Vol 17, No 2 (2013) > Articles >

Production Optimization for Plan of Gas Field Development Using Marginal Cost Analysis

Suprapto Soemardan 1 , Widodo Purwanto 1 , Arsegianto . 2


  1. Chemical Engineering Department, Faculty of Engineering, Universitas Indonesia, Depok 16424, Indonesia
  2. Petroleum Engineering Study Program, Institut Teknologi Bandung, Bandung 40116, Indonesia



Gas production rate is one of the most important variables affecting the feasibility plan of gas field development. It take into account reservoir characteristics, gas reserves, number of wells, production facilities, government take and market conditions. In this research, a mathematical  model of gas production optimization  has been developed using  marginal cost  analysis  in  determining  the  optimum  gas  production  rate  for  economic  profit,  by employing  the  case  study  of Matindok  Field.  The  results  show  that  the  optimum  gas  production  rate  is  mainly  affected  by  gas  price  duration  and time of gas delivery. When the price of gas  increases, the optimum  gas production rate  will increase, and then it  will become closer to the maximum production rate of the reservoir. Increasing the duration time of gas delivery will reduce
the optimum gas production rate and increase maximum profit non-linearly.

Keywords: marginal cost, natural gas fields, production optimization
Published at: Vol 17, No 2 (2013) pages: 94-102

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