Medco faces overlapping problem at Rimau block

By Godang Sitompul

Exploration and 2D seismic survey activities at the Rimau in South Sumatra carried out by PT Medco E&P Indonesia, a subsidiary of listed PT Medco Energi Internasional, are being hampered by an overlapping issue.

?Medco is currently in coordination with BPMIGAS to seek solution to this overlapping issue stretching at 8 km in length, at the Rimau block as well as the owner of the oil palm plantation,? Gde Pradnyana, Head of PR, Security and Formality Division at BPMIGAS, told petromindo.com.

Gde did not mention the owner of the plantation.

The problem was confirmed by Joang Laksanto, Communication Manager of Medco EP. ?Yes, there is an overlap with a plantation firm within the exploration areas, on as far as 8 km stretch. Medco is approaching the owner of the plantation to ask for their permission on Medco's seismic activities in the area,? said Joang.

Medco has 95 percent stake in Rimau block.

Editing by Dadan Wijaksana