Asia Pacific focused AziPac acquired 50% interest in the North Madura production sharing contract (PSC) located offshore Java Sea, Indonesia.
AziPac, through its subsidiary Azipac North Madura, acquired 25% interest from Mitra Energy (Indonesia North Madura) and another 25% interest from North Madura Energy.
North Madura covers approximately 1850sq km and is located offshore East Java in 45m water depths. The block is located in the NE Java basin, one of Indonesia’s most prolific hydrocarbon producing areas and is along trend with several producing fields, most notably the Ujung Pangkah and Poleng oil and gas fields. AWE Ltd. operates the block and recently acquired approximately 1000km of 2D seismic over the southern part of the block.
Upon completion of the farm-in, North Madura PSC - AWE through subsidiaries, will hold 50% in the PSC with AziPac holding the remaining 50%.
This farm-in remains subject to the approval of SKKMIGAS and the government of Indonesia.
It is currently anticipated that an exploration well will be drilled on the block in 2016 following analysis of the 2D seismic which was recently acquired over the southern part of the block.
“We are extremely pleased to have secured an interest in the North Madura block and look forward to working with AWE to further explore an area that we believe has been largely underexplored for the past 20 years. Indonesia remains a focus area for AziPac and the North Madura block along with our interest in the Bone PSC, provides a solid base on which to develop our regional asset portfolio,” Frank Inouye, AziPac managing director said.