Medco allocates $6 million for East Java drilling program
Friday, November 1 2002 - 05:15 AM WIB
Oil producer PT Medco Energi International Tbk has allocated US$6 million to drill two new wells in Madura Block, Bisnis Indonesia daily reported on Friday.
The drilling program started last month in cooperation with state oil and gas firm Pertamina, under a joint operating body (JOB).
Medco Group chairman Arifin Panigoro said his company had drilled two wells in Madura this year, and that gas reserve in the wells did not reach the commercial level.
Meanwhile, Medco?s operation director Rashid I. Mangunkusumo said his company had considered install pipelines to transmit natural gas from Madura to Gresik in East Java, from where the item would be distributed to other parts of the province.
East Java has faced acute gas shortage over the past months. (*)