bp building up CCUS, CCS competence in Indonesia
JAKARTA - Enhancing Indonesia’s CCUS and CCS capabilities, BP Berau Ltd (bp) – as the operator of TangguhProduction Sharing Contract (PSC) -- and Bandung Institute of Technology (ITB) signed today a Cooperation Agreement (the “Agreement”) to advance research and development of carbon capture, utilization and storage.
The Agreement was signed by Kathy Wu, bp regional president Asia Pacific, gas and low carbon energy and Prof. I Gede Wenten, Ph.D., ITB vice rector for research and innovation, on the first day of the International & Indonesia CCS Forum (IICCS) 2024 in Jakarta on 31 July 2024.
This Agreement covers feasibility studies that aim to support the Tangguh CCUS Project and the development of Tangguh CCS hub and marks the implementation of the Memorandum of Understanding that both parties signed in October 2023.
In addition to the feasibility studies, the Agreement also details certain scholarships Tangguh will provide for ITB Master’s and Ph.D. students, and support for infrastructure for the ITB Centre of Excellence for CCS and CCUS. The Agreement is for the term of six years from the date of signing and may be extended as agreed by both parties.
“With the Tangguh CCUS and CCS hub projects, we aim to serve as a test model for future carbon capture and storage projects in Indonesia and Asia Pacific. Collaboration with prominent education institutions like ITB is crucial to help move the projects forward, advance CCS/CCUS implementation in Indonesia and support the country’s energy security and emissions reduction agenda,” said Kathy.
“We are proud partner of Tangguh in progressing CCUS and/CCS activities in Indonesia, in support of the country's drive towards decarbonization. This cooperation also solidifies our journey of becoming a prominent international research and development center for CCUS and CCS,” said I Gede Wenten.
On the same occasion, SKK Migas secretary, Luky A Yusgiantoro, expressed his appreciation for the collaboration between bp and ITB in accelerating the implementation of CCUS and CCS in Indonesia and promoting human resource (HR) competencies as part of an integrated ecosystem in the development of CCUSand CCS. "The provision of HR for the implementation of CCUS and CCS is very important, considering that this sector will continue to grow in the future, and of course, we hope that Indonesia will become one of the countries with competitive HR in the CCUS and CCS sector," said Luky.
The Tangguh CCUS Project is currently the most advanced CCUS project in Indonesia. In its initial phase, it has potential to inject more than 30 million tonnes of CO2 back into the reservoir, contributing to 5% of Indonesia's Nationally Determined Contribution (NDC) in the energy sector. With an ultimate CO2 storage capacity of c.1.8 gigatonnes, Tangguh has the potential to become a regional CCS hub and support the net zero ambition for both Indonesia and Asia Pacific.
Tangguh at a glance
Tangguh is the largest natural gas producer in Indonesia, with an average LNG production of 2.1 billion cubic feet per day, accounting for about one-third of the nation's gas production. Tangguh supplies average of 60 LNG cargoes per year to domestic market, via a sales contract with PLN.
bp operates Tangguh LNG with 40.22% participating interest, with partners MI Berau B.V. (16.30%) CNOOC Muturi Limited (13.90%), Nippon Oil Exploration (Berau), Ltd. (12.23%), KG Berau Petroleum Ltd (8.56%), KGWiriagar Petroleum Ltd (1.44%), Indonesia Natural Gas Resources Muturi Inc. (7.35%).