Medco may be assigned as temporary operator of Kampar block

By Godang Sitompul

The government is likely to appoint IDX-listed energy firm PT Medco Energi Internasional Tbk as the temporary operator of the Kampar block in Indragiri Hilir, Riau, until a definitive one has been selected.

Medco?s main responsibility will be to maintain the block?s current production of 2,000 bopd, company President Director Lukman Mahfoedz told Petromindo.com Tuesday.

?Regarding the Kampar block, last week Medco was invited by the government to discuss (the possibility of being a temporary) operator of the block,? Lukman said, adding that the company has agreed to the request.

The Kampar block is part of South and Central Sumatra PSC. The PSC consists of two sections or blocks, namely South Sumatra Extension and Central Sumatra Kampar. The latter is better known as Kampar block.

Medco has reportedly obtained a contract extension for the South Sumatra Extension block for another 20 years starting Nov. 27, 2013.

Medco?s contract over the Kampar block would also expire on November 27, 2013, but the government has yet to make a decision on the company?s request for a contract extension. Meanwhile, dozens of firms reportedly have expressed interest to take over the Kampar block.

Editing by Reiner Simanjuntak