Pertamina got Offshore North West Java

State-owned oil and gas company PT Pertamina wins the competitive bidding to acquire 46% participating interest in the Offshore North West Java PSC from BP. 

The signing of SPA between BP and Pertamina is scheduled this afternoon in Jakarta. BP is the largest shareholder in the PSC, followed by CNOOC (36.72%), Inpex (7.25%), and Itochu Oil (2.58%). CNOOC was considered front runner in the auction.

ONWJ produces 24,000 bpd of oil and 220 mmscfd of gas. The block is key supplier for gas-fired power plants in Jakarta.

Pertamina agreed to pay US$280 million for 46% shares in ONWJ, the biggest upstream acquisition so far for Pertamina. Pertamina CEO Karen Agustiawan said the company will finance the acquisition from internal generated funds. "We have no plan to have other investors, we want to manage the 46% ourself," she said.

The ONWJ concession stretches from Cirebon in the east to the Seribu Islands in the west. The ONWJ facilities include 670 production wells, 170 platforms, over 40 processing and service facilities, along with approximately 1,600 km of sub-sea pipelines.

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