Oman has agreed an exploration and production agreement with the independent Indonesian exploration firm Medco Energi and Intak, and Omani service provider.
The contract will see the companies study and ultimately produce from an onshore block known as ‘Oman 56’
Oman 56 is located in the prolific Oman Salt Basin. With an area of 5,808 square kilometers and three identified technical discoveries, it has an estimated oil in place of 370mn barrels with six other potential prospects.
Medco is committed to drill three exploration wells in the first exploration period, and has the majority working interest and operatorship of the block.
Medco has been in Oman since 2006 as operator of the Karim Small Fields (KSF) Service Contract.
Oman 56 is located adjacent to KSF with similarities in geology and advantage in synergy of operations.
Lukman Mahfoedz, president director and CEO of MedcoEnergi said: “Oman 56 is one of the biggest exploration acreages in Oman and has a large hydrocarbon potential. It further asserts our presence in the Middle East & North Africa region, specifically in Oman.
“I am confident that in this block we can repeat the success story of our KSF operations.
“This acquisition is in line with the company’s strategy to strengthen the E&P portfolio of assets through high-graded exploration activities, in support of our business growth in the near future.”
