ConocoPhillips gives up oil area

ConocoPhillips gives up oil area

JAKARTA: ConocoPhillips, the third-largest U.S. oil company,
and Amerada Hess Corp. are giving up their Indonesian offshore
exploration areas after failing to discover oil and gas.

Amerada Hess will give up the Tanjung Aru block in Makassar
Strait while ConocoPhillips will give up the Nila exploration
block in the West Natuna Sea, Zanial Achmad, deputy of planning
at state oil regulator BP Migas, said on Thursday.

"Neither of the contractors are interested in extending their
licenses after failing to make any significant hydrocarbon
discoveries," Zanial said.

Indonesia is trying to attract foreign investors to explore
for and develop oil and gas reserves to replace aging fields that
have caused the country's production to decrease.

The government may offer the areas to other investors, Zanial
said. -- Bloomberg