Capitalinc acquires Owen shares in ONWJ block

IDX-listed firm PT Capitalinc Investment on Tuesday completed its acquisition of Owen Holdings Limited?s (Owen) 17.99 percent shares in the Offshore North West Java Production Sharing Contract (ONWJ PSC) oil and gas production block worth US$225 million, reports said Wednesday.

Capitalinc bought Owen?s shares with its internal funds as well as funds it received from its rights issue conducted earlier in April, from which it generated Rp 2.7 trillion ($233 million).

Capitalinc director Hendrayanto Sakti was quoted by The Jakarta Post as saying that the acquisition would increase the company?s profit and production, and would have a positive impact on the company overall.

The ONWJ PSC block, which is managed by PT Pertamina Hulu Energi Offshore North West Java (PHE ONWJ), is one of the biggest oil and gas production blocks in the country. The block last year produced 38,300 barrels of oil per day (bpd) and 224 million standard cubic feet per day (mmscfd), exceeding the initial target of 38,000 bpd and 175 mmscfd, the paper said. (*)