Gas Development Master PlanSteering Committee Meeting – 28 March 2013Draft Policy Note 1 : Overview of Gas Resources and Potential

2

Outline

• Conventional gas reserves and resources

• Coal Bed Methane resources

• Shale gas resources

• Assessment of current reserves data management system

• Recommendations

3

Society of Petroleum Engineers Reserves and Resources Definition

4

Conventional resources

5

USGS Assessment Prospective Resources South East Asia , 2010

6

USGS Assessment Prospective Resources Papua New Guinea, Eastern Indonesia and East Timor, 2011

7

Lemigas Assessment, Prospective Resources, 2005

8

BP Migas Assessment, Prospective Resources, 2012

9

Prospective Resources

Body Date Assessment (TCF)

USGS 2011-12 136

Lemigas 2005 228.5

BP Migas 2012 368.9

10

CBM licences

11

CBM In-place Resources

12

CBM In-place Resources

13

Main shale gas potential

Min Energy GIP = 570 TCF

Prospective resources = 142.5 TCF assuming

recovery factor of 25%

14

Overall Supply Situation (TCF)

Conventional CBM Shale Gas Total

Proven reserves 104.71 - - 104.71

Probable reserves 20.00 - - 20.00

Possible reserves 28.18 - - 28.18

Total reserves 152.89 - - 152.89

Contingent resources - - - -

Prospective

resources

368.90 56.00 142.50 567.40

Total resources 368.90 56.00 142.50 567.40

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International comparison reserve and resource reporting

Country Agency

undertaking

reporting

Agency reporting Reserve reporting

system

Denmark Energy Agency Ministry of

Climate, Energy and

Building

Consistent with

SPE-PRMS

India Directorate

General of

Hydrocarbons

Ministry of Petroleum and

Natural Gas

Not consistent with

SPE-PRMS

Netherlands Ministry of

Economic

Affairs

n/a Consistent with

SPE-PRMS from

2012

Norway Norwegian

Petroleum

Directorate

Ministry of Petroleum &

Energy

Consistent with

SPE-PRMS

Trinidad &

Tobago

Ministry of

Energy and

Energy Affairs

n/a Consistent with

SPE-PRMS

United Kingdom Department of

Energy and

Climate

Change

n/a Consistent with

SPE-PRMS

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Policy Recommendations

• Indonesia should adopt the SPE Resource Classification and report reserves as proven, probable and possible

• Indonesia should start providing a quantitative assessment of both contingent resources and prospective resources

• This information should be published on an annual basis

• Indonesia should carry out its own technical assessment of prospective resources for CBM and shale gas

• With the activity currently underway in CBM exploration Indonesia should shortly be able to classify some CBM as a contingent resource.