Non-conventional oil and gas prospect area recommendation in the Kutai Basin is one of the research activities of the Geological Survey Center in 2015 – 2018. Geographically, the Kutai Basin is located in the eastern part of Kalimantan Island with coordinates 103 deg N - 2 deg S, and 113 deg - 118 deg E. The research locations were located in Kutai Kartanegara Regency, Samarinda City, Balikpapan City, North Penajam - Paser Regency, Paser Regency, Sangatta City, West Kutai Regency, East Kutai Regency and Mahakam Ulu Regency which are included in East Kalimantan Province. The data used for the preparation of recommendations for this oil and gas prospecting area were surface, subsurface geological data and geophysical data. Surface geology is obtained by conducting field surveys, recording earth aspects such as stratigraphy, structure, and taking rock samples from outcrops for analysis, especially organic geochemical analysis. Subsurface geological data in the form of well data, 2D seismic, and magnetotelluric. The data for the magnetotelluric survey consisted of 40 observation stations spread across a semi-grid with a coverage area of ​​about 1500 square km. By integrating surface and subsurface geological data, it was expected to produce prospect areas and shale gas resource reserves.

Exploration activities in the Kutai Basin began around the Samarinda Anticlinorium, where oil seeps were found, which found oil at a depth of 46 meters with a well named Louise-1 near Sanga-Sanga in 1897. The first PSC in the 1960s carried out geophysical surveys. who successfully discovered giant oil and gas fields in the Kutai Basin both onshore and offshore. The Attaka Field was the first field discovered by PSC Unocal and Inpex in 1970. TOTAL was first involved in the Kutai Basin as a partner of JAPEX. These two companies discovered the Bekapai Fields (1972), Tunu (1973), and the giant Handil and Tambora Fields in 1974. Until now TOTAL is still working at Sisi, Nubi and Peciko Fields. Peciko was first drilled in 1982 and reactivated in 1991. Lemigas conducted several studies in the Kutai Basin. The Center for Coal and Geothermal Mineral Resources previously also conducted a study in the Kutai Basin, particularly regarding Coal Methane Gas.

The Kutai Basin is located at the southeastern tip of the Sundaland and is located between the three main active tectonic plates of the world such as Eurasia, Indo-Australia, and the Pacific Plate. This causes the formation of the Kutai Basin to be influenced by various tectonic activities that occur regionally. The basin is bounded by the Schwaner Mountains to the southwest, the Kuching High to the west, the Makassar Strait to the east, and the Meratus Mountains to the south. In addition, the Kutai Basin is bounded by two shear faults with a NW-SE direction, namely the Adang Fault in the south and the Mangkalihat Fault in the north in sinistral movement. To the south of the Kutai Basin are also found the Barito Basin and the Tarakan Basin in the north, both of which formed at the same time as the Kutai Basin, in the Middle Eocene. In the middle of the Kutai Basin there is the Samarinda Anticlinal zone in the form of a collection of anticlines in the NW-SE direction. Based on the geological map and the anomaly shape of the gravity map, the Kutai Basin as a whole can be divided into three subbasins, namely the West Kutai Basin (Upper Kutai Basin), the East Kutai Basin (Lower Kutai Basin) and the Sand Basin (Heryanto et al, 2013). Regional stratigraphy of the Kutai Basin shows that Cenozoic sediments have the main depositional sedimentation cycles: Eocene-Oligocene (transgression cycle of synrift and sagging), Oligocene-Middle Miocene (regression cycle of  post-rift), Middle Miocene-Late Miocene (inversion sediment-fill progradation cycle), and Pliocene-Quarter (post-inversion).

Sweet spots are determined by pay zone such as, Vshale value is more than 0.5, TOC value>1, brittleness minimum at 0.48, and must be in the gas window. Calculation of gas in place (GIP) is based on the sum of the values ​​of free gas and absorbed gas using the Ambrose equation. From the results of calculations in the 2017 research results, it was found that Block C had the highest potential (GIP = 21.71 TCF), followed by Block A (17.94 TCF) then Block B with a GIP of 9.7 TCF. So that when added up, all potential reserves of the Kutai MNK prospect area will be worth 46.79 TCF. While the GIP calculation from the 2018 study, the original oil in place (OOIP) calculation according to the research results of Marlan W. Downey, et al (2011) was obtained by taking into account the hydrocarbon S1. The results of shale resources are 37.94 TCF (gas case) and 1472.46 MMBO (oil case).