Tender Procurements and Contract Opportunities Indonesia

Daily Duty Diru PHE Dwi Martono said on May 25 and then the company had already agreed on a plan furnished by CIC and the development of Eni, which is the closest partners of the company.

Commitment to cooperation, he said, is a continuation of its 10% participating interest by Pertamina on Block Makassar Strait.

"We've already pocketed the 10% participating interest in the Makassar Strait. Agreement of May for its development and commitment to continuation of the program here as partners Pertamina in IDD, "Dwi said today.

IDD is the production of oil and gas development project in the deepwater Makassar Strait of Makassar Strait Block (CIC 90%, Pertamina 10%), Ganal Block and Block Rapak (CIC 80%, Eni 20%), and Block Muara Bakau (Eni 55% , GDF 45%).

In the four blocks there are five fields to be developed, namely Bangka, Gehem, Gendalo, Maha, and Gandang.

"PHE had been submitted formally to enter into Ganal and Rapak with the amount of 10%, but so far still in the process," said Dwi.

Dwi said the deal are mentioned various development plan that will be the companies involved.

In it, he said, also included on the investment of funds and also the involvement of experts from Pertamina in the project.

Based on the PoD approved on August 2007, the value of capital expenditure that will digelontorkan contractor during the project until 2028 to reach approximately U.S. $ 6.98 billion.

PoD define a cost of U.S. $ 2.19 billion for the cost of drilling of 28 wells, while U.S. $ 4.79 billion will be used to build floating processing unit or a floating processing unit.

According to Dwi, in 2012 the parties will make a final investment decision (final investment decision / FID) to decide whether the project continues to be expanded or terminated.

IDD is expected to start production in 2016 with peak production target of 800 in 2018 berpakasitas MMscfd.

"As many as 75% of the gas produced will be exported in the form of LNG to Japan which is currently existing POA [Principle of Agreement] with buyers in Japan," he said.

Currently the project is implementing a review of HRD and the FEED (front end engineering design) studies and design of the equipment to be installed subsea well includes FEED, FEED FPU (floating production unit), FEED and FEED driling mooring. (Wiw) By: Rudi Ariffianto (Bisnis.com)

www.tenderoffer.biz