Press Release: Energi Mega Persada reports dramatic lift in Q1 2005 earnings of 427%

Jakarta, Indonesia ? June 29th, 2005: PT Energi Mega Persada (ENRG?) today reported its (unaudited**) first quarter 2005 results for the period ended March 31, 2005. ENRG reported net profit of Rp127.6 billion (compared with a profit of Rp 24.2 billion in Q1 2004). Earnings before interest tax and depreciation (?EBITDA?) increased by 302% to Rp 237 billion (compared with Rp59.2 billion in Q1 2004).

Gross Operated Production Data	Q1 2005	Q1 2004	% Ch
Oil production (M bbls)	0.907	0.873	4%
Gas Production (BCF)	13.309	5.136	159%
Barrels of Oil Equivalent (BOE)	3.125	1.729	81%
?	?	?	?
Realized Prices	?	?	?
Average Realized Liquids Price (US$/bbl)	50.77	29.40	73%
Average Realised Gas Price (US$/mmcf)*	1.92	2.62	-27%
Average BOE Price	18.99	22.14	-14%
?	?	?	?
Summary Profit and Loss (Rp Bns)	Q1 2005	Q1 2004	% Ch
Net Sales	372.1	137.8	170%
Gross Profit	208.9	46.1	353%
Operating Income	188.4	34.9	440%
Net Profit Before Tax	138.2	28.8	380%
Net Profit	127.6	24.2	427%
EBITDA	237.7	59.2	302%
?	?	?	?
*Lower average realised gas prices is due to an increased weighting in production from Kangean Gas which is priced on long term contracts at US$1.66 per mbtu **These results were subject to a limited scope review by Hendrawinata,Gani and Rekan (Grant Thornton)

Mr. Chris Newton, the President Director of ENRG, said that ?production in the first quarter was up 81% on a BOE basis. The result is in line with expectations for 2005.?

?We are very excited about bringing new oil and gas fields into production in 2005 as we drive to increase oil and gas production rates in an attractive oil and gas pricing environment. ENRG continues to stay focused on growing organically the existing portfolio with an aggressive 2005 development, appraisal and exploration program. The Tangulangin 4 well results are looking very encouraging in terms of supporting early oil production in 2005. We look forward to advising on final results of that testing program soon.?

Mr Newton went on to say that ?at Kangean, the first rig to exploit proven shallow reserves close to the Pagerungan field is expected to commence drilling in the third quarter. EMP Kangean Ltd, the operator of the Kangean PSC, recently executed Letters of Understanding with all of its customers in East Java paving the way for binding gas sales agreements and subsequent gas production increases. Development plans for the Terang Sirasun Batur gas fields remain on track.?

?We also closed a US$275m development funding facility for the Kangean PSG. This is a major step forward for the company! and it is a critical milestone in bringing in excess of one trillion cubic feet of proven gas reserves into the desperately short East Java gas market.?

?Kondur Petroleum S.A., a 100% subsidiary of ENRG and the operator of the Malacca Straits PSC, is currently testing last year?s exciting BY gas discovery and this will be followed by the Melibur Deep oil exploration well.?

PT Energi Mega Persada Tbk, through various subsidiaries, operates 3 producing blocks with proven oil and gas reserves. Kondur Petroleum S.A operates the Malacca Strait PSC in offshore Sumatera and combined with another subsidiary, ITA, the company controls a 60.49% working interest. The Brantas Block, which is located in East Java, is operated by 100% subsidiary Lapindo Brantas. lnc, which owns a 50% working interest. The company is the operator and it is the owner of a 100% working interest in the Kangean PSC in East Java. As of January 2005, the company had independently certified 2p reserves of 319.2MMBOE. (end of release)