State revenue from the upstream oil and gas sector in 2017 reached US $ 13.1 billion. This figure exceeds the target of the Revised State Budget (APBN-P) 2017 amounting to US $ 12.2 billion. “The achieved figure is about 108 percent of the government’s target,” Chairman of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas), Amien Sunaryadi revealed in Jakarta on Friday, 5 January 2018.
For oil and gas lifting, the output was 1.944 million barrels of oil equivalent per day or about 98.9 percent of the Revised State Budget target of 1.965 million barrels of oil equivalent per day. In detail, the oil lifting was 803.8 thousand barrels per day or 98.6 percent of the target of 815 thousand barrels per day. The realization of natural gas lifting was 6,386 million standard cubic feet per day or 99.2 percent of the target of 6,440 million standard cubic feet per day.
“We tried our best to reduce the natural production decline by accelerating the project completion and promoting activities that maintain the production level,” he said.
In 2017, there were 14 projects starting their production with contribution of an additional 3,800 barrels per day and 587 million cubic feet per day until 31 December 2017. The peak production of the 14 projects was 21.280 barrels of oil per day and 1,194 million cubic feet per day.
The realization of investment in 2017 was US $ 9.33 billion from the agreed WP&B amounting to US $ 12.29 billion. Of that amount, the investment for exploration blocks was only US $ 180 million, and US $ 9.15 billion for the exploitation block.
Meanwhile, the cost recovery was US $ 11.3 billion or 106% of the revised state budget target of APBN-P 2017 amounted to US $ 10.7 billion (unaudited). The largest cost recovery allocation to support operations was 47 percent and the depreciation was 29 percent.