EnQuest takes first step toward E&P in eastern Indonesia

Last week Indonesia’s Ministry of Energy and Minerals declared an EnQuest-led consortium as the winning bidder for two production sharing contract (PSC) blocks in Papua Barat, Indonesia: Gaea (onshore) and Gaea II (offshore/onshore).

Both are thought to contain potential for multi-Tcf gas discoveries.

Following execution of the PSC, EnQuest will be designated as operator with a 40% interest, in partnership with the Tangguh joint venture (40%), which consists of bp Exploration Indonesia Ltd., MI Berau B.V. (an INPEX and Mitsubishi joint venture company), CNOOC Southeast Asia Ltd., ENEOS Xplora Inc., Indonesia Natural Gas Resources Muturi Inc. and KG Wiriagar Petroleum Ltd. (a Mitsui company). Partner PT Agra Energi Indonesia holds the remaining 20%.

It represents EnQuest’s first foray into Indonesia. The UK-based independent operates gas production offshore Peninsular Malaysia and recently agreed to acquire Harbour Energy’s producing fields in the Vietnamese sector of the Natuna Sea.