Indonesia awards 12 oil, gas blocks

The newly elected Indonesian government has awarded 12 onshore and offshore oil and gas blocks and will award 10 more next month, reported OPEC News Agency.

Nov. 3, 2004

2 min read

By OGJ editors

HOUSTON, Nov. 3 -- The newly elected Indonesian government has awarded 12 onshore and offshore oil and gas blocks and will award 10 more next month, reported OPEC News Agency.

Each successful company will pay a $17.25 million signing bonus and invest $163 million in the next 3 years on exploration. Indonesian oil production dropped to 966,465 b/d in September from as much as 1.3 million b/d in the past few years.

The government let offshore production-sharing contracts to Indonesia's PT Medco Energi for the Nunukan Block in East Kalimantan, Malaysia's state-owned Petronas for Northeast Madura IV Block in East Java, Anadarko Petroleum Corp. for the Northeast Madura III Block in East Java, PT Easco East Sepanjang for the East Sepanjang Block in East Java, Genting Oil & Gas of Malaysia for West Natuna Block in the Natuna Sea, Transworld Exploration & Production for the Seruway Block in Aceh, and PT Waropen Perkasa for the Manokwari Block in Papua.

Onshore production-sharing contracts went to PT Tropik Energi for the Pandan Block in South Sumatra; PT Bina Karindo for the Air Komering Block in South Sumatra; PT Kutai Etam Petroleum for the Sei Nangka Senipah Block in East Kalimantan, Altar Sociedade de Investimento SA Northwest for the Barito Block in Central Kalimantan, and PT Sele Raya for Yascoagung Belida Block in South Sumatra.

Contracts will be signed Dec. 4, OPECNA said.