Santos says remedial works required on Maleo gas field

Australian oil, gas firm Santos Limited announced Friday that it will work to maximize oil and gas production in both the Oyong and Maleo fields in Sampang PSC, Madura Straits after confirming production from the Maleo field offshore East Java would be interrupted by repair work to the production rig.

Routine inspections on the leased Maleo jack‐up rig have identified that remedial work is required to the mobile offshore production unit, the company said in statement.

The repair is planned to take place between April and June 2011. Within that time period, there is a possibility of temporary shutdown for approximately 15 days to ensure repairs are conducted in a safe and operationally efficient manner, it said.

Santos will work with upstream oil, gas regulator BPMIGAS to minimize any possible shutdown and the repairs are not expected to have a material impact on Santos? 2011 production.

Santos Indonesia President & General Manager, Marjolijn Wajong said Santos? contribution in Indonesia, and East Java in particular, is very significant and the company was committed to running its oil and gas business in line with sustainable business principles.

?Santos realizes that the electricity and gas demands for industries in East Java are very strategic in supporting economic activities in the province and at the national level. Therefore, we are trying our best to optimize our efforts to meet the existing demands for energy,? said Wajong.

The Maleo field, located in the Sumenep Regency, produces an average of 120 mmcfd of gas supplied to the state gas firm PT Perusahaan Gas Negara (PGN) for use in various industries in East Java. (kanti)