Bumi Resources pulls out from Sambidoyong TAC

Publicly listed energy company PT Bumi Resources Tbk said on Thursday it had relinquished its 40-percent working interest in the Sambidoyong Technical Assistance Contract (TAC) block in West Java to Korean National Oil Corporation Sambidoyong Ltd (KSL).

Bumi said its move had been based on the results of its review over the Sambidoyong oil exploration project. The government had approved its pull out decision, Bumi said in its report to the Jakarta Stock Exchange.

The company signed in late 2000 a master agreement with KSL to participate in the Sambidoyong TAC. The accord allowed Bumi to finance up to 40 percent of the project.

Reports said Bumi had found the Sambidoyong project not viable economically for further development.

Bumi Resources is owned by the Bakrie Group. (robert)