Pertamina wants to increase stake at E. Java oil, gas block

State oil and gas company PT.Pertamina said it wanted to increase interest in West Madura PSC and to take over the block?s operatorship if the government agreed to extend the block?s contract for another 20 years.

Upstream Director Karen Agustiawan told reporters on Wednesday operatorship and majority interest in the block would enable Pertamina to further increase oil production from the block and conduct exploration to secure new hydrocarbon reserves.

Currently Pertamina hold 50 percent interest in the block with operator South Korean energy firm Kodeco Energy and Chinese oil, gas giant CNOOC holding 25 percent each.

The block?s contract will expire in 2011 and Kodeco has submitted formal request to extend the block?s contract, Eddy Hermantoro, E&P Director at the Ministry of Energy and Mineral Resources said.

Karen did not specifically disclose the percentage of additional interest Pertamina wanted to get from the block.

Government has a right to decide on the block?s contract extension including setting up new terms and condition.

Sung Sik Min, a representative of Kodeco Energy said that Kodeco disagree on Pertamina?s wish for interest increase. ?We prefer to stick to the current composition and we want to retain the block?s operatorship,? he said.

West Madura PSC currently produces 6,500BPD of oil and 45 MMCFD of gas. (godang)