Pertamina eyeing Sumatra, Kalimantan CBM licenses

State oil, gas company PT.Pertamina is applying to get at least 10 CBM exploration licenses on its oil, gas working areas in Sumatra and Kalimantan to tap 30 TCF of CBM resources.

Senior VP Upstream Business Development Gunung Sardjono Hadi said on Wednesday that Pertamina is working to get all the licenses awarded by the government this year.

One of the CBM block called Sangatta I in East Kalimantan has been awarded in November 2008. Pertamina is forming a 52: 48 joint venture with Energi Pasir Hitam (Ephindo) to explore the block, he said. The JV has firm commitment to drill five wells in the block.

He estimated the JV would have to spend between US$200-300 million in 7 years to fully bring the block to production.

According to him, both areas in Sumatra and Java has potential resources of 15TCF each.

Gunung also said that Pertamina will be working with various partners including Royal Dutch/Shell, Arrow Energy and IndonCBM to explore for CBM in the area. ?We will be working with partners which have expertise in CBM exploration and exploitation,? he said.(alex)