EMP sees increase in 2009 oil, gas production

IDX-listed oil, gas firm PT.Energi Mega Persada Tbk expects oil, gas production in 2009 to increase to 30,000 barrels of oil equivalent per day (BOEPD), up from 25,000 BOEPD last year.

CEO Christian Ponto told reporters that the increase would be contributed by the resumption of Sepanjang oil field in Kangean PSC offshore East Java since December 2008. The field?s oil production was stopped in December 2007 after bad weather and strong wind hit and damaged the field?s FSO.

Ponto said the field is now producing 3,000 BPD from one well with two more are expected to start operations soon.

Production addition also expected from Gelam TAC onshore Jambi -now producing 800BPD- which will be ramped up to 1,200BPD and will start producing gas at 6MMCFD in June 2009.

Ponto also said that process of sell EMP?s 50 percent stake in Kangean PSC is still ongoing with 7 companies including 50 percent partner Japex-Mitsubishi-which have first right to acquire the block-are submitting offers.

EMP has interest in several producing oil, gas blocks in Sumatra and Java including Gelam TAC, Gebang PSC, Malacca Straits PSC in Sumatra and Kangean PSC.

EMP is controlled by Bakrie family, who currently face financial crises due to dwindling share price. The family is now forced to sell shares of their business units to pay debts.(bernard)