Indonesia's Pertamina buys Anadarko's East Kalimantan units

JAKARTA Mon Dec 10, 2012 4:59am EST

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JAKARTA Dec 10 (Reuters) - PT Pertamina, Indonesia's state-controlled oil and gas company, has agreed to acquire three Indonesian units of U.S.-listed oil firm Anadarko Petroleum Corp, Pertamina said in a company statement on Monday.

Pertamina bought Anadarko Ambalat Limited, Anadarko Bukat Limited and Anadarko Indonesia Nunukan Company, through Anadarko Offshore Holding Company LLC.

Anadarko Ambalat Limited and Anadarko Bukat Limited own 33.75 percent stake in Ambalat and Bukat block, while Anadarko Indonesia Nunukan Company owns 35 percent stake in Nunukan block. These blocks are all located in East Kalimantan, nearby Malaysian borderline with estimated production of 40,000 barrels per day (bpd) crude oil.

"The acquisition is part of the company's strategy to boost aggressive growth in upstream sector... It will also give an opportunity for Pertamina to improve its deep-water operation."

The transaction size was not disclosed by Pertamina.

Last January, Pertamina planned to spend 80 percent of this year's capital expenditure of 52.8 trillion rupiah ($5.90 billion) on mergers and acquisition of domestic oil gas blocks and increasing overseas portfolio performance, after it failed to acquire an overseas block in Angola.

The southeast Asia's biggest economy has struggled to attract energy investment in recent years as its crude oil output is falling.

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Comments (1)
Venerability wrote:
The key words are “opportunity to improve its deep-water operation.”

Many of us believe that once the Petrodelta acquisition is in hand – approvals should be in soon – Pertamina will take a stake in Harvest’s (HNR) large and prospective Western South China Sea block, which abuts the Talisman block which Pertamina is also buying into.

There should be a combined international effort to develop these two adjoining blocks, a first and important step in establishing this whole very potentially attractive region.

Dec 10, 2012 1:40pm EST  --  Report as abuse
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