Abstract

To better manage and to optimize value of it's assets, PT. Caltex Pacific Indonesia (CPI) uses an Asset Management Process (AMP). This process has five phases: Phase-1, Opportunity Evaluation; Phase-2, Select Development Alternatives; Phase-3, Design & Approve Development Plan; Phase-4, Implement Development Plan; Phase-5, Manage Producing Assets.

A systematic evaluation and a decision making process is used in all phases, and is supported by information from all teams involved in each AMP phase. A systematic decision analysis process is needed to help correctly frame the problem(s), to formulate the "best" decision that will yield optimum results, and to plan project execution. Phase-1, 2 and 3 are called Front End Loading (FEL) phases, which are critical in increasing the value of the project through a proper planning of project execution in Phase-4. FEL will help complete the project on time at forecasted. It will also help CPI to costs and efficiently produce and maintain operable assets during Phase-5.

Petani-Asset Management Team (AMT) manages 18 oil fields. In line with CPI's increasing gas for fuel needs, Petani AMT is looking for opportunities to optimize production & reserve recovery from its gas reservoirs. The gas reserves are small, therefore a thorough process is necessary to avoid making mistakes in field development decisions. Either under or over assessment could result in financial losses or missed opportunities.

The alternatives for field development decisions not only include field and completion strategies, but also data gathering methods and facilities options.

A preliminary analysis has driven us to pursue converting uneconomic oil wells to gas wells, where ever oil bearing and gas bearing formation co-exist in the same field. Several gas tests were conducted to increase the confidence level of the decisions.

This paper discusses the evaluation process of gas development in the Petani AMT's small gas fields, therefore, it will focus to Phase-1 to Phase-3 of AMP.