JAKARTA - PT EMP Energi Jaya (EEJ), a subsidiary of PT Energi Mega Persada Tbk (ENRG), concluded the acquisition of 51% of KKS Sengkang Block, South Sulawesi, last week (25/10). Post-transaction, the production and finance of Sengkang Block will be consolidated to ENRG.

Edoardus Ardianto, Vice President Director of ENRG, mentioned that as of now, Sengkang has a gas supply contract of 50 million standard cubic feet per day (MMSCFD) to PT Perusahaan Listrik Negara (Persero).

“The joint operation contract of Sengkang Block has just been recently extended to October 2042,” Adrianto said in the information disclosure quoted Monday (28/10).

As of now, Sengkang Block has proven and measured reserves of 1.3 trillion cubic feet of prospect and lead gas. ENRG’s plan to acquire the entire Sengkang Block aims to boost daily production of existing reserves.

In addition, ENRG to refocus on medium-term plan in order to initiate drilling and discovering reserves and new gas resources in existing concession.

As is known, PT Energi Maju Abadi (EMA), ENRG’s subsidiary, has acquired 49% of interest participation in Sengkang Block. For the record, the Sengkang Block acquisition is not material nor affiliate transaction. (LK/ZH)