London: The British oil giant BP announced Thursday a combined investment of seven billion dollars to increase the gas resources of an existing plant in the Indonesian province of Papua, in the far east of the country. “The investment is expected to unlock around 3 trillion cubic feet of additional gas resources“, announced in a press release BP, operator of this liquefied natural gas production facility, Tangguh LNG, on behalf of a consortium of which it holds a little more than 40%.
The project provides for the development of a new gas field, Ubadari, whose production should start in 2028, but also the construction of an installation allowing the capture, then the compression of the carbon emitted by the factory, to reinject it into the fields in operation – which will increase production.
The announcement was made on Thursday by Murray Auchincloss, CEO of BP, during a visit to London by Indonesian President Prabowo Subianto.
This LNG production unit has been operating since 2009 and has a capacity of 19.5 million tonnes of gas per year, a spokesperson for the group told AFP. The new gas resources will make it possible to maintain the plant's production volume over time.
BP last month published a falling third-quarter profit to $206 million from $4.9 billion a year earlier, hit by falling refining margins, poor sales and asset write-downs, in a context of falling prices.
Mr. Auchincloss said on this occasion that he saw a “opportunity to grow throughout the decade by prioritizing value over volume” in oil and gas, thus planning for the longer term.
(c) AFP
Commenter BP announces combined investment of seven billion dollars in Indonesia
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