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MedcoEnergi gets approval to acquire 20% interest in Oman’s Blocks 60 and 48

2 Dec 2023

Muscat – PT Medco Energi Internasional (MedcoEnergi), a leading Indonesian oil and gas company, announced that it has been granted Royal approval to acquire 20% interests in two blocks in Oman.

MedcoEnergi will acquire from OQ Exploration & Production (OQEP) a 20% interest in the Block 60 producing license and a 20% interest in the Block 48 exploration license, both located onshore in west central Oman, according to a press statement.

‘The transaction is now expected to complete in December 2023. OQEP will remain the operator of both Blocks,’ MedcoEnergi said in a statement on its website.

Hilmi Panigoro, President Director of MedcoEnergi, said, “This acquisition is in line with our strategy of owning and developing high-quality, cash-generative assets with great growth potential. Once completed, the acquisition will increase MedcoEnergi’s daily production by approximately 13mn barrels of oil equivalent per day and contribute significantly to future gas and liquids reserves.”

Oman’s Block 60 holds two producing fields – Bisat oil field and Abu Butabul gas field. In January 2023, OQ announced the commissioning of its third crude oil processing plant in the Bisat oil field in Block 60, raising the oil field’s production capacity to 60,000 barrels per day (bpd).

OQ recently announced that oil production in Block 60 rose to 61,000 barrels of oil equivalent in the first half of 2023, up from 49,000 barrels of oil equivalent in the first half of 2022.

OQEP currently operates three blocks in Oman (8, 48 and 60) and is a participant in a number of production and exploration joint ventures both in Oman and Kazakhstan.

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