BPH Migas, Pertamina operate first FSO ship

Surabaya, E.Java (ANTARA News) - The Downstream Oil and Gas Executive Agency (BPH Migas) and state oil and gas company PT Pertamina have begun operating Pertamina`s first floating storage and offloading (FSO) ship.

"The Abherka ship is the first project of Pertamina Shipping to convert a tanker into FSO ship," Pertamina president director Karen Agustiawan said when inaugurating the Abherka ship off the western coast of Madura Island, East Java, on Wednesday.

Karen said the FSO ship would serve as a container for an oil production and offloading unit from the West Madura Offshore Block with a capacity of 600 thousand barrels per day.

The block itself comprises 77 wells operated by PT Pertamina Hulu Energi West Madura Offshore (PHE WMO).

"This ship was a tanker before being converted into FSO at the COSCO Shipyard, Guangdong, China, for 10 months," Karen noted, adding that the project cost US$22 million.

Meanwhile, head of BP Migas R. Priyono said the FSO ship would hopefully encourage the realization of Indonesia Incorporated, meaning that the downstream oil and gas industries have stimulated other industries such as shipbuilding, banking, and others.

Priyono said the vessel equipped with accommodations for 150 workers would be operated for 10 years in PHE WMO operation site without docking.

"The operation of FSO is expected to minimize shutdowns outside the plan (down time) at the WMO PHE operation," he said.

PHE WMO has set an oil production target at 20,000 barrels per day and gas production target of 166.4 million cubic feet per day (MMSCFD) for this year.

The gas production from PHE WMO is supplied to state-owned electricity company PT PLN), national gas company PGN, regional enterprises in Gresik, East Java, and Media Karya Sentosa.

Thus, the FSO vessel will ensure the continuity of gas and electrical power supplies to industries in East Java. (LWA/BSR/S012)