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EPC contracts awarded for Banyu Erip field in East Java

Oilfield Technology,

The Indonesian Banyu Urip field in the Cepu block in East Java has achieved a major milestone with the award of the first of five engineering, procurement and construction contracts for work on major facilities at the development, according to its operator ExxonMobil.

ExxonMobil’s Mobil Cepu Ltd. (MCL) is operator of the Cepu block with 45% interest. The other co-venturers are Pertamina with 45% interest and four local government companies holding the remaining 10% interest.

“This is a major milestone in the development of the Banyu Urip field,” said Neil Duffin, president of ExxonMobil Development Company. “Based on appraisal drilling, we’ve increased estimates of the recoverable resource under full development to 450 million barrels.”

Full field development is planned to produce 165,000 bpd of oil from facilities that include 49 wells on three well pads, a central processing facility, and a 60 mile (95 km) pipeline to transfer the processed oil to a 1.7 million barrel floating storage and offloading (FSO) unit in the Java Sea. Tankers will load crude oil from the FSO for transport to domestic and world markets.

Construction is targeted to be completed in 36 months and the start-up of full field production is expected afterwards, pending regulatory approvals.

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