Medco expects 20 percent increase in oil production<\/p>\n
JAKARTA (JP): Publicly listed oil and gas company PT Medco
\nEnergi International expects its average oil production to surge
\n20 percent to 80,000 barrels of oil per day (bpd) this year, from
\n66,800 bpd last year.<\/p>\n
The company's average gas sales is also expected to rise 20
\npercent to 80 million cubic feet per day (MMCFD), compared to 66
\nMMCFD last year.<\/p>\n
Medco said in statement on Tuesday that it was raising its gas
\nand oil production to benefit from the continued increase in
\ndemand.<\/p>\n
The company's realized oil production during the first quarter
\nof this year increased more than 20 percent to 73,800 bpd, from
\n60,900 bpd in the same period last year. Its gas sales rose 17
\npercent to 77.5 MMCFD from 66.2 MMCFD.<\/p>\n
The company said the growth in oil production was largely the
\nresult of an increase in production at the Kaji\/Semoga field in
\nthe Rimau Block in South Sumatra, while gas sales were higher
\nbecause of a rise in supplies to the PUSRI fertilizer plant in
\nPalembang and to the Bunyu methanol plant.<\/p>\n
In April, the company's oil production continued to grow
\nreaching 75,000 bpd, while gas sales reached 80 MMCFD, the
\ncompany added.<\/p>\n
\"Therefore, we're optimistic of achieving our target this
\nyear,\" it said.<\/p>\n
The company added that oil production would further increase
\nif it stared to operate its oil plant on Tiaka island in Central
\nSulawesi later this year. The plant has the capacity to produce
\n8,000 bpd.<\/p>\n
Medco also said it was hopeful its rig utilization rate would
\ngrow as oil companies increased drilling in response to continued
\nstrength in global oil prices.<\/p>\n
It said that offshore rig utilization increased to 94 percent
\nbetween January and March, compared to 67 percent in the same
\nperiod last year. Onshore rig utilization reached 27 percent from
\n26 percent in the first quarter of last year.<\/p>\n
Last year, the company's revenue almost double to Rp 3.1
\ntrillion (US$281 million) from Rp 1.6 trillion in 1999.<\/p>\n
Oil and gas production accounted for about 82 percent of the
\ncompany's total revenue in 2000, compared to 66 percent the
\nprevious year. Other revenue came from its drilling services.<\/p>\n
The company also recorded a more than threefold increase in
\nnet profit to Rp 572 billion last year, from Rp 176 billion in
\n1999. (05)<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/medco-expects-20-percent-increase-in-oil-production-1447893297",
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