Pefindo: MedcoEnergi obtains rating ?id AA-?

(March 5, 2012) -- PT Medco Energi international Tbk is pleased to announce that PT Pemeringkat Efek indonesia (PEFINDO) has affirmed ?idAA-? ratings for MedcoEnergi and its Shelf Registration Bond 1,2011, Rupiah Bond II/2009, MTN I-II/2009, and MTN II-III/2010. In addition, PEFINDO has also revised and raised the prospect of MedcoEnergi ratings to ?stable? from ?negative? outlook.

Lukman Mahfoedz, President Director and CEO, said ?This rating increase reflects the improvement of MedcoEnergi?s financial performance in 2011, compared to previous year, wherein sales and revenues increased by 23% to USD 1,143.29 million, operating income rose sharply by 96% to USD 224.27 million, and EBITDA increased significantly by 52% to USD 338.2 million. In addition, MedcoEnergi has also successfully reduced its operating expenses by 18% to USD 150.90 million.?

Lukman Mahfoedz then added, ?The increase of the Company rating has also demonstrated our success in maintaining and even increasing oil and gas production, as well as in obtaining a declaration of commercialization in Libya, which resulted in addition of proved and probable (2P) reserves by 14.4% to 290 MMBOE. In future, MedcoEnergi will continue to focus its business in oil and gas exploration and production activities, and will promote the growth of non-oil and gas business through strategic partnership, following to the Company?s success in recapitalization its subsidiary, Medco Power, in 2011.?

Furthermore, Lukman Mahfoedz said, ?As the Company?s commitment in increasing its oil and gas production, the Company has successfully exceeded its oil production of approximately 2,000 BOPD above the target set for domestic operations and 3,000 BOPD above the target set in Oman for the first quarter 2012.? (ends)