EEX completes sale of East Java asset

US independent oil firm EEX Corporation on Monday said to have closed its previously announced sale of Indonesian assets to PT Medco Energi Internasional. EEX sold all of the shares of a subsidiary that owns a 25 percent interest in the Tuban joint operating body (JOB) contract area onshore East Java.

The Tuban JOB, that produces some 12,000 barrels per day of crude, is operated by Devon Energy, which is also in the process of transferring its whole Indonesian interests to PetroChina.

EEX said the sale of another subsidiary that owns a 15 percent interest in the Asahan contract area, offshore North Sumatra, is expected to close at a later date.

EEX received approximately US$26.3 million in cash at closing, representing the agreed purchase price of $34.0 million less the net cash flows received by EEX after Sept. 30, 2001. The proceeds of the expected sale of the second subsidiary will be less than $1.0 million.

EEX Corporation is an oil and natural gas exploration and production company with activities currently focused in Texas, Louisiana and the Gulf of Mexico. (alex)