Lemigas to certify ExxonMobil's Cepu oil, gas reserves

National Petroleum Research and Development (Lemigas), a research arm of the ministry of energy and mineral resources said on Friday that it expected to be able to officially confirm the volume of oil and gas reserves in ExxonMobil operated Cepu Technical Assistance Contract (TAC) area in the border of Central and East Java by the end of July this year.

?We are in the process of assessing seismic data from three wells in Banyu Urip and two wells in Sukowati. We hope to issue reserves certification by the end of July,? said Evita Legowo, Lemigas head on a sideline of a ceremony.

Evita said the order to certify the Cepu TAC reserves came from the ministry of energy and mineral resources.

Last year, US oil giant ExxonMobil Corp. announced the discovery of oil reserves of at least 250 million barrels in Banyu Urip. A significant amount of gas is also believed to be discovered.

State oil and gas company Pertamina and ExxonMobil had been in talks over the former?s equity participation in Cepu TAC. Under the TAC agreement, ExxonMobil is given concession by Pertamina to manage the contract area until 2010. Exxon is seeking to extend the contract beyond 2010, but Pertamina is only willing to do so in return for bigger equity participation. (godang)