Total sells 10% PI in Southwest Bird?s Head Exploration Block to Indika
Thursday, February 21 2013 - 01:37 AM WIB
Total, through its subsidiary Total E&P Indonesie West Papua, announced Wednesday that it has signed an agreement to sell a 10 percent participating interest in the Southwest Bird?s Head Exploration Block in West Papua to IDX-listed PT Indika Energy.
The company said in a statement that the agreement was signed with Indika?s subsidiary PT Indika Multi Daya Energi (IMDE). Total retains the remaining 90 percent interest as the operator of the block. The transaction is subject to the approval of the Indonesian authorities.
?This transaction is a first step for developing a wider cooperation between Total and Indika Energy and demonstrates Total?s ability to team-up with quality local partners to explore and develop Indonesian Oil & Gas resources,? said Elisabeth Proust, Total Group Representative in Indonesia and General Manager of Total E&P Indonesie West Papua.
SKK Migas Chairman Rudi Rubiandini told petromindo.com that the agency is still waiting for Total to report the transaction. ?Usually after the farm-out deal was closed, they then report it to SKK Migas,?
Total was awarded the PSC in August 2011 as part of the Second Round 2010 Regular Tender. This exploration block is located in the on-offshore Salawati Basin of the Province of West Papua, covering an area 7,176 square-km. This block acquisition was in line with a more ambitious exploration strategy to target risky but large prospects in frontier areas. The first exploration well is planned to be spudded by end of April 2013.
Editing by Reiner Simanjuntak