Medco to sell Apexindo later 2004

Medco to sell Apexindo later 2004

JAKARTA: Medco Energi Internasional, an Indonesian oil and gas
company, on Tuesday said it plans to dispose of a majority stake
in unit PT Apexindo Pratama Duta through a strategic sale.

"We expect to complete the sale of Apexindo later this year or
by the first quarter of next year," Medco's Finance Director
Sugiharto told reporters.

Medco has a 77.53 percent stake in Apexindo, which is involved
mainly in oil drilling. Sugiharto didn't elaborate, but said
Medco over the next five year will focus on its upstream, power
plant and petrochemical operations.

"After the sale, we will have only a minority stake in
Apexindo," Sugiharto said. He didn't provide figures for the
value of the unit sale.

To boost its revenue, Medco is also planning to acquire two
oil and gas blocks in Indonesia, as well as to build a power
plant on Batam Island, he said. Sugiharto said the company also
expects to complete the takeover of Australian mid-sized energy
company Novus Petroleum Ltd. later this month.

"We now have a 92.33 percent stake in Novus and expect to buy
the remaining stake on Aug. 20," he added. -- DJ