Talisman turns to Europe, Asian investors to develop Andaman III PSC

By Godang Sitompul

Canadian firm Talisman Energy is seeking potential investors from Europe and Asia to acquire part of the interest at its Andaman III PSC offshore North Sumatra Basin.

?Talisman is targeting buyers from Europe and three from Asia,? a source told Petromindo.com on Friday, adding that the company has not disclosed the names of the potential investors.

Talisman started the process to farm down a portion of its 100 percent interest in the Andaman III PSC in November of last year.

A large, underexplored block that is close to existing fields, infrastructure and markets, the Andaman III PSC covers an area of about 8,517 km2. It lies within the proven North Sumatra basin where prolific source rocks, clastic and carbonate reservoirs, top and lateral seals come together to create a proven petroleum system with a variety of play types supported by multiple DHI?s, the company said on November 8.

The farm out process follows from Talisman?s recently completed integrated studies which have significantly increased the prospectivity of the Andaman III Block. These integrated studies have included updated offset wells analysis, a gravity study, seismic facies and detailed paleogeographic map reconstructions, updated basin model and hydrocarbon migration modeling. Together these studies have demonstrated the significant exploration potential of the block, with material leads ranging from 104-410 mmboe and total on block potential ~1.5 bboe.

Talisman was awarded the production sharing contract for the Andaman III block in 2009, holding 100 percent interest.

Editing by Reiner Simanjuntak