Pertamina acquires Murphy?s stake in Semai PSC

State oil and gas firm PT Pertamina has signed an acquisition deal to farm-in 15 percent interest in Semai II block, offshore Papua from US energy firm Murphy Oil Corp., a company executive said on Monday.

Pertamina?s Upstream Director Bagus Setiardja said that the deal was signed on June 17, 2010. ?Pertamina has allocated funds for 15% Petroleum Operation from part of the signature bonus and PSC committment,? he said.

The deal has been submitted for formal notice to upstream oil and gas regulator BPMIGAS and Directorate general of oil and gas at the Ministry Energy and Mineral Resources, he added.

He declined to disclose the value of the 15% interest in block.

Semai II offshore block covers approximately 3,300 square kilometers, located south of West Papua.

The block was awarded in November 2008, with Murphy Oil Corp operating the block with 33.33 percent interest. Thai firm PTTEP holds 33.33 percent, while INPEX Corporation of Japan controls the rest of interest.

According the first 3 years commitment, the partners will conduct a 3D seismic survey and drill 3 exploration wells. Signature bonus is US$11 million. Total commitment in the first 3 year is $138.5 million.

In Sept 2009, Murphy and its partners announced a drilling rig procurement tender. The rig will be operating in the deepwater of at least 2,200 meters and will start drilling in late 2010. (bernard)