UK-based Premier Oil has started gas production from the Gajah Baru field in Natuna Sea block A, offshore Indonesia.

The firm began gas production after receiving ministerial consent to complete commissioning at an expected rate of up to 50 billion BTU.

In addition, the previously announced gas swap documentation to deliver gas to domestic buyers is being completed.

The Indonesian Government asked Premier to complete the documentation work this year.

Premier, with a 28.67% equity stake, operates Natuna Sea block A in the West Natuna Sea on behalf of partners KUFPEC, Hess and Petronas.