Medco to increase capital expenditure by 85% in 2004
Tuesday, December 9 2003 - 02:48 AM WIB
In its report to the Jakarta Stock Exchange (JSX), the company?s corporate secretary Sugiharto said that about $123.93 million of the capital expenditure would be spent on oil and gas, up from $90.52 million this year and another US$10.16 million on drilling activities, down from US$106.38 million this year.
About of $0.61 million of the capital expenditure would also be allocated for methanol, down from $1.3 million this year, and about $301.8 million for other activities, a significant increase from $37.93 million this year.
Sugiharto said that Medco would increase operational expenditure (opex) by about 70 percent to $445.11 million next year from $265.19 million this year. Of the total, about $160.32 million will be spent on oil and gas, an increase from $135.67 million, about $91 million on drilling, up from this year?s $79.66 million, about $23.66 million on methanol, down from this year?s $32.60 million, while for other activities, the operational spending would increase significantly to $169.91 million, up from $17.25 million this year.
Medco also estimates its oil production will reach 70.2 thousand barrels per day in 2003, down from 87 thousand barrels per day last year. Up to September this year, the company?s oil production was about 70.4 thousand barrels per day.
The company estimates that the average oil price will reach $27.4 per barrel this year up from $25.3 per barrel last year. Its gas sales are estimated to reach 82 million cubic feet per day this year as compared to 68.8 million cubic feet last year. (*)