JAKARTA, Indonesia -- Indonesia's state-owned PT Pertamina plans to invest $1 billion to increase oil production by 53% to 70,640 b/d and gas output by 70% to 792 MMcf/d by the end of 2009.
Pertamina President Director Ari H. Soemarno says the investment would go toward developing 170 existing wells, drilling new prospects, and developing high-cost oil and gas reserves in frontier areas in eastern Indonesia.
Among Pertamina's high profile exploration activities from this year is the 51:49 partnership with Statoil to develop the recently acquired Karama block in Makassar Strait.
The two companies have committed $75 million to drill prospects in the block, which holds an estimated 200 MMbbl of oil.
Speaking in the House of Representatives on March 26, Soemarno said Pertamina also plans to strengthen cooperation with strategic partners to boost oil and gas production.