Santos highlights Indonesian Q1 activities

The following is an excerpt from Santos Limited's Quarterly Report released on Wednesday.

Maleo gas field, Madura Offshore PSC, E. Java (Santos 67.5%, operator)

Production from the Maleo field continues to be impacted by capacity restrictions in the East Java gas pipeline (operated by Pertamina) following a rupture of this line during November 2006. Gross production rates from Maleo during Q1 2008 averaged approximately 89 TJ/day, or about 83.93 MMCFD

Indonesian crude oil production of 0.03 mmbbl was lower than Q4 2007 due to lower Kakap oil production.

Oyong field, Sampang PSC, offshore E. Java (Santos 45%, operator)

Oil production from the Oyong field in the Sampang PSC, offshore East Java, commenced on 21 September 2007 and production continues in-line with expectations of approximately 8,000 bopd.

Oyong Phase 2, development of the gas reserves, achieved project sanction in December 2007. All major engineering, procurement, construction and installation (EPCI) contracts for the project are in place and first gas production is anticipated in 2H 2009. A gas sales agreement has been signed with PT Indonesia Power, with gas to be piped via a 55 kilometre pipeline to an onshore processing facility adjacent to the Grati power station in East Java. (end of excerpt)