Publications

The Banyu Urip (BU) Project is situated on a large crude oil field in East Java, Indonesia which is expected to process 450 million barrels of recoverable oil reserves over its life and produce about 25% of Indonesia’s total annual 2016 oil production. Due to its massive scale, the BU Project required significant time to complete. While the BU Central Processing Facility (CPF) was under construction, three sub-projects were identified as early oil opportunities and executed over several years: 1. The Early Production Facilities (EPF), processing Banyu Urip Well Pad ‘A’ crude oil since 2009, 2. The Well Pad ‘C’ Early Oil Expansion (EOE) opportunity, producing since October 2014, and 3. The Well Pad ‘B’ First Oil (WPB FO) opportunity, producing since March 2015. This paper focuses on the early oil capital efficiency implementation that required creative and innovative facility de-bottlenecking thinking, and chemical and selective equipment optimizations. All of the debottlenecking efforts expended on the three early oil facilities not only required ‘fit for purpose’ engineering ‘due diligence’ but also required ‘diligent execution excellence’ in safely implementing the facility modifications, commissioning, and production performance monitoring activities that were chosen as the most feasible and economically viable. The combined early oil facilities’ oil output resulted in Banyu Urip oil production of over 80,000 barrels per day with reduced operating costs implemented where ever possible to increase value to the state and the shareholders. The early oil achievements only occurred with the strong support from all of the stakeholders such as SKK Migas and the BU shareholders. Keywords: early oil production, facility optimization, production increase, capital / operating efficiency