Interra reports lower oil output from S. Sumatra oilfield

Australia-listed firm Interra Resources Limited reported on Friday that its oil gross production from the Tanjung Miring Timur (TMT) oil field onshore South Sumatra reached 51,353 barrels in the second quarter 2009, 10% lower compared to the previous quarter.

?An increase in the water cut in fluid production and mechanical difficulties in the lifting and transportation equipment were experienced by the operator during the quarter,? the company said.

Production and development cost for the period were US$1.1 million and $24,829 respectively, it said.

Earlier, the company said that its two development wells have been postponed. Evaluation of drilling results and production declines is ongoing and findings will be incorporated into future work plans, it added.

Interra is the operator and owns a 70% interest in the TMT Technical Assistance Contract. The owner of the remaining 30% and operator of the field is PT Retco Prima Energy. (denny)