Medco to increase gas output from South Sumatra by 50 percent

National energy firm PT Medco Energi International Tbk will increase gas output from its South Sumatra Extension block by 50 percent to about 120 million cubic feet per day (MMCFD) from 86 MMCFD.

Pudjo Soewarno, general manager of Medco?s South Sumatra Extension, told reporters on Wedenesday that the increase in the gas output would be possible following new discoveries by the firm in the blocks? Rambutan, Lagan and Gunung Kemang wells.

?In Gunung Kemang, for instance, we found a gas cave that contains a lot of gas which we expect to produce starting May this year,? he said.

The firm however did not find much oil in the wells. Still, the firm will be able to increase the block?s oil output to 10,000 barrels per day (bpd) from 8,000 bpd at present.

He also said the firm had also drilled five wells in the block to look for coal bed methane resources.

?The result is very promising. Yet, we can?t unveil any figures right now,? Pudjo said. (Godang)