Kris Energy Completes Indonesia Gas Asset Purchase

KrisEnergy has completed the acquisition of Premier Oil Sumatra (North), which holds about 41 percent working interest in the Block A Aceh production sharing contract (PSC) from Premier Oil Overseas.

The deal to acquire the Indonesian asset was announced in July last year.

Approval for the change of control has been received from the government of Indonesia and the provincial government of Aceh, Kris Energy said in a statement Monday.  

Block A Aceh is located onshore Sumatra in the semi-autonomous region of Aceh and covers an area of 1,803 sq km. It contains several gas condensate discoveries including the Alur Rambong, Alur Siwah and Julu Rayeu fields, which were approved for development in 2007. These gas condensate discoveries are expected to go into development with first gas from Alur Rambong anticipated in 2017. The block also contains the Matang gas discovery, which requires further appraisal prior to being developed via tie-back to the initial facilities, and the high-CO2 Kuala Langsa gas discovery.

“With all approvals now in place for our transaction, we are very excited to be able to progress commercialisation of Block A Aceh with our joint-venture partners. We aim for a 50:50 mix of oil to gas production in our portfolio and Block A Aceh will maintain that balance following our two oil developments in the Gulf of Thailand due on stream in 2015 and the Lengo gas field offshore East Java thereafter,” Richard Lorentz, Executive Director and Director Business Development, Kris Energy said.  

PT Medco E&P Malaka is the operator of the Block A Aceh PSC with a 41.6667% working interest and Japex Block A Ltd. holds the remaining 16.6667%.