Indonesian drilling contractor to focus on oil, gas and geothermal projects in Indonesia 2021

Indonesian drilling contractor to focus on oil, gas and geothermal projects in Indonesia 2021 Rig #4 of PT Apexindo (source: company)
Alexander Richter 13 Dec 2020

Indonesian drilling contractor PT Apexindo to seek for geothermal drilling contracts in 2021 beyond its oil and gas activities.

Indonesian drilling PT Apexindo Pratama Duta Tbk is putting a strong emphasis on projects in Indonesia, with plans for upstream oil and gas and geothermal services to be executed in 2021. 

Established in 1984, PT Apexindo Pratama Duta Tbk is the only Indonesian drilling contractor with offshore and onshore drilling capacity for oil and gas, geothermal and coal bed methane industries.

Apexindo Pratama Corporate Secretary Duta Frieda Salvatina said, APEX has been actively involved in government programs to achieve the target of lifting oil and gas and renewable energy. This company also often works on projects with PT Pertamina (Persero), which in fact is its main customer.

Beyond its emphasis on oil and gas drilling, having e.g. drilled more than 50% of the 2,165 wells drilled in the Mahakam Block, the company also plans to be participating in a tender in the field of geothermal drilling services through a project managed by PT Geo Dipa Energi. “We are participating Rig 4 and Rig 5 for tenders in the geothermal sector,” added Frieda.

Director of Apexindo Pratama Duta Mahar Atanta Sembiring added, despite having experience, for now APEX does not have oil and gas service projects abroad. There are also no plans for APEX to target overseas projects in the near future. This is in line with the uncertainty in the upstream oil and gas sector in line with the downward trend in world oil prices.

“We think the oil and gas industry abroad is also experiencing the same obstacles as in Indonesia, but we are still monitoring developments globally,” he said today.

In addition, APEX has no plans to add or buy new rigs in the near future. The company chooses to utilize and improve maintenance of existing rigs only.

Then, although it has not been confirmed yet, APEX does not provide a special capex for purchasing new rigs next year. APEX prefers to allocate capex for maintenance and repair of existing rigs or equipment.

For information, until the third quarter of 2020, APEX has realized US $4 million in capex for maintenance and repairs. This amount is exactly the same as the realization of the capex for the same needs in the January-September 2019 period.

Source: Kontan