Mubadala, Partners Get Green Light for Ruby Gas Field
The energy unit of Mubadala Development Company, the investment vehicle of the Government of Abu Dhabi, has confirmed that the development of the Ruby gas field has been approved by BPMIGAS, Indonesia’s upstream oil and gas agency.
Mubadala plans to develop the Ruby gas field in Indonesia with its partners, investing $500 million, its first project in the south Asian country.
Pearl Oil, a wholly-owned subsidiary of Pearl Energy, the Southeast Asia operating arm of Mubadala Oil & Gas,, which will have 70 per cent stake in Ruby, Total E & P Sebuku and INPEX South Makassar Ltd, will both hold 15 per cent each.
Ruby is located in the Makassar Strait between Kalimantan and the island of Sulawesi, within the Sebuku Production Sharing Contract area, operated by PEARLOIL (Sebuku), a wholly-owned subsidiary of Pearl Energy.
The Block covers 2,345 sq kms with water depths ranging from 50 to 200 meters. The offshore development will consist of the drilling of an anticipated four production wells and the installation of two main structures -- a wellhead platform, bridge-linked to a production platform. Gas will be transported to shore via a 14 inch, 312 km pipeline and a dedicated receiving terminal, for processing at the Senipah Onshore Gas Plant, operated by TOTAL E&P.
It will then be delivered to the buyer, PT Pupuk Kalimantan Timur, which operates a nearby fertilizer plant, under the terms of a wider Natural Gas Sales and Purchase Agreement covering the Sebuku and Mahakam PSCs that was also signed this week. Ruby will be the prime source of supply to fulfill the contract once the field comes on stream in the latter part of 2013.
Barry O’Donnell, Regional Vice President, Mubadala Oil & Gas and President, Pearl Energy, said, 'Ruby is our first full-field, operated development project in Indonesia, and as such it is an important project for us to have brought to the point of sanction. Our efforts will now be directed to working with our contractors to deliver Ruby into production safely and on schedule."
Source: Mubadala