ENI seeks govt protection to develop Bukat block
Tuesday, October 21 2008 - 02:06 AM WIB
ENI?s senior executives met President Susilo Bambang Yudhoyono and Vice President M. Jusuf Kalla in Jakarta on Monday to formally convey the company?s request for the government?s protection in developing the oil and gas block.
In the meeting which was also attended by Minister of Energy and Mineral Resources Purnomo Yusgiantoro, the Eni executives unveiled the firm's plan to develop the Bukat oil and gas block in the Ambalat island, which is claimed by Malaysia as part of its territory.
?The President asked the company to go ahead with its plan because the block is located in the Indonesian territory,? the minister told reporters following the meeting.
According to Purnomo, the Bukat block is one of the largest gas fields in the country. It is believed to have gas reserves as large as those found in the Tangguh field in West Papua and the Masela block in Timor Sea.
He said that ENI planned to develop a floating liquefied natural gas (LNG) terminal to process the Bukat gas but the company had yet to submit its plan of development for the gas block.
In September 2007, upstream oil and gas authority BPMIGAS estimates Eni had discovered recoverable oil reserves of 62 million barrels in the Aster field of the block.
Bukat is operated by Italian oil firm Eni SpA with 66.25 percent interest in Aster. U.S. oil firm Anadarko Petroleum has 33.75 percent interest in Aster.
On May 2007, Eni announced that that appraisal drilling at Aster field has shown 28?API oil flowing at a maximum rate of over 5,000 barrels of oil per day. Eni has drilled four wells in Aster. (godang /bernard)