Hess to farm out stake in Pangkah
Tuesday, March 5 2013 - 12:14 PM WIB
American firm Hess is planning to farm out its stake in Pangkah PSC in East Java, according to upstream authority SKK Migas.
?Hess has notified SKK Migas it wants to divest its stake in Pangkah during a recent courtesy call. However, we don?t know detailed figures yet because it has yet to officially send us a letter,? SKK Migas? Chairman Rudi Rubiandini told Petromindo.com.
Hess has 75 percent stake in the block with partner KUFPEC owning the remaining 25 percent.
Separately, Risk Management Director at PT Pertamina Afdhal Bahaudin said the state firm is interested in the Hess stake.
?Pertamina is interested but we have first to do review in line with the existing rules. Pertamina will review all opportunities from commercial and legal perspectives,? Afdhal said.
Meanwhile, Vice Minister of Energy and Mineral Resources Susilo Siswoutomo explained Hess had also paid a visit to the Ministry of Energy and Mineral Resources to explain their intention to divest its stake in Pangkah.
?Hess? leaders came here yesterday to tell us that the company wants to divest its stakes in businesses outside the U.S, including in Indonesia. The reason is the firm wants to focus on its operations in the U.S,? Susilo said.
Director General of Oil and Gas Edi Hermantoro said Hess has yet to formally submit a request to the government to open the data room on Pangkah.
Editing by Johannes Simbolon