Saka: Potential partner in South Sesulu block waiting for second drilling

By Febry Silaban

PT Saka Energi Indonesia, the upstream subsidiary of IDX-listed gas distributor PT Perusahaan Gas Negara Tbk (PGN), is still in the process of farming out interest in the South Sesulu block, offshore East Kalimantan.

?Now it is still in the process of farm out. The prospective partner is still waiting for the second well (South Sesulu-2) to be drilled,? Saka?s Operational Director Tumbur Parlindungan told Petromindo.com without disclosing the name of the prospective partner.

Tumbur said earlier that the drilling of South Sesulu-2 well may be delayed to the end of December 2016 or early January 2017. The drilling program was originally scheduled in early November of this year. However, he did not say the reason for the postponement.

Saka has so far drilled only one exploration well in the block, SIS-A#1, in December 2014, where it struck gas reserve which is estimated at 500 bcf.

Previously, a source told Petromindo.com that the drilling is planned because the firm has been approached by a Japanese firm which is interested to buy a stake in the block on the condition that the firm should drill another well to confirm the potentials of the block. The block is 100 percent owned by Saka. Following the gas discovery, Saka announced it was seeking for a partner to develop the block.

Editing by Reiner Simanjuntak