JAKARTA (Yosefardi) – State oil and gas company PT Pertamina, through its unit PT Pertamina Hulu Energy (PHE), and PTTEP Netherlands Holding Cooperatie U.A, subsidiary of PTTEP, have signed share purchase agreement (SPA) for acquiring unit of Hess operating in Indonesia.

Hess’ unit holds 75% participating interest in Pangkah block and 23% participating interest in Natuna Sea A block. Pangkah block is located offshore of East Java while Natuna is located near the border of Indonesia and Malaysia.

VP Corporate Communication Pertamina, Ali Mundakir, said Pertamina and PTTEP hold the similar portion of interest in 2 blocks with the transaction valuing of US$ 1.3 billion.

Pangkah block currently produces around 7,000 barrels oil per day and 33 million cubic feet od gas per day with potential and proven reserves of 110 million barrels oil equivalent.

Natuna block now produces 145 MMscfd from Anoa field, 75 MMscfd from Gajah Baru field and 2,350 barrel oil per day with total potential and proven reserves of 209 million barrel oil equivalent.

Other partners in Natuna block are Premier Oil (28.67% participating interes), KUFPEC (33.33%), and Petronas (15%).

Pertamina targets to becoma the main player in oil and gas upstream business in 2015 while focusing on its regional expansion. In 2025, Pertamina’s production is expected to reach 2.2 million barrel oil equivalent per day.