Medco?s Kaji/Semoga oil production drops sharply

Despite increased total production, JSX-listed oil and gas company PT.Medco Energi International Tbk. reported sharp drop in its crude production due to the decline of the company?s major oil producing fields Kaji/Semoga in Rimau PSC, South Sumatra.

The company said in a statement released Thursday that average daily oil production declined significantly by 15% to 59,211 Barrel Oil Per Day (BOPD) in 9 months of 2004 from 69,370 BOPD in same period last year. Kaji/Semoga field?s production declined by 31 percent to 37,400 BOPD in 2004 from 54,500 BOPD last year.

Novus assets, which were acquired by Medco earlier, contributed significant oil production of 5,000 BOPD for the 9M04 periods.

Medco?s gas sales, however, increased significantly to 205.5 MMCFD in 9M2004. The increase was contributed by gas sales jump to 102.3 MMCFD compared to 51.9 MMCFD in 9M03 due to new gas contracts to the national power company PLN and gas production from Novus assets of 103.2 MMCFD.

The company said overall 9-month oil and gas average production increased by 20 percent to 93,461 BOEPD from 78,020 BOEPD in 9M03. (alex)