Medco to extend S. Sumatra block contract

JSX-listed energy firm Medco Energi Internasional has filed request to extend the contract of its South Sumatera Extension PSC for another 20 years, the company official said.

 

“Medco will discuss this matter with upstream oil and gas regulatory body BPMIGAS today,” Medco senior VP for external relation Aditya Mandala told Petromindo.Com on Thursday.

 

According to him, the block’s contract expires in 2013. Medco has 99.99 percent interest in the block. Under the regulation, contractor may o request for contract extension at least 10 years prior to expiration date.

 

Based on 2006 data, the block's crude production stood around 10,000 BPD and while its gas output, which is supplied to state owned fertilzer firm PT Pupuk Sriwijaya, reached around 75 MMCFD. (godang)