Salamander Energy acquires Bontang PSC

Independent exploration and production company Salamander Energy Ltd said Tuesday it had completed the acquisition of Bontang Exploration Company (BONEC), a company that holds an 80 percent interest and operatorship in the Bontang PSC of East Kalimantan.

?This is the second major deal that Salamander has wrapped up in 2006, and is in line with its stated expansion strategy. Earlier this year, Salamander secured a 2.5% interest in the Offshore NW Java and SE Sumatra PSCs,? the company said in a statement.

The Bontang block is located in the prolific Kutei basin in East Kalimantan. The PSC was originally awarded by the government in 2003 to PT Eksindo Petroleum Tabuhan.

According to the statement, the acreage contains a 1982 gas and condensate discovery named Tutung and is adjacent to the producing Sangatta oil field.

The Tutung feature represents an attractive opportunity for Salamander to use modern technology in order to appraise the discovery, which has been largely overlooked for the past 20 years, the company added.

Founded in 2005, Salamander, is incorporated in the UK and has offices in Singapore and London. The company also holds interests in Thailand?s gas fields. (robert)