Apexindo expects improvement in 2006 onshore utilization rate

JSX-listed drilling firm PT Apexindo Pratama Duta Tbk expects the utilization rate of its onshore fleet will improve at the end of the 2006 to 70% or higher compared to the 51% achieved in 2005.

Hertriono Kartowisastro, the company?s President Director explains ? We are expecting that Apexindo to be able to obtain new contracts or contract extensions for its onshore rigs will maximize the performance of our onshore fleet?.

Apexindo has received an Appointment Letter for Rig 15 from PT Medco E&P Indonesia to conduct a drilling project at Tarakan, East Kalimantan. The value of the contract is USD 1.9 million for a 6 month period. The project will commence in July 2006 and is expected to be completed in December 2006. Previously, Rig 15 worked in Mamberungan, East Kalimantan to support PT Medco E&P Indonesia.

Meanwhile, Apexindo has also received a contract extension for 1 (one) well from JOB Pertamina ? Medco Tomori at Tiaka, Sulawesi with amount of USD 1.9 million. Currently, Apexindo Rig 2 is in the process to work on the project and scheduled to complete around October 2006. Rig 2 has been drilling at several location in Sulawesi since April 2004 to work on several ?well to well? contract and up to now it has managed to accomplish 7 (seven) wells.(denny)