Pertamina mulls Aceh gas block acquisition
Tuesday, March 11 2014 - 01:14 AM WIB
State oil and gas company PT Pertamina (Persero) says it is currently reviewing a possibility to acquire stake at Block A gas block, onshore Aceh, that is being offered for sale by UK independent oil and gas firm Premier Oil Plc.
Investment and Risk Management Director Afdhal Bahauddin told Petromindo.Com on Monday that the company is reviewing the technical issues such as reserves, production as well as non-technical issues.
?No decision has been made,? he said.
Separately, Saka Energy, an upstream subsidiary of state gas distribution firm PT PGN (Persero) says it is not interested to acquire stake in the Block A.
?We don?t think the acquisition will be beneficial to us,? Operations Director Tumbur Parlindungan told Petromindo.Com.
Premier Oil, which has a 41.67 percent interest in the Block A has stated intention to sell stake in the block.
The block is operated by PT Medco Energi Internasional Tbk, which also holds a 41.67 percent interest.
Medco has signed deal to supply 110 MMCFD of gas per day to state electricity firm PT PLN (Persero) and is in the process to sell 55 MMCFD of gas to Aceh fertilizer maker PT Pupuk Iskandar Muda (PIM) starting 2016.
Editing by Alexander Ginting