Medco explores three new oil blocks this year
Wednesday, June 27 2001 - 03:03 AM WIB
The company?s financial director Sugiharto said in Jakarta on Tuesday that the three oil blocks would be part of the five new oil blocks which would be developed within the next two years.
?The investment fund will come from international source. We will not raise loans to finance the project,? he was quoted by the daily as saying following the company?s annual shareholders meeting.
The company was still preparing the integrated environmental impact assessment of the Senoro and Toili oil block in Central Sulawesi, he said, adding that an additional exploration was being carried out to determine the level of the oil reserve in the field.
He said that Medco was also still waiting for the result of exploration works at the Western Madura and East Java?s Semanggis fields. Medco expected to produce between 8,000 barrels and 16,000 barrels per day from the new fields.
?We hope the new oil blocks would be able to start production by the middle of next year,? he added.
Medco gained the control over the operation of the 475-kilometer Senoro and Toili oil blocks after it took over recently the interest of Atlantic Richfield Company (Arco) in the field, which also has estimated gas reserves of about 2 TCF.
The Western Simenggaris oil field in East Java, which covers 2,734 kilometers, has 11 oil wells, with oil reserves of 220 MMBO and 460 BCF of gas, while the Madura field, which Medco took over from Western Resources, covers an area of 2,728 kilometers with an oil reserve of about 130 million barrels. (*)