Prayudi Noverri's master's thesis (ITB, December 2022) addresses optimizing LLP (Low-Low Pressure) compressor installation projects at offshore platforms, focusing on Pertamina Hulu Mahakam's (PHM) Delta Mahakam block. Declining gas production necessitates solutions to lower well operating pressure. The thesis examines the third phase of an LLP compressor project involving eight offshore platforms, following a pilot project in 2021 that faced higher-than-expected liquid rates, causing delays and increased costs.
The research aims to determine the best course of action for the third phase. It identifies the reasons for unexpected liquid rates in the pilot project and assesses the impact of these results on the third phase.
The thesis employs the Simple Multi-Attribute Rating Technique (SMART) to evaluate four alternatives: 1) cancel the project, 2) install compressors on all eight platforms simultaneously, 3) install compressors on selected platforms, and 4) install compressors sequentially. Five attributes are considered: profit, cost, production, and regulatory compliance, aligned with company KPIs and utilizing value-focused thinking. Kepner-Tregoe analysis is used to find the root cause of unexpected liquid rate.
The study found the root cause of higher liquid rates in the pilot project was inaccurate liquid rate estimation, which has caused higher cost and delay of utilization llp compressor. This leads to subsurface intervention and a revised project scope.
The SMART analysis concludes that installing LLP compressors on four selected offshore platforms (MWPC, SWPJ, MWPS, MD1) is the optimal choice, balancing profitability, production, cost, and regulatory commitment.
The study utilized SWOT, PESTEL, and VRIO frameworks to analyze the business environment and organizational capabilities. The project needs continuous evaluation of gas price and cost. It also needs evaluation to other production techniques for remaining four platforms.
Sensitivity analysis is performed based on weight of turnover to company and government perspective.
The implementation plan involves: well observation and subsurface evaluation (complete), front-end engineering design (Q2 2023), contract and procurement (Q2 2023), material and equipment delivery (Q1 2024), fabrication (Q1 2024), and installation (Q1 2025) in the order of MWPS, MD1, SWPJ, and MWPC.