Fathor Rahman of BP Migas said here on Friday at least five gas fields were currently being developed.
"Of the five gas fields, only Block Cepu is relatively cheap, while the others expensive," Fathor said.
He said that the high cost of the gas field development would affect sale price of gas. "So, gas consumers should be ready to face and buy more costly gas," he added.
Fathor said that the decision to use LNG terminals would also increase costs, so that gas would become more expensive than pipe network.
The five gas projects are Block Cepu, Kutai Basin Deep Water Development, Masela, Senoro and Matindok and Tangguh.
The expert said that although it was cheaper, the Cepu gas was believed to have high C02 and H2S contents so that the price would remain expensive.
Of the estimated 350 mmscfd (million standard cubic feet per day), only about 180 mmscfd is found to be clean gas.
The Cepu gas project has its sources at the Jambaran, Cendana and Tiung Baru fields.
The Jambaran reserves are estimated at 1.5 trillion cubic feet.
Production is expected to begin in 2015 with potential buyers of PT Petrokimia Gresik, PT PLN and PT Pupuk Kujang.
(Uu.A014/H-NG)
Editor: Priyambodo RH
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