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Govt Revises Conoco Phillips' Contract in Papua  

25 March 2013 16:16 WIB

AP/Sue Ogrocki

TEMPO.CO, Jakarta – The government will reimburse the standstill period of the exploration in Block Warim, Papua, to oil and gas company Conoco Phillips. The block, a sharing contract for which was signed in 1987, had not been worked on since 1997 because most of the area has been used as Lorentz National Park.

Head of public relations at the Upstream Oil and Gas Special Task Force (SKK Migas) Elan Biantoro said the Warim block has about 14,000 square kilometers left, some 30 percent of the block's original size. Other than being used as a national park, some areas in the block were returned to the state because no reserves were found there.

"This block has actually been explored; the initial commitment has been fulfilled and wells have been drilled. After the contract revision is signed, seismic studies may be done this year or next year," Elan said.

He added that the Warim Block is believed to have considerable amount of hydrocarbon potential. Other oil and gas contractors, he said, are developing areas near the block.

"Around (Block Warim) there are plenty of oil and gas blocks owned by Exxon Mobil," he said.

BERNADETTE CHRISTINA



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