India?s ONGC in farm in talks with ENI

Indian oil firm ONGC Ltd is in talks with Italian oil firm ENI SpA over the possibility of the former to farm-in the latter?s Krueng Mane gas block offshore Aceh/North Sumatra, India?s Project Monitor reported.

The report said that the farm-in plan was part of the companies? plan to swap some their properties.

The report said both companies recently reviewed each other's data pertaining to some properties. ENI has 100 percent working interest in Krueng Mane block.

Gas from Krueng Mane is planned to be piped to Aceh fertilizer plant PT. Pupuk Iskandar Muda (PIM).

Krueng Mane exploration block, which was signed in September 1999, is located approximately 50 km north of the Arun LNG (liquefied natural gas) plant.

According to ENI, this block has proven undeveloped reserves of 183 billion cubic feet within the JAU Field and exploration potential of at least 4.5 trillion cubic feet reserves in the three main prospects (BSN, Safir & Emerald). (alex)