SINGAPORE, April 16 East Timor's oil regulator
has signed a contract with Italy's Eni to explore for
and produce oil in the Timor Sea, a senior official said on
Autoridade Nacional do Petróleo (ANP) and Eni signed the
production sharing contract on Saturday for JPDA 11-106, a block
in the Joint Petroleum Development Area (JPDA) between East
Timor and Australia, said Rui Maria Alves Soares, ANP's director
for development and production.
"It is also the first time that our national oil company is
joining an exploration project," he said.
The project aims to increase output at the neighbouring
offshore Kitan oilfield, or JPDA 06-105, where output has halved
from peak levels of 40,000 barrels per day since it started
production in the fourth quarter of 2011.
The consortium will drill two wells in the first two years.
Oil and gas group Eni operates the Kitan field, with a 40
percent stake, while Japan's top oil and gas explorer Inpex Corp
owns 35 percent. Talisman Energy Inc holds the