Sampang Production Sharing Contract (PSC)

Cue holds a 15% interest in the Sampang PSC located in the Madura Strait, East Java Indonesia. It is composed of two producing fields: Oyong and Wortel gas fields, and a gas discovery at Paus Biru, where development planning is underway.

The Jeruk oil discovery is  undergoing a re-evaluation with new studies.


The Oyong and Wortel gas fields produce gas which is transported by subsea pipeline to the Grati gas processing plant and sold to PT Indonesia Power to provide fuel for the Grati electricity generation plant.

Production from the Oyong field commenced in 2009, and the Wortel field in 2012.

Current combined gas production from the fields is approximately 32 mmcfd (million cubic feet per day)


Paus Biru gas field was discovered in December 2018 by the Paus Biru-1 exploration well. A flow test of the well produced 13.8 MMscfd through a 120/64” choke for 55 minutes.

A Plan of Development with commercialisation through the existing Oyong facilities has been approved by the Indonesian regulator and the Joint Venture is now undertaking gas commercialisation and Front end Engineering and design (FEED) activities, targeting a final investment decision in in 2022.

The approved POD consists of a single horizontal development well with an unmanned wellhead platform (WHP), connected by a subsea pipeline to the existing WHP at the Oyong field, approximately 27km away. From the Oyong WHP, gas from Paus Biru will be transported using the existing pipeline to the Grati Onshore Production Facility, which is operated by the Sampang PSC joint venture, where it will be processed.

Future potential

The Jeruk oifield was discovered in 2004 and has had 3 wells including several sidetracks drilled. The Sampang PSC Joint Venture continues to investigate the potential for development of the Jeruk oilfield which is technically challenging due to high formation pressures, heterogenous reservoirs and impurities in the hydrocarbons.

The main technical issues to be resolved are the range of uncertainty in the size of the accumulation and the connectivity and varying producibility across the heterogenous reservoirs which will control the quantity of oil which may be recovered by each well and the flow rates that can be achieved. Work is currently being carried out by the Operator with recently reprocessed PSDM seismic data and with detailed resevoir studies that have enhanced the understanding of this discovery.Further work is being planned on evaluating development concepts and the commerciality of Jeruk.

Other exploration opportunities continue to be reviewed in the Sampang PSC with reprocessing and analysis of existing seismic and geologic data to further evaluate existing leads and to develop new leads.

The Joint Venture partners in the Sampang PSC are:

Medco Energi (Operator)  45%
Singapore Petroleum Corporation 40%
Cue  15%