Pertamina, Statoil to spend $75 million on Karama block
Sunday, March 4 2007 - 11:45 PM WIB
State oil and gas firm Pertamina and its partner, Norweigen oil firm Statoil have set aside US$75 million to drill the Karama block in Makassar Strait over the next three years.
Tri Siwindono, Pertamina?s deputy director of upstream development, said over the weekend that the firms would jointly operate the area, which is believed to hold potential reserves of 200 million barrels of oil.
He said that the majority of the stake in the area would be held by Statoil with a ratio of 51 percent and 49 percent, adding it would also provide the technologies needed for the exploration activities in the block.
On March 2, the government had announced the winner of oil and blocks offered through regular tender. Karama is one of 12 blocks that attracted bidders in the tender. It lies over an area of 4,287 square kilometers. (godang)