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Pertamina Targets First Production from Unconventional Oil Wells by 2028

1 week ago | Industrial Transformation


Jakarta, INTI - Pertamina Hulu Rokan (PHR) is targeting initial production from unconventional oil and gas wells by 2028, as outlined in its phased development roadmap.

Unconventional oil and gas resources are typically found in fine-grained, low-permeability reservoir rocks and require advanced extraction methods to be economically viable. These include horizontal drilling and hydraulic fracturing techniques, commonly applied to resources such as shale oil, shale gas, tight sand oil and gas, coal bed methane, and methane hydrates.

Under the roadmap, development will begin with the awarding of production sharing contracts in the second quarter of 2026, followed by appraisal well drilling in the fourth quarter of the same year. Initial production is expected in 2028, with large-scale development planned beyond 2030 and peak production projected around 2037.

PHR President Director Muhamad Arifin expressed optimism that Indonesia is transitioning from pilot projects toward a more structured and sustainable development of unconventional resources. He noted that unconventional oil and gas could become a game changer amid declining output from aging conventional fields.

The company has identified significant potential in the North Aman sub-basin, which is estimated to hold around 11.3 billion barrels of oil in place. This untapped resource presents a major opportunity for Indonesia’s upstream sector. The structure includes the Gulamo and Kelok wells, both of which have shown indications of hydrocarbon presence.

Despite the promising outlook, Arifin acknowledged that the development of unconventional resources faces complex challenges. These challenges extend beyond subsurface technical issues to above-ground factors such as high investment costs, the need for competitive fiscal and regulatory support, infrastructure readiness, and the development of technical expertise. He emphasized that addressing these challenges will require strong collaboration among stakeholders.

Hydrocarbon Discovery Strengthens Outlook 

PHR has also confirmed that the Gulamo DET-1 well is a hydrocarbon discovery, following the identification of hydrocarbon samples during initial flow testing after hydraulic fracturing in the brown shale formation. Located in the Rokan Block, Riau, Gulamo DET-1 is considered Indonesia’s first unconventional oil and gas well.

This discovery reinforces confidence in the significant potential of unconventional resources in the Rokan Block. PHR’s upstream leadership stated that the finding marks an important milestone and could serve as a reference point for future exploration and development of similar resources across Indonesia.

Officials from SKK Migas also welcomed the discovery, highlighting its importance for the national oil and gas industry. They expressed hope that this success will encourage further exploration activities and accelerate the development of unconventional resources nationwide.

The Gulamo DET-1 well was first drilled in July 2023 in Rokan Hilir using a 1,500 HP rig, reaching a depth of 8,559 feet as a vertical exploration well.

Conclusion 

Pertamina Hulu Rokan’s roadmap for unconventional oil and gas development signals a strategic shift in Indonesia’s energy sector. With strong resource potential and early discoveries like Gulamo DET-1, unconventional reserves could play a crucial role in sustaining national energy production. However, success will depend on overcoming investment, regulatory, and infrastructure challenges through collaboration and long-term commitment.

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Indonesia Technology & Innovation
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