Exxon Seeks Partner for Indonesia CBM Projects

ExxonMobil is seeking partners to develop coal-bed-methane (CBM) prospects in South Kalimantan as the company is currently drilling six CBM wells in the region, Indonesia Today has reported.

ExxonMobil owns 49% stake in the CBM Project, while PT Sugico Graha owns the rest. The company recently stated it plans to farm out some exploration blocks in Indonesia.

The company said three of the blocks will be divested through farm-out scheme, while one block will be returned to the government, the newspaper report said.

The farm-out blocks are Surumana (Makassar Strait), Mandar (Sulawesi Sea), and Cendrawasih (Papua). Gunting block in East Java, meanwhile, will be returned to the government because of problems in seismic and social issues.

ExxonMobil currently holds 80% interest in Surumana, while Petronas has the balance. In Mandar block, ExxonMobil has 100% interest, while in Cendrawasih it has 55% with Niko Resources as partner.