Emirati company Mubadala Energy is starting to deliver on the strategic pivot it announced in 2022. The firm has entered into an agreement to discuss, explore and potentially engage on initiatives primarily focused on CCUS with Indonesian integrated energy company Pertamina.
The move comes after Mubadala began to expand across the gas value chain and explore CCUS to decarbonise its operations and follows similar initiatives with Italian IOC Eni.
The deal provides a framework to explore CCUS solutions for Pertamina’s and Mubadala’s existing portfolio of assets in Indonesia through collaborative discussions and evaluation of relevant projects. In addition, this memorandum of understanding will facilitate knowledge sharing between both parties while exploring potential joint investments in upstream projects that may seek to utilise CCUS applications, a press release said.
“When we launched our new strategy last year, CCUS was an important pillar of our ambitions to further expand our business in low carbon solutions,” said Mansoor Mohamed al-Hamed, CEO of Mubadala.
The agreement makes a statement ahead of COP28, which is hosted by the UAE, and builds on a long-standing relationship between the two energy companies.
“I believe we can harness both companies’ collective expertise to accelerate the deployment of potential CCUS technologies. And as the UAE prepares for COP28, we are proud to be driving a strategic collaboration that aligns with the net-zero ambitions of both the UAE and Indonesia,” Hamed added.
Mubadala has been present in Indonesia since 2004, with four operated production-sharing contracts (PSC), including the Sebuku PSC, containing the Ruby gas field, in addition to the Andaman I and South Andaman gross split PSCs.
This portfolio makes the company the largest net acreage holder in the area, securing the core of the North Sumatra Basin for future exploration growth with the potential to unlock a new material gas play.
Mubadala recently announced a new gas discovery at the Timpan-1 exploration well. located 150km offshore the Indonesian island of North Sumatra, where a 390ft gas column in high net-to-gross fine-grained sandstone reservoir, was confirmed.
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