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Journal : International Journal of Economics Development Research (IJEDR)

Evaluation of Sour Gas Field Development Strategy: A Feasibility Study in Indonesia using PSC Gross Split Mechanism Praditya, Yusuf Alfyan; Dalimunthe, Gallang Perdhana; Prawiraatmadja, Widhyawan
International Journal of Economics Development Research (IJEDR) Vol. 6 No. 3 (2025): International Journal of Economics Development Research (IJEDR)
Publisher : Yayasan Riset dan Pengembangan Intelektual

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.37385/ijedr.v6i3.7708

Abstract

PetroComp, a private oil and gas operator in Eastern Indonesia, has a limited room for gas production growth. A potential new long-term gas sales agreement (GSA) with PT. SMC, could double PetroComp’s gas production and address its long-term growth needs. Jala field is the potential undeveloped resource to fulfill the gas demand requirement, however it contains high CO2 concentration which presents substantial investments for its development. Three development scenarios of Jala field are evaluated in the study, including a potential integration of CCUS.This study aims to evaluate the economic feasibility of the three development scenarios of Jala sour gas field using a Discounted Cash Flow (DCF) method to determine the best development strategy for PetroComp and Government of Indonesia. Conventional onshore development approach provides the highest NPV at US$ 113.8 million, meanwhile CCUS and full offshore development scenarios are not economic due to its high investment cost. Gas production volume and gas price are the most sensitive parameters affecting the project’s profitability based on the sensitivity analysis. Uncertainty analysis suggests a promising thick positive NPV is expected from the project with the P90-P50-P10 cases are ranging from US$ 50.8 – 173.9 million. Time-dependent evaluation concludes the impact on profitability start to de-escalate exponentially if the project is delayed for more than four years (>10% NPV impact) at the given PSC period until 2045. This study is intended to support evidence-based decision-making by PetroComp in developing the high-CO2 Jala gas field and advancing the company’s long-term growth strategy.
East Kalimantan Gas System Hydrocarbon Accounting Robustness with Analytic Hierarchy Process (AHP) Tanzil, Nessa; Prawiraatmadja, Widhyawan; Dalimunthe, Gallang Perdhana
International Journal of Economics Development Research (IJEDR) Vol. 6 No. 3 (2025): International Journal of Economics Development Research (IJEDR)
Publisher : Yayasan Riset dan Pengembangan Intelektual

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.37385/ijedr.v6i3.7904

Abstract

The study evaluates the robustness of a gas settlement method using the Analytical Hierarchy Process (AHP) to systematically prioritize multiple variables in complex multi-seller, multi-product, and multi-buyer conditions, affected by technical, contractual, and regulatory factors. Expert interviews identified critical variables such as inlet volume, Gross Heating Value (GHV), and operational dynamics across upstream, midstream, and downstream process. AHP calculations and Consistency Ratios validated expert judgments, deriving priority weights for each criterion and subcriterion. Testing scenarios revealed gaps in the lowest scoring scenario, leading to a proposed business solution for dynamic monitoring and integration of system disruptions into the settlement model. The study concludes that AHP-based methodologies provide a structured, transparent decision-making framework suited for complex, multi-stakeholder environments in the East Kalimantan System, advocating for continuous improvement and monitoring to maintain alignment with operational conditions.