Chevron Indonesia has sold its 25% participating interest in the South Natuna Sea Block âBâ PSC, located offshore West Natuna Basin, to a Singapore registered company, Prime Natuna Energy Pte Ltd (PNE), around mid-August 2017. SKK Migas also announced that Chevronâs crude cargo from the Belanak and Belida fields has been assigned to PNE effectively on 17 August 2017. Local media reported in early August 2017 that Indonesian company PT Bumi Hasta Mukti (BHM) was rumoured to be the potential buyer of Chevronâs 25% stake and the deal was expected to close in H2 2017. The company via its subsidiary PT Pertalahan Arnebatara Natuna (PAN) was awarded the Udang Natuna TAC, located in the offshore West Natuna Basin, on 7 August 2002. In late September 2016, Chevron was reported to continue the divestment process for its 25% interest in the PSC. Several companies, including PT Medco and Premier Oil, expressed interest. This opportunity was initially reported in early November 2015. The remaining 75% interest in the South Natuna Sea Block âBâ PSC is controlled by Medco which is also operator of the block. On 19 September 2016, Medco announced an agreement to acquire 40% operating interest in the block from ConocoPhillips. The agreement between Medco and ConocoPhillips also included the sale of operating interests in the West Natuna Transportation System (WNTS) and an onshore gas receiving facility in Singapore. The deal was completed in November 2016. Earlier reports also cited Saka Energi as one of the preferred bidders for ConocoPhillipsâ interest. In March 2017, Medco also acquired an additional 35% interest from Inpex, for an estimated value of to be approximately USD 167 million. The block produced approximately 20,000 b/d of crude oil, 197 MMcf/d of sales gas and 6,000 b/d of LPG in 2016. Eight fields are currently producing in the block, with the latest field onstream being Belut South, in 2014. Medco commenced a new development drilling campaign in the block in mid-March 2017. Gas produced from the block is sold to Singapore through the West Natuna Transportation System, following a 22-year sales contract started in 2001, and to Petronas' Duyong gas facilities, under a 20-year contract since 2002. LPG is likewise sold to Indonesia through a contract with Pertamina. The block was initially awarded on 16 October 1968 and is set to expire on 16 October 2028.
Chevron has sold its 25% participating interest in the South Natuna Sea Block âBâ PSC, to a Singapore registered company, PNE (Prime Natuna Energy Pte Ltd) and no to Indonesian company PT Bumi Hasta Mukti (BHM).