bodies. These are not simple solutions
to all spills; rather they are important tools in the tool box of spill response and as such all have a role to play. To deny
responders the opportunity of using them due to prejudice from lack of real knowledge would be a mistake.

NEBA (Net Environmental Benefit Analysis) concept is a very useful method of assessing viability. This concept if com-
municated and understood clearly, will serve as a good justification of using some of the more ‘sensitive’ oil spill re-
sponse tools (eg. in-situ burning and sub-sea dispersant).

The questions remains as to whether the introduction of these initiatives is sufficient or whether there is a need for a
regulatory regime to bring about the sort of improvements in oil spill incidents noted in the marine industry? The typical,
and in fact expected response is that there should be more regulation but before there is a knee jerk reaction the oil spill
record should be examined and a measured approach considered. In the same manner, as we address risks we should
address the value and impact of regulations and perhaps focus more on ensuring a better understanding of the response
options and clearing the way to more effective use of all the tools.

In conclusion, risks can be reduced either by reducing the likelihood of the event or by reducing the impact. These ac-
tivities by the oil industry will do that. In the oil spill response industry, we will see not only more tools in our tool boxes
but more resources available to us. These will be made available not only through the recruitment of new response
personnel and the purchase of new equipment but through a better integration of the vast amount of resources already
available around the globe. It remains however that the best risk reduction is in preventing the spill from happening in
the first place.

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Field Trip

Walter Ziza
Fieldtrip Chairman
IPA Professional Division Yohannes Koesoemo, from 21st to 24th February, in the
Talisman (Asia) Ltd. Solo-Kuwu-Cepu-Porong-Suramadu area, with a total of
wziza [at] talisman-energy.com 20 attendees.

This trip is intended as an introduction to the petroleum


Field Trips 2011 system of the northeast Java Basin, a very well known
and historical hydrocarbon province of Indonesia. The
Following a long standing tradition of delivering main aspects of the exploration methods and associated
professional and relevant field programs, this continued drilling activities, production operation, traditional and
through 2011 with the IPA organizing a number of modern, are described in detail during the four days of
educational field trips across the Indonesian archipelago this trip.
for members and non-members of the Association.
These fieldtrips are always designed to provide
educational training for individuals and petroleum
companies working in the country or having an interest
in the geology of Indonesia.

During the course of the year five fieldtrips have been


conducted, coupling traditional areas of interest for the
oil and gas operators, like the Mahakam delta, to some
relatively new areas, not visited in recent years and the
object of modern reflections in terms of exploration.

This plan is in response of massive exploration activity,


particularly focusing on new hydrocarbon provinces and
basins in Indonesia, so far not entirely understood and
poorly explored.

Modern and Ancient Mahakam Delta Sedimentology

The second trip of the year was another classic technical


trip dedicated to geoscientists: Modern and Ancient
Mahakam Delta Sedimentology. It was run in April and
conducted by Irfan Cibaj (Total) as leader, with a total of
15 attendees. We greatly appreciate the assistance of
Total E&P Indonesie in making this trip possible.

The field trip was split into three phases: the first day
was spent in the modern Mahakam delta, observing
main sedimentary processes of a modern deltaic system.
The following three days were dedicated to the outcrops
around Samarinda to examine rocks equivalent of the
subsurface formations: turbidites, carbonate rocks,
Geological Trip to Cepu Area for Non-Geoscientists shelf deposits and deltaic deposits with distributary
channels and mouth bars. Finally, half-a-day was spent
The first trip of the year was the classic Geological in the lab to examine a number of cores made available
Trip to Cepu Area for Non-Geoscientists, conducted by by the industry.

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Petroleum Geology of South Sumatra Basin One particular stop was quite exciting near Sengkang,
there is evidence of gas seepage and the group could
Dr. Alit Ascara of Talisman led the third trip of the even light the gas flowing from the terrain.
year: Petroleum Geology of South Sumatra Basin, from
6th to 10th May, with the participation of 13 persons. In the following days the trip was focused on the
Outcrops of the Talang Akar Formation (TAF) sandstone observations of the Toraja Formation sandstone, as
and the Baturaja Formation (BRF) carbonates were the well as an outcrop of volcanoclastic turbidite, very well
main objectives of the fieldtrip, aiming to increase the preserved, with evident beddings and other sedimentary
understanding of reservoir rocks of the South Palembang structures.
Sub-basin. New aspects of the depositional mechanism
and diagenesis, vertical/lateral facies variations, porosity In the last day the participants had also the occasion to
distribution and implication in geological modeling see a modern reef sedimentation process, snorkeling
and seismic interpretation have been considered in an along the coast of Semalona Island, West of Makassar.
intense five days of field work.
This field trip was also an excellent combination of
Carbonate Model, Petroleum System and Volcanism of geoscience and cultural aspects,: during the trip the
South Sulawesi group of geoscientists had the opportunity to appreciate
the diversity of costumes and habits of the South
After many years, IPA organized a field trip in a region Sulawesi communities, including the celebrated spicy
that recently saw very interesting exploration activity: food of that region of Indonesia.
South Sulawesi. Dr. Alit Ascara (Talisman) also led
the fourth trip of the year Carbonate Model, Petroleum
System and Volcanism of South Sulawesi, from 21st to
26th September with the participation of 8 geoscientists.

This IPA field trip was designed to give to participants


an exposure to the proven petroleum system of the
Sengkang Basin: source rock outcrops of Lower Eocene
Malawa Formation, Eocene-Oligocene carbonate and
sandstone (Tonasa/Toraja and Malawa Formations)
reservoirs, hydrocarbon bearing reservoir of Miocene
limestone Tacipi Formation and marl of Walanae
Formation as an active seal.

Since volcanism in this region is quite extensive, the


trip was also intended to visit outcrops of volcanic
rocks, from Eocene to Middle Miocene in age (Langi and
Camba Formations) to evaluate in the field, the scale
and the geological setting of volcanic rocks compared to Stratigraphy and structure Oligocene Rajamandala
carbonate build-ups (a possible seismic interpretation Limestone
issue, differentiating volcanics from carbonate build-
ups). In the last quarter of 2011, from 31st October to 3rd
November 9 geoscientists attended a new field trip to
In the first two days the participants had the chance Bandung, West Java, to study the Oligocene Rajamandala
to visit outcrops of source rocks and reservoirs, in the Limestone. The trip was as conducted by Benyamin
western and eastern regions of South Sulawesi. These Sapiie (ITB) and Toni Simo (URC Exxon Mobil Houston).
outcrops are direct analogues for Kampung Baru gas
field in Sengkang Basin. The scenery of this area is The group met in Bandung to have an initial introduction
outstanding: nice view of mountains, valleys and rivers. to the area and safety. The following two days were
More than 20 sites have been visited along 600km of dedicated to field activities; the first day was spend looking
roads in the South Sulawesi island, inducing several at the platform margin and onlap by calciturbidites, and
considerations on the tectonic setting and differences in the second day focused on the drowning of the platform
the age of collision of the Latimojong mountains fold belt. and mixed clastic-carbonate succession capping the

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January 2012 4th Edition

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Rajamandala limestone. The last day was dedicated to IPA Fieldtrip Program for 2012
the description of three cores drilled behind the outcrop
and discussions centered on correlation pitfalls. Looking forward to 2012, the field trips proposed for
next year include further re-runs of classic field trips
The key concepts covered in the IPA field trip were (Mahakam Delta trip, Cepu trip and the trip to South
stratigraphic architecture, correlation, sequence Sumatra).
stratigraphy, facies and fracturing partition. The
Rajamandala Limestone exposures are exceptional with The successful field trip on the western coast of South
outcrops showing geometries similar to subsurface Sulawesi, could be rescheduled, particularly if the
seismic examples. In addition, these outcrops are upcoming exploration activities in the area will produce
easily accessible and it is possible to walk through a the expected results.
well preserved toe-of-slope to margin succession, walk
around a sequence boundary, and trace laterally for 100’s A field trip in East Indonesia is also being considered given
of meters, calciturbidites onlapping a platform margin. the intense exploration activities currently conducted in
The exposures also show backstepping of carbonates the region. This will require comprehensive preparation
and karsting and drowning of the carbonate platform. work, considering the logistic difficulties to visit these
Fracture and stylolite distribution based on facies and remote locations. Nevertheless I’m quite confident
stratigraphy is prominent and related to the deformation that the interest in these regions will overcome all the
of the Rajamandala limestone. The cores show the possible difficulties.
challenges when correlation carbonates without a
conceptual understanding of how carbonates form. Not far from Jakarta there is an amazing example of
modern carbonate depositional systems the Pulau
Overall, the field trip and core workshop were well Seribu (or “Thousand Islands”) archipelago.
received and the participants engaged into multiple
open discussions related to carbonates and fractures, Moving slightly forward, another amazing location
and how to apply the concepts in the subsurface. to study carbonate depositional systems is in the
Karimunjava archipelago. It’s a bit more than one
hundred kilometers to the north of Semarang,, in the
beautiful Java sea.

Both locations are candidates for a trip to study Modern


Carbonate Environments and Depositional Systems.
These field trips are being planned in the course of 2012.

Any other suggestion from colleagues in the Indonesian


oil and gas community would be very welcome. Our
commitment is to improve the offering of geological
trips and be able to satisfy the requirements coming
from industry and academia.

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January 2012 4th Edition

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Drilling Highlights
First Half 2011 Offshore in the West Java Sea, CNOOC has returned to
exploration drilling in the OSES PSC with two successful
wells, discovering oil at Leyana 1 in the Asri sub-basin
and gas at Zahra 1 close to the Banuwati field, both
Mark Harris drilled using COSL’s “Hai Yang Shi You 937” jack-up.
di international
55B Amoy Street Onshore East Java, ExxonMobil has made a further
Singapore 069881 significant discovery in the Cepu PSC with wildcat
mark.harris@diiinfo.com Kedung Keris 1. The well, located 10km to the west of
Tel: +65 6225 1153 the Sukowati oil field, intersected an oil column of 171m
Fax +65 6225 1197 in the target Kujung Formation carbonates.
Mobile: +65 9620 7698
In the East Java Sea, no new wells had been spudded by
To respect confidentiality, details are minimized unless in the public
the time of going to press.
domain. All information from di international WEB+ and associated
data listings. Ongoing wells not included. NATUNA
“Editors Note: following article was current at time requested from
Contributor, but with one Editor retiring and other co-editor relocating
In the East Natuna Sea Tuna PSC, Premier is currently
to Sumatra - publishing date slipped.” drilling wildcat Gajah Laut Utara 1 using the Diamond
“Ocean General” semi-sub in 122m of water. The result
2011 DRILLING TO DATE (Fig 1) of this well will be reported in the next newsletter.

As of early June as we go to press, the following is a brief TARAKAN


summary of significant exploration drilling activities so
far this year. Offshore Tarakan, Eni drilled Borago 1 (dry) in the Bukat
PSC using the “GSF Explorer” drillship. The rig was then
SUMATRA relocated to the eastern Makassar Strait to continue its
multi-client contract (see below).
No activity has taken place in 2011 to date in the North
and Central Sumatra basins. MAKASSAR STRAIT

As has been the case in recent years, the South Sumatra On the eastern side of the Strait, the “GSF Explorer”
Basin continues to dominate in terms of drilling activity drillship was used by Marathon to drill Romeo B1 and
levels. Bunga Mas International Co. has temporarily Romeo C1 in the Pasangkayu PSC. Unfortunately, both
halted its multi-well drilling campaign in the Bunga these wells were unsuccessful and it has been reported
Mas PSC pending the arrival of a suitable drilling rig that Marathon will relinquish the block. The rig was then
after suspending its first three wells as gas discoveries taken by ConocoPhillips to drill wildcat Kaluku 1 in the
in 2010. PT Pertamina discovered oil in Batu Raja Kuma PSC, the result of which will be reported in the
Formation carbonates at Manduru 1, then confirmed next newsletter.
gas discoveries with wildcats Semparuti 1 and Sagu 1.
PT Tropik Energi successfully drilled delineation well SULAWESI
Ario Damar 3 (oil & gas) in the Pandan PSC. Finally, Pan
Orient reported a gas discovery in the Batu Gajah PSC in Onshore Sulawesi, Tately reported that wildcat LG-1 in
Talang Akar Formation sandstones with wildcat North the Lariang Basin Budong-Budong PSC resulted in a
Tuba Obi 1ST. gas and condensate discovery in Kalumpang Formation
sands.
JAVA
MALUKU & PAPUA
PT Pertamina’s 2010 success in its onshore West Java
drilling has continued into 2011, with an oil & gas Onshore Seram, CITIC confirmed oil at Oseil Selatan 1 in
discovery in Talang Akar Formation sandstones reported the Seram PSC, and has since spudded delineation well
at Pondok Tengah Raya 1. Oseil Selatan 2. Meanwhile, onshore Papua, Genting

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January 2012 4th Edition

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confirmed that after almost 10 months since spud, Murphy’s 6,700m Lengkuas 1 in the Semai II PSC, being
Asap 1XST in the Kasuri PSC resulted in a multi-Tcf gas drilled using the Diamond “Ocean Rover” semi-sub, the
discovery in Roabiba Formation sandstones. result of this to be reported at a later date.

Offshore, ConocoPhillips drilling of two multi-Tcf With several high profile wells remaining to be drilled
prospects using the “Ensco 104” jack-up ultimately in 2011, we hope to bring you news of more significant
proved unsuccessful. The first well was Aru 1 in the discoveries very soon. In the meantime, best of luck to
Amborip VI PSC which was followed by Mutiara Putih all operators and partners in their endeavours.
1 in the Arafura Sea PSC. Attention is now focused on

Fig 1: Successes to Date in 2011


SULAWESI ONSHORE PAPUA
Tately – LG-1 (gas & condensate) Genting – Asap 1ST (gas)

SOUTH SUMATRA
Pan Orient – NTO-1ST (gas)
PT Pertamina – MDR-1 (oil)
PT Pertamina – SAG-1 (gas)
PT Pertamina – SPR-1 (gas)
PT Tropik Energi - Ario Damar 3 (oil & gas)

WEST JAVA SEA


CNOOC – Leyana 1 (oil)
CNOOC – Zahra 1 (gas)

WEST JAVA ONSHORE


PT Pertamina – PTR-1 (oil & gas)

EAST JAVA ONSHORE SERAM


ExxonMobil – Kedung Keris 1 (oil) CITIC – Oseil Selatan 1 (oil)

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January 2012 4th Edition

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Global E&P Calendar
Mar 19-21
12th China International Petroleum & Petrochemical Technology and
Equipment Exhibition (CIPPE 2012)
Beijing
Zhenwei Exhibition Co. Ltd
www.cippe.com.cn

Mar 20-21
Excellence in Oil and Gas
Simon Crellin Sydney
Director, Petroleum Services Resourceful Events
Deloitte LLP (UK) www.resourcefulevents.com
email: sicrellin [at] deloitte.com
Mar 20-21
8th Deepwater Technology Asia (DTA) 2012
Jakarta
PetroMin
2012 www.safan.com
Asia Pacific Conferences and Exhibitions
Mar 20-21
Feb 7-9 Advanced Contract Risk Management for Oil and Gas Asia
International Petroleum Technology Conference (IPTC) Kuala Lumpur
Bangkok IQPC
AAPG, EAGE, SEG & SPE (hosted by PTTEP) www.contractriskmanagementasia.com
www.iptcnet.org/2011/
Mar 22-23
Feb 21-23 3rd Onshore Technology Asia 2012
7th Annual Offshore Asia 2012 Jakarta
Kuala Lumpur PetroMin
PennWell www.safan.com
www.offshoreasiaevent.com
Mar 22-23
Feb 26-29 3rd Annual Unconventional Hydrocarbons Summit 2012
22nd Australian Society of Exploration Geophysicists (ASEG) Confer- Beijing
ence and Exhibition 2012 Brisbane China Decision Makers Consultancy (CDMC)
ASEG www.cdmc.org.cn
www.aseg2012.com.au
Mar 27-29
Feb 27-Mar 1 FutureGas 2012
2nd Annual Offshore Indonesia Oil & Gas Brisbane
Jakarta Great Southern Press
IBC Asia www.futuregas.com.au
www.indooilgas.com
Mar 27-30
Mar 5-8 Global LNG Summit
LNG Supplies for Asian Markets (LNGA) 2012 Singapore
Singapore IBC Asia
Conference Connection www.globallngsummit.com
www.cconnection.org
Apr-13
Mar 6-7 SEAPEX Technical Forum & Farmout Forum
Oil & Gas Risk Management 2012 Singapore
Kuala Lumpur SEAPEX
JFPS Group www.seapex.org
www.jfpsgroup.com
Apr 16-19
Mar 6-8 LNG Outlook Asia 2012
Permit Approvals NSW Singapore
Newcastle AU Terrapinn
Resourceful Events www.terrapinn.com/2012/lng-outlook-asia/
www.resourcefulevents.com
Apr 19-20
Mar 13-14 7th Annual Asia Gas Congress
Oil Products Forum Asia Beijing
Langkawi China Decision Makers Consultancy (CDMC)
Conference Connection www.cdmc.org.cn/gas2012
www.cconnection.org
Apr 23-24
Mar 15-16 Petroleum Geoscience Conference and Exhibition (PGCE
Condensate and Naptha Forum 2012)
Langkawi Kuala Lumpur
Conference Connection Geological Society Malaysia & Petronas (Managed by EAGE)
www.cconnection.org www.eage.org/events

Mar 18-20 Apr 23-26


2nd Annual Offshore Convention FPSO
Ho Chi Minh City Singapore
Neoventure IBC Asia
www.neoventurecorp.com/oc/vietnam www.ibc-asia.com

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January 2012 4th Edition

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Feb-06
Apr 23-26 Data & Knowledge Management Programme as Basic Keys to
Offshore Drilling Rigs Achieve Technology and Operational Excellence
Singapore Bangkok
IBC Asia SPE
www.ibc-asia.com www.spe.org

Apr 23-26 Feb-06


Offshore Support Vessels Diagnosis & Analysis of Waterfloods
Singapore Bangkok
IBC Asia SPE
www.ibc-asia.com www.spe.org

Apr 25-26 Feb-06


E&P Information, Data and Knowledge Management APAC Microseismic Monitoring in Oil & Gas Reservoir
Singapore Bangkok
SMI SPE
www.smi-online.co.uk www.spe.org

May 13-16 Feb 6-10


APPEA 2012 Well Test Design and Analysis
Adelaide Perth
APPEA PetroSkills/OGCI
www.appea.com.au www.petroskills.com

May 23-25 Feb 8-10


36th Annual Indonesian Petroleum Association (IPA) Convention and Workshop on EM in Hydrocarbon Exploration
Exhibition 2012 Singapore
Jakarta EAGE
IPA www.eage.org
www.ipa.or.id
Feb 12-14
May 30-Jun 2 Petroleum Risk Analysis & Portfolio Management
LNG Terminals Kuala Lumpur
Singapore PetroEDGE (Quote SEAPEX or IPA for 5% discount)
IBC Asia www.petroedgeasia.net
www.ibc-asia.com
Feb 13-14
Jun-01 Fundamentals of Oil & Gas Exploration and Production
Shale Gas Series: The Asia Pacific Summit Singapore
Beijing IBC Asia
CWC www.ibc-asia.com
www.thecwcgroup.com
Feb 13-15
Jun 4-8 Engineering, Procurement & Construction (EPC) Project Manage-
25th World Gas Conference & Exhibition ment for the Oil & Gas Industry
Kuala Lumpur  Kuala Lumpur
CWC & ETF  UNI Strategic
www.wgc2012.com www.unistrategic.com

Jun 25-26 Feb 13-16


2nd Mobile Offshore Drilling Units Convention 2012 Petroleum Project Economics and Risk Analysis
Singapore Bali
PetroMin IHRDC
www.safan.com www.ihrdc.com

Jun 25-27 Feb 13-16


17th Asia Oil Week Optimised Drilling and Well Completion Masterclass
Singapore Kuala Lumpur
Global Pacific & Partners Neoedge
www.petro21.com www.neo-edge.com

Feb 15-17
Fractured Carbonate Reservoirs Geoscience Technology Workshop
(GTW)
2012 Bali
AAPG & EAGE
Asia Pacific Training Courses and Workshops www.aapg.org/gtw/bali2012/index.cfm
Jan 30-31 Feb 16-17
Drilling Essentials for New Engineers and Non-Technical Profes- SEAPEX Introduction to the Oil & Gas Industry (Exploration and Pro-
sional in Oil & Gas duction) for Non-technical staff
Miri Singapore
PetroEDGE (Quote SEAPEX or IPA for 5% discount) SEAPEX
www.petroedgeasia.net www.seapex.org
Jan 30-Feb 3 Feb 16-17
Basic Reservoir Engineering 2 Day MBA in Oil & Gas Contracts & Negotiation
Perth Sydney
PetroSkills/OGCI Terrapinn
www.petroskills.com  www.terrapinn.com

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January 2012 4th Edition

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Feb 19-23 Feb 23-24
High Pressure High Temperature Engineering Fundamentals of Seismic for Non-Geophysicists
Kuala Lumpur Perth
PetroEDGE (Quote SEAPEX or IPA for 5% discount) PetroSearch
www.petroedgeasia.net www.petrosearch.com.au

Feb 19-23 Feb 26-27


A Field Seminar for Non-Geoscientists from Porong-Pamekasan- Drilling Essentials for New Engineers and Non Technical Profession-
Mudi-Sukowati-Ledok-Kuwu-Sangiran (Field Trip) als in Oil & Gas
Indonesia (Java) Kuala Lumpur
IPA PetroEDGE (Quote SEAPEX or IPA for 5% discount)
www.ipa.or.id www.petroedgeasia.net

Feb 20-21 Feb 26-29


Introduction to Exploration and Production for New Engineers and Applied Enhanced Oil Recovery & Project Management
Non Technical Professionals Kuala Lumpur
Kuala Lumpur PetroEDGE (Quote SEAPEX or IPA for 5% discount)
PetroEDGE (Quote SEAPEX or IPA for 5% discount) www.petroedgeasia.net
www.petroedgeasia.net
Feb 26-30
Feb 20-22 Deepwater Well Engineering
LNG Spot Trading Kuala Lumpur
Singapore PetroEDGE (Quote SEAPEX or IPA for 5% discount)
PetroEDGE (Quote SEAPEX or IPA for 5% discount) www.petroedgeasia.net
www.petroedgeasia.net
Feb 27-29
Feb 20-23 Fractured Reservoir Characterisation
SPE/SEG Joint Workshop-Geopressure Assessment and Its Impact Kuala Lumpur
on Wellbore Construction PetroEDGE (Quote SEAPEX or IPA for 5% discount)
Phuket www.petroedgeasia.net
SPE/SEG
www.spe.org Feb 27-29
Project Management for Oil & Gas Professionals
Feb 20-23 Kuala Lumpur
Advanced FPSO Operational Excellence PetroEDGE (Quote
Singapore SEAPEX or IPA for 5% discount)
Uni Strategic www.petroedgeasia.net
www.unistrategic.com
Feb 27-Mar 2
Feb 20-24 OSV and Charterparty Management
International Gas Business Workshop Singapore
Bali PetroEDGE (Quote SEAPEX or IPA for 5% discount)
IHRDC www.petroedgeasia.net
www.ihrdc.com
Feb 27-Mar 2
Feb 20-24 Advanced Seismic Data Processing
Petroleum Geology Kuala Lumpur
Kuala Lumpur PetroEDGE (Quote SEAPEX or IPA for 5% discount)
NExT www.petroedgeasia.net
www.nexttraining.net
Feb 28-Mar 1
Feb 20-24 Production Sharing Contracts and International Petroleum Fiscal
Analysis and Development of Tight Gas Reservoirs Systems Module I
Kuala Lumpur Kuala Lumpur
NExT Conference Connection
www.nexttraining.net www.cconnection.org

Feb 20-24 Feb 29-Mar 2


Advanced Seismic Interpretation FPSO/Floating Production Technology for Offshore Oil & Gas Produc-
Brisbane tion
NExT Kuala Lumpur
www.nexttraining.net IBC Asia
www.ibc-asia.com/fpso
Feb-21
Introduction to Petroleum Exploration Mar 5-7
Perth 3 Day MBA in LNG
PetroSearch Singapore
www.petrosearch.com.au Terrapinn
www.terrapinn.com
Feb 21-23
3 Day MBA in Oil & Gas Mar 5-8
Sydney LNG Supplies for Asian Markets (with workshops)
Terrapinn Singapore
www.terrapinn.com Conference Connection
www.cconnection.org
Feb-22
Introduction to Petroleum Drilling Mar 5-8
Perth Petroleum Exploration and Production
PetroSearch Bali
www.petrosearch.com.au NExT
www.nexttraining.net

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Mar 5-9 Mar 19-23
Basic Geophysics Subsurface Facies Analysis - Integrating Borehole Images & Well Logs
Kuala Lumpur with Rock Physics and Seismic Data to develop Geologic Models
PetroSkills/OGCI Bangkok
www.petroskills.com  NExT
www.nexttraining.net
Mar 5-9
AVO, Inversion and Attributes in Seismic Interpretation Mar-20
Kuala Lumpur Unconventional Gas
PetroSync Beijing
www.petrosync.com PetroEDGE (Quote SEAPEX or IPA for 5% discount)
www.petroedgeasia.net
Mar 5-16
Exploration and Production Process Basics: Understanding the Petro- Mar-20
leum Industry Value Cycle Introduction to Petroleum Exploration
Kuala Lumpur Melbourne
PetroSkills/OGCI PetroSearch
www.petroskills.com  www.petrosearch.com.au

Mar 11-22 Mar 20-21


Oil Production and Processing Facilities Drilling Essentials for New Engineers and Non-Technical Professional
Kuala Lumpur in Oil & Gas
PetroSkills/OGCI Beijing
www.petroskills.com PetroEDGE (Quote SEAPEX or IPA for 5% discount)
www.petroedgeasia.net
Mar 12-14
Post Drilling & Completions - Deepwater Operations Mar-21
Kota Kinabalu Introduction to Petroleum Drilling
SPE Melbourne
www.spe.org PetroSearch
www.petrosearch.com.au
Mar 12-16
AVO, Inversion and Attributes: Principles and Applications Mar 21-22
Kuala Lumpur Offshore Drilling and Floating Production Systems
PetroSkills/OGCI Beijing
www.petroskills.com  PetroEDGE (Quote SEAPEX or IPA for 5% discount)
www.petroedgeasia.net
Mar 12-16
Interpret multi-well Pressure Depth Plots from DSTs and Mar 22-25
RFTs Fractured basement reservoir along the coast of South Vietnam (Field
Kuala Lumpur Trip)
PetroEDGE (Quote SEAPEX or IPA for 5% discount) Vietnam
www.petroedgeasia.net SEAPEX
www.seapex.org
Mar 12-16
Global Tectonics and Geological Prospecting Tools for Explora- Mar 23-27
tion The Modern and Ancient Mahakam Delta Sedimentology (Field Trip)
Semarang Indonesia
NExT IPA
www.nexttraining.net www.ipa.or.id

Mar 14-16 Mar 25-28


Fundamentals of Petroleum Geomechanics Integrated Project Management: Innovative Approaches for a New Era
Perth Phuket
NExT SPE
www.nexttraining.net www.spe.org

Mar 15-16 Mar 26-27


Unconventional Hydrocarbon Plays in Asia (GTW) Drilling Essentials for New Engineers and Non-Technical Professional
Singapore in Oil & Gas
AAPG Kuala Lumpur
www.aapg.org/gtw/singapore2012/index.cfm PetroEDGE (Quote SEAPEX or IPA for 5% discount)
www.petroedgeasia.net
Mar 19-23
Progressing Cavity Pumps Mar 26-28
Kuala Lumpur Coal Seam Gas Project Reality
PetroSkills/OGCI Brisbabe
www.petroskills.com CWC School for Energy
www.thecwcgroup.com/training
Mar 19-23
Interpret multi-well Pressure Depth Plots from DSTs and Mar 26-29
RFTs Petroleum Exploration and Production
Perth Kuala Lumpur
PetroEDGE (Quote SEAPEX or IPA for 5% discount) NExT
www.petroedgeasia.net www.nexttraining.net

Mar 19-23 Mar 26-30


Geology of Clastic Reservoirs Prospect and Play Assessment
Ho Chi Minh City Kuala Lumpur
NExT PetroSkills/OGCI
www.nexttraining.net www.petroskills.com 

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January 2012 4th Edition

Newsletter
Ganti Wajah
IPA COMPANY MEMBER

New Representative

JAPEX Co. Ltd.


Minoru KUNIYASU, General Manager

Lundin Oil & Gas B.V.


Jan Rijs, General Manager

Pearl Oil (Tungkal) Limited


Christopher Breckenridge, Acting President

IPA INDIVIDUAL MEMBERS

Batara Simanjuntak Paolo Tognini


New office address: New office address:
Lundin Oil & Gas B.V. PearlOil (Sebuku) Ltd.
Plaza Great River, 8th Floor Wisma Pondok Indah 2, Suites 801 & 900
Jl. H.R. Rasuna Said Kav. X-2/No.1 Jl. Sultan Iskandar Muda Kav. V-TA
Jakarta 12950 Jakarta 12310
E-mail address: batara.simanjuntak [at] lundin.co.id E-mail address: paolo.tognini [at] pearlenergy.com
Telephone: +62 (21) 526-2611 Telephone: +62 (21) 7592-2830
Facsimile: +62 (21) 526-2622 Facsimile: +62 (21) 7592-2831

Maria Raharja Tony Swiecicki


New office address: New Office address:
Lundin Oil & Gas B.V. Cerberus Consultants
Plaza Great River, 8th Floor 1604-1211 Melville Street
Jl. H.R. Rasuna Said Kav. X-2/No.1 Vancouver British Columbia Canada
Jakarta 12950 V6E 0A7
E-mail address: maria.raharja [at] lundin.co.id E-mail address: tony_swiecicki@hotmail.com
Telephone: +62 (21) 526-2611 Telephone: +1 (604) 564-3924
Facsimile: +62 (21) 526-2622 Facsimile: +1 (604) 564-3924

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January 2012 4th Edition

Newsletter
PROFESSIONAL DIVISION COMMITTEE MEMBERS

POSITION NAME COMPANY PHONE # FAX # MOBILE PHONE E-MAIL ADDRESS

Chairman Ron Noble NIKO RESOURCES 782-1001 782-2002 0811-800604 rnoble [at] nikoindonesia.com
1st Vice Chairman Dharmawan Samsu BP 7854-8094 7854-9140 0811-880253 dharmawan.samsu [at] se1.bp.com
2nd Vice Chairman Stephen Scott GENTING OIL 527-3828 527-3827 0811-9622901 stephen.scott [at] gentingenergy.com
Secretary Audrey Sahertian IPA 515-5959 5140-2545/6 0812-9296803 audrey.sahertian [at] ipa.or.id
Treasurer Roland Panjaitan HESS 2995-1000 2995-1001 0816-1606800 roland.panjaitan [at] hess.com
Continuing Education H.L. Ong GEOSERVICES 830-5555 831-1454 0811-817600 hlong [at] geoservices.co.id
Sigit Sukmono ITB (022) 250-9167 (022) 250-9167 0811-220756 sigit [at] bdg.centrin.net.id
Field Trips Walter Ziza TALISMAN 2995-7828 515-1571 0812-1085513 wziza [at] talisman-energy.com
Luncheon Talks Mark A. Thomsen EXXONMOBIL OIL 571-5129 571-5131 0811-1907310 mark.thomsen [at] exxonmobil.com
Student Activities Liaison Redo Waworuntu CONOCOPHILLIPS 7854-2183 7854-2282 0811-197295 redo.d.waworuntu [at] conocophillips.com
Membership C.F. Sugembong STAR ENERGY 3002-1530 530-7928 0811-134095 sugembong.cf [at] starenergy.co.id
Newsletter James Farmer HALLIBURTON 5797-2409 570-9594 0811-848379 james.farmer [at] halliburton.com
Stephen Scott GENTING OIL 527-3828 527-3827 0811-9622901 stephen.scott [at] gentingenergy.com
Publications Andy Livsey HORIZON 7918-1559 7918-4895 0816-868525 arl [at] horizon.co.id
Balikpapan Chapter Patricius Andri Indhiarto CHEVRON (0542) 756-3347 (0542) 756-3714 0813-81133347 andri [at] chevron.com
Riau Chapter Timbul P. Panjaitan CHEVRON (0761) 933-319 (0761) 942-014 timpanj [at] chevron.com

Indonesia Stock Exchange Building, Tower II, 20th Floor (Suite 2001), Jl. Jend. Sudirman Kav. 52-53, Jakarta 12190, Indonesia 36
T. +62 21 515-5959, Fx. +62 21 5140-2545/6
January 2012 4th Edition

INDONESIAN PETROLEUM ASSOCIATION


INDIVIDUAL MEMBERSHIP APPLICATION / RENEWAL AND CHANGE OF DETAIL FORM
Please tick for LIFETIME MEMBERSHIP Newsletter
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COMPANY
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Please complete
Please completethe
theabove
aboveand
and return itit to
tothe
theIPA
IPAoffice
office with
with your
your dues
dues of of
US$20.00
US$ 25.00ororRp.150.000,-
Rp. 200.000,- payable
payable to tothe
thefollowing
followingaddress:
address :

IINDONESIAN PETROLEUM ASSOCIATION or BANGKOK BANK LIMITED

or
Indonesia Stock Exchange Building Jakarta Branch
Tower II, 20th Floor (Suite 2001) 3, Jl. M. H. Thamrin
Jl. Jend. Sudirman Kav. 52 - 53 Jakarta Pusat - Indonesia
Jakarta 12190, Indonesia
US$ Account # : 0309-100763-401
Indonesia StockAttn:
ExchangeProfessional Division
Building, Tower Committe
II, 20th Floor Rp Account
(Suite 2001), Jl. Jend. Sudirman Kav. 52-53, # : 0309-100763-001
Jakarta 12190, Indonesia 23
T. +62 21 515-5959, Fx. +62 21 5140-2545/6

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