BP has just announced it will be working on Indonesia’s first enhanced gas recovery (EGR) and carbon capture, utilization and storage (CCUS) development.
The scheme is to be developed at BP’s Tangguh liquefied natural gas (LNG) project and it has been given the greenlight by the national upstream regulator SKK Migas by means of a signed memorandum of understanding (MoU).
The oil and gas giant intends to inject captured CO2 emissions back into the Vorwata reservoir starting 2026 and until 2027.
BP’s license expires in 2035, by which time expectations are for 25 millions of metric tons to be injected. But even beyond 2035, the EGR and CCUS scheme will continue to be operational and is expected to inject a total of 33 million tons and add incremental production of 600 billion cubic feet.
The MoU was signed between both sides at the IOG conference in Bali, during an official ceremony.
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This step has brought the EGR and CCUS project to the phase preceding the final investment decision, which is projected to take place around 2023, according to Nader Zaki, BP’s president in Indonesia.
He further noted that the EGR and CCUS are part of a larger plan of development (PoD) that has been SKK Migas’ ‘special gift’, as it is the fastest PoD to have ever been approved. It only took 7 days for all the paperwork to be approved.
This goes to show Indonesia’s eagerness to take climate action, and another example of the nation’s readiness for major steps toward sustainability and a greener future is its pledge to end deforestation.
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As one of the parts of the world where deforestation is a massive issue, it is perpetuated by geographical factors, such as Indonesia’s many islands that make it difficult to monitor illegal trespassing into woodlands.
To help solve this issue, leading satellite data provider Planet has offered to help monitor the country’s vast land masses using its unique global scanning system.
