Pertamina to ink three contracts this month

JAKARTA (JP): The state-owned oil company Pertamina will award two new contracts for technical assistance and another for oil and gas exploration and exploitation later this month, a Pertamina executive says.

"The two technical assistance contracts will be awarded to Babat-Kukui Corporation and Patrindo and the production sharing contract to Petrocorp of New Zealand," Pertamina's director for production and exploration G.A.S. Nayoan told The Jakarta Post during a break in a hearing with the Commission X of the House of Representatives (DPR) here yesterday.

The contract will allow Petrocorp to explore onshore areas in Karang Besar block in Kalimantan while Babat Kukui Corp. and Patrindo will be allowed to operate in the Babat Kukui onshore area in South Sumatra and Mogoi Wasian onshore area in Irian Jaya.

In addition to the three contracts, he said, Pertamina is now in final negotiations with four companies; Bow Valley Corp of Canada, PT Caltex Pacific Indonesia, Santa Fe Ltd. and Mobil Oil for oil and gas exploration at Cenako onshore area and CPP onshore block in Riau, Kepala Burung onshore field in Irian Jaya and Peududa offshore area in Aceh, respectively.

"We are also awaiting government approval for another technical assistance contract for Meruap onshore area in Jambi," he added.

The contract will likely be awarded to PT Binawahana Petroleum of Indonesia, he said.

He added that Pertamina will close the bidding of the technical assistance contracts for 10 areas in Irian Jaya, South Sumatra and Jambi on June 17.

They include the onshore areas of Salawati A, C, D, E, F and N, all in Irian Jaya and Ramok onshore and Senabing onshore areas, both in South Sumatra and Sungai Gelam and Tuba Obi Timur onshore areas, both in Jambi, he said. (fhp)