Petronas keen to increase Indonesian E&P presence

Malaysian state oil and gas company Petronas said its was ready to expand its Indonesian E&P business and admitted it was keen to have equity participation in Pertamina?s Central Sulawesi gas project.

?Petronas will continue to seek opportunity to increase presence in Indonesian upstream business, because Indonesia has an important role in Petronas? investment portfolio,? said President and CEO Tan Sri Hassan Marican when briefing journalists on Sunday.

Marican admitted that Petronas is interested to take part in some Indonesian upstream projects including participation in Pertamina?s Donggi giant gas field in Central Sulawesi and participation in ExxonMobil-operated East Natuna giant gas block.

Marican said in the next few years Petronas will invest more thean US$100 million per year in capital expenditure in Indonesian E&P business units.

Petronas has already has stakes in several E&P ventures in Indonesia including Jabung block onshore Jambi province, Offshore Natuna Block A, Ketapang block and Karapan blocks, both are located offshore East Java, Tanjung Aru block offshore East Kalimantan and stake in PT. Transgasindo, gas pipeline transporter.

Petronas is also the offtaker of gas from ConocoPhillip?s-operated South Natuna Block B and is negotiation with the same company to buy gas from Corridor BlockPSC onshore South Sumatra. (alex/godang)