PTTEP Dilutes Assets Offshore Indonesia

PTT Exploration and Production Public Company Limited (PTTEP) has agreed to dilute its share in three deep-offshore exploration blocks in the Makassar Strait in Indonesia to Total, French oil company.

The farm-out agreement includes the dilution of PTTEP's 33 percent share in South Mandar block and 10 percent share in Sadang block together with 10 percent share in South Sageri block. PTTEP now holds: 34 percent share and remains the operator in South Mandar block, with Talisman (33 percent) and Total (33 percent); 30 percent share in Sadang block, with Talisman (40 percent and Operator) and Total (30 percent); and 20 percent share in South Sageri block, with Talisman (35 percent and Operator) and Total (45 percent).

Mr. Anon Sirisaengtaksin, PTTEP's President and CEO, said that the dilution in exploration blocks is one of PTTEP strategies to manage our exploration portfolio. PTTEP believes that Total, PTTEP's long time strategic partner in the Gulf of Thailand, will bring its recognized worldwide deep-offshore technology and experiences to their assets in Indonesia.

In Indonesia, PTTEP also owns 100 percent interest of Malunda block in the Makassar Strait and a 28.33 percent interest of Semai II block, offshore southwest of West Papua, in partnership with Murphy, INPEX and Pertamina.