PHE WMO to spend $671 million to meet production target

Pertamina Hulu Energi (PHE) West Madura Offshore (WMO) plans to spend up to Rp 6.04 trillion (about US$671 million) in capital expenditure in order to meet production target of about 23,000 barrels per day and 167 million standard cubic feet (MMSCFD) this year.

?We hope the target can be achieved or even be passed,? said deputy chairman of oil and gas upstream regulatory body BPMIGAS Hardiono during a site visit at the onshore receiving facility of PHE WMO in Gresik, East Java on Wednesday.

The visit is part of BPMIGAS program to identify problems which could be faced by oil and gas production sharing contractors (PSCs) in conducting their activities.

Meanwhile, senior executive VP and General Manager of PHE WMO, Imron Asjhari, said that in 2011, production of PHE WMO reached a total of 13,000 barrels per day and 150 MMSCFD of gas.

In order to further boost oil and gas production, PHE WMO had recently rented two rigs for two years to carry out exploration activities. This year, the company will drill 12 development wells, 9 exploration wells and 14 reworking wells. ?We try hard in order to meet the target,? Imron said.

Editing by Roffie Kurniawan