AWE may sell 42.5% interest in Lengo gas project

By Romel S. Gurky

ASX listed-AWE Limited announced plan for a possible sale of its 42.5 percent interest in Lengo gas project, Bulu PSC, in East Java.

AWE and SGX-listed KrisEnergy each holds a 42.5 percent interest in the Bulu PSC. Another 10 percent is held by PT Satria Energindo, and the remaining 5 percent by PT Satria Wijayakusuma.

AWE unveiled the divestment plan in a half-year results presentation on Wednesday.

Elsewhere, the company said in the presentation that the Lengo Gas Project made progress during the period, with FEED work for the offshore facilities and pipeline, the geophysical and geotechnical surveys for the WHP site, the pipeline route and the offshore receiving terminal being completed.

?The operator, Kris Energy, is progressing negotiations for a gas sales agreement which is an important step prior to the joint venture making a final investment decision,? it said.

Editing by Reiner Simanjuntak