Inpex acquires Northeast Java block share from Total

Japanese oil exploration and development company Inpex Holdings Inc. said on Thursday it would buy a share of an Indonesian oil block from French major Total SA.

 

Inpex will buy a 22 percent stake in the offshore East Sepanjang block in the Java Sea in a deal that has been approved by the Indonesian government, the company said.

 

An Inpex spokesman declined to reveal the value of the deal.

 

The existence of oil has been confirmed in the block and an exploration well is scheduled to be drilled by the end of 2007, Inpex said in a statement.

 

After the sale of the share, Total's interest will be reduced to 27 percent. Indonesian firm PT Easco East Sepanjang is the operator of the block with a 51 percent stake.

 

August last year, Total had acquired a 49 percent stake in Indonesia's offshore East Sepanjang block, northeast of Java, with an option to acquire an additional 41 percent. (*)