Medco, Cityview to commence drilling in E. Kalimantan

Australian listed oil firm Cityview Corporation Limited announced Thursday that dredging work at Simenggaris exploration block in East Kalimantan, where it holds 25 percent working interest, had reached 120 meters long and 40 meters wide.

Cityview said it recently received notification from its joint venture partner PT Medco Energi Corporation, which is the block?s operator and 75 percent-working interest holder that the drilling location was expected to be ready in early September 2001.

Upon completion of the dredging, said Cityview, the drilling of the well at Pidawan prospect would commence.

According to the company, the drilling support services are currently being tendered.

In its recent report to Australian Stock Exchange, Cityview said the drilling of the Pidawan prospect would test for oil and gas in a proven oil producing area with Medco estimating recoverable reserves for the prospect to be 52 million barrels of oil and 91 billion cubic feet of gas.

Medco is an Indonesian oil firm listed in jakarta Stock Exchange, while CityView is an independent energy company whose largest shareholder is Malaysia Mining Corporation Berhad, a leading global resources company.(alex)