NZ firm pursues Indonesian E&P opportunity

New Zealand Oil & Gas Limited (NZOG) has teamed up with Bukit Energy to pursue oil, gas E&P investment opportunity in Indonesia.

?Over the past six months we have built a strategic alliance with an Indonesian-focused company, Bukit Energy, and together we are pursuing a number of exciting opportunities, primarily in onshore Sumatra,? the company said.

According to NZOG, seven initial opportunities were identified and as a result of the assessments completed to date, two investment decisions have been taken. The first was an application for a Joint Study Agreement (JSA) over open acreage in northern Sumatra , which is expected to be awarded shortly. The second has seen NZOG and Bukit jointly make a farm-in offer to the operator of an attractive permit in central Sumatra.

Other opportunities remain under assessment, it said.

Earlier this year NZOG was outbid when a bundle of assets in Indonesia were put up for sale ? but has remained actively engaged in looking for other opportunities.

Bukit is a new company put together by experienced oilmen with a deep understanding of Indonesia . CEO Jerry Sykora was formerly in senior management roles at Talisman Energy and Nexen, with responsibilities for Indonesian activity. Bukit has secured private funding of US$16m for its activities.

NZOG is working with Bukit Energy to target opportunities that are: in proven basins; generally onshore therefore low cost; close to existing infrastructure; and more likely to be oil than gas. NZOG and Bukit will use modern methods including 3D seismic acquisition and apply high quality technical assessment to identify a portfolio of low risk opportunities, it said.(alex)