Indonesia's PT Indika Energy Tbk will buy a 10 percent
stake in West Papua oil and gas block from Indonesian unit of
French oil major Total SA, Total said on Thursday.
Total E&P Indonesia West Papua will sell the shares of
Southwest Birds's Head production sharing contract to Indika
Energy's PT Indika Multi Daya Energi unit, but did not disclose
the transaction amount.
"This transaction is a first step for developing a wider
cooperation between Total and Indika Energy and demonstrates
Total's ability to team up with quality local partners to
explore and develop Indonesian Oil & Gas resources," Total's
Indonesia CEO Elizabeth Proust said in the statement.
On Monday, Total E&P, the biggest producer of liquefied
natural gas in Indonesia, has added its voice to complaints by
U.S. oil giant Chevron that Indonesia's rules for
overseas investors are hampering operations in the southeast
Asian country. The move follows ExxonMobil's
difficulties to renew its local CEO's work permit after the
government accusing him of being uncooperative.
Shares of Indika were up 0.7 percent at 1,440 rupiah. The
broader Jakarta Composite Index was up 0.19 percent.
1231 (0531 GMT)