Alton Indonesia clinches US$24m contract from Lapindo Brantas

SGX-listed company Federal International (2000) Ltd said Friday that PT Alton International Indonesia (PTAII) had secured a contract worth US$24 million from Lapindo Brantas Inc, the operator of Brantas block onshore East Java.

Federal said in a statement that under the contract, PTAII will provide an integrated drilling project management services for a total of five oil wells to be drilled in Lapindo Brantas? working area at Sidoarjo, close to the city of Surabaya for a period of one year starting in mid-February.

The services include full drilling services, mobilisation and demobilisation, mud & chemical supply and engineering services, selection and supply of drilling equipment, casing installation, cement supply and cementing services, mud logging services, wireline and electrical logging services.

PTAII is a joint venture between Alton International Singapore, a wholly-owned subsidiary of Federal, and PT. Medici Citra Nusa. Meanwhile, Lapindo Brantas is subsidiary of publicly listed oil and gas firm PT Energi Mega Persada Tbk (EMP).

According to the statement, Rennier Latief, who is a Director of Lapindo and the Commissioner of EMP, is also the spouse of Federal?s substantial shareholder, Nancy Urania Rachman Latief. (Robert)