Statoil relinquishes deepwater Karama block

By Godang Sitompul

Statoil of Norway and PT Pertamina Hulu Energi (PHE) have decided to relinquish the deepwater Karama block in the Makassar Strait and return it to the government.

The block is 51 percent owned by Statoil, and 49 percent by PHE.

SKK Migas Head of PR, Security and Formality Division Hadi Prasetyo said that the decision came after the firms completed the evaluation on their exploration activities which failed to indicate adequate findings of hydrocarbon.

?For six years, Statoil had carried out its exploration commitments stated under the PSC. The exploration activities included geological and geophysical studies, 3D seismic, and drilling in three wells,? Hadi said in a media statement.

The three wells are Gatotkaca, Anoman and Antasena.

Hadi said all those activities cost about US$271 million, which was solely the responsibility of Statoil and PHE.

Editing by Dadan Wijaksana