Medco in talk to farm in E. Indonesia exploration block

Exspan Indonesia, an E&P unit of JSX listed oil company Medco Energi International is in the final; phase of negotiation to acquire an exploration block located in the eastern part of Indonesia, company executive said.

?I can?t reveal the exact detail now because of confidentiality agreement, but it?s located in the eastern part of Indonesia. We are hoping to be able announce the deal within a month,? Exspan?s operational director Edi Bambang Setiobudi told Petromindo.Com on a sideline of IIOGE conference in Bali Saturday.

Exspan will acquire operatorship and majority interest in the block by financing the drilling of one exploration well within the block, said Edi. He said Exspan would use Medco?s rig to undertake the drilling.

Medco is aggressively expanding its production and exploration acreages and had recently farm-in several blocks in North Sumatra and East Java (alex)