Petronas acquires BP's C. Java gas block

Anglo-American oil gaint BP Plc. continues to shed its Indonesian assets by selling its 100 percent working interest in Muriah PSC offshore Central Java to Malaysian oil giant Petronas, an industry source said.

The source did not provide further details.

The sale was part of BP's strategy to focus its Indonesian business to tangguh LNG project. BP had also sold its 100 percent interest in Kangean gas block offshore East Java to JSX-listed company Energi Mega Persada, which is partly controlled by businessman Reiner Latief thsi week.

Muriah block is estimated to contain an estimated recoverable gas reserves of 500 billion standard cubic feet.

Last July, BP and sate-owned electricity firm PLN signed an agreement to supply up to 140 million cubic feet per day from Muriah's Kepodang gas field to the latter?s 1,058 megawatt Tambak Lorok combined cycle power plant in Semarang starting in 2006 for a 12-year period. (alex)