Premier?s Indonesian net production up in H1 2002

UK based oil and gas firm Premier Oil reported on Monday its Indonesian net oil and gas production during the first half of 2002 averaged 17,500 barrels of oil equivalent per day (BOEPD) ? up by 9,600 BOEPD from the corresponding period in 2001 ? mainly due to high volumes from the Premier operated block A Anoa gas export facilities

The company said the facilities have been operated with an excellent health, safety and environmental record. One year of continuous operation was achieved in June without a significant accident. At the same time, efforts are continuing successfully to reduce operating costs and increase operational efficiency.

The company also said engineering work on the development of additional gas reserves discovered on block A has continued in the half year and capital cost reductions in the project have been identified. Exploration and appraisal activity had been focussed on interpreting the seismic information acquired in 2001 on the eastern part of block A referred to as Area IV. Promising oil prospects have been identified and two wells on Area IV - Kuda Nil and Binturong - are planned for the fourth quarter of 2002.

Premier, the operator of West Natuna Block A PSC, has 66.7 percent working interest in the block. Premier?s Block A PSC, together with ConocoPhillips? Block B and Kakap PSCs currently supply natural gas from West Natuna Singapore. Premier also has minority participating interest in Kakap PSC.(alex/Robert)