Jadestone Provides an Update on New Contract for Ogan Komering, Indonesia
Jadestone Energy Inc. announces that a new gross split Production Sharing Contract (“PSC”) for the Ogan Komering working area has been signed between PT Pertamina Hulu Energi Ogan Komering (“Pertamina”), Indonesia’s upstream regulator, SKKMIGAS, and Indonesia’s Minister of Energy and Mineral Resources, effective May 20, 2018. A 100% participating interest has been awarded to Pertamina on this license, as well as the other seven PSC’s currently being renewed in Indonesia.
Jadestone, as the prior partner in the original PSC with Pertamina, has been directed by SKKMIGAS to proceed with direct negotiations with Pertamina, for participation in the new gross split PSC. Jadestone is progressing its discussions with Pertamina, for participation in the new PSC, and expects to reach satisfactory terms and binding agreements by the end of July 2018, with participation to be effective with the commencement of the new PSC on May 20, 2018.
“I look forward to continuing the development of the Ogan Komering asset as a joint venture partner of choice with Pertamina, and fully support the operator’s plans for appraisal drilling of the existing gas discoveries during 2019,” commented Paul Blakeley, President and Chief Executive Officer, “Together with Pertamina, we can add significant value in Ogan Komering through early development of the Jantung Baru and North Meraksa discoveries, together with ongoing well interventions and infill drilling on the existing producing fields.”