Chevron looks east for oil, gas

US oil giant Chevron Corp. is looking to expand exploration portfolio to the eastern part of Indonesia, a senior company official said.

Chevron IndoAsia Deputy Managing Director Suwito Anggoro said that the company is currently evaluating possibility to bid for blocks in Eastern Indonesia. He, however, refused to give detail.

The government has said it would offer some 30 new exploration blocks mid-year, with most of blocks are located in the eastern part of Indonesia. To attract bidders to the less-explored basins, the government has said it would free contractors from drilling obligations if they failed to find prospective resources during seismic survey.

Chevron, currently the country?s top crude producer from its Central Sumatra oilfields, has extensive exploration and exploration portfolio in East Kalimantan. Suwito said that Chevron has yet submitted plan of development for its deepwater oil and gas fields. ?We?re still at pre-PoD technical discussion,? he said. Chevron?s new gas fields is expected to be able to help reduce gas supply shortage to Bontang LNG when some of them become onstream in 2010-2011.

Suwito said lat year Chevron would submit the PoDs by the end of 2006. (godang)