Medco submits POD for S. Sumatra Singa gas field

Swedish oil and gas exploration and production company Lundin Petroleum AB announce on Tuesday that Plans of Development (POD) for the Singa gas field onshore South Sumatra had been submitted to the Indonesian government.

Lundin, however, did not give further details on the POD.

The Singa field is located within the Lematang production sharing contract. The block is operated by PT Medco E&P Indonesia (MEPI) with 74.12 percent of working interest, while Lundin and Serica Energy Corp of Canada hold 15.88 percent and 10 percent, respectively.

Lundin said in its quarterly report that an existing heads of agreement to supply 50 million cubic feet of gas per day (mmcfd) from the block were being finalized.

In January, MEPI signed a head of agreement with Krakatau Steel to supply up to 100 mmcfd. Meanwhile, MEPI also has signed a memorandum of understanding with state-owned gas transmission PT PGN for the supply gas to West Java for 15 years starting from 2009.

Serica reported in March that the Singa 2 well had tested gas at a rate of 12.5 mmcfd, while the Singa 1 well eventually tested at 32 mmcfd.(Robert)