New Zealand Oil & Gas Buys Stake in Indonesia Oil, Gas Block

New Zealand Oil & Gas (NZOG) has picked up a new interest in a Production Sharing Contract (PSC) onshore south Sumatra, Indonesia.

The company along with partners has won a permit to explore the Palmerah Baru block covering approximately 1,000 km2.

As per the deal, the joint venture will be committed to an initial three year exploration work programme to include both 2D and 3D seismic acquisition and one exploration well, NZOG said.

New Zealand Oil & Gas will have a 36% stake in the Palmerah Baru PSC. Its partners are Bukit Energy Palmerah Baru Pte Ltd (54%, Operator), and PT SNP Indonesia (10%).

“The Palmerah Baru block is surrounded by oil and gas fields, including a very large field to the south and a recent discovery to the south-southeast. Because of developments in the
area, the infrastructure necessary to transport product is nearby,” NZOG chief executive Andrew Knight said.

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