New Zealand Oil and gas
SHAREPRICE

New interest acquired in Indonesia

Posted on 23 December 2013

New Zealand Oil & Gas has picked up a new interest in a Production Sharing Contract in
onshore south Sumatra, Indonesia.

The Indonesian regulator has announced that a consortium including New Zealand Oil &
Gas has won a permit to explore the Palmerah Baru block covering approximately 1000 km2.
Formal award of the production sharing contract is expected in late January.
Under the Production Sharing Contract the joint venture will be committed to an initial threeyear
exploration work programme to include both 2D and 3D seismic acquisition and one
exploration well.

New Zealand Oil & Gas will have a 36% stake in the Palmerah Baru PSC. Its partners are
Bukit Energy Palmerah Baru Pte Ltd (54%, Operator), and PT SNP Indonesia (10%).
New Zealand Oil & Gas chief executive Andrew Knight says South Sumatra is a prolific oil
province.


“The Palmerah Baru block is surrounded by oil and gas fields, including a very large field to
the south and a recent discovery to the south-southeast. Because of developments in the
area, the infrastructure necessary to transport product is nearby.


“New Zealand Oil & Gas is targeting opportunities in Indonesia that are in proven onshore
basins, close to existing infrastructure, and more likely to be oil than gas.
“We have gathered more knowledge about working in Indonesia from our activities in the
Kisaran and Bohorok PSCs. These onshore Sumatra opportunities provide diversity to our
core focus on exploration in New Zealand.”


Bukit Energy are also partners with New Zealand Oil & Gas in the Kisaran PSC in central
Sumatra where two wells were drilled this year (Pacific Oil & Gas, Operator, 55%; Bukit
Energy and New Zealand Oil & Gas each 22.5% through subsidiaries); And in the Bohorok
PSC in north Sumatra awarded in May 2012 (Bukit Energy, Operator, and New Zealand Oil
& Gas each 45%; Surya Buana Lestarijaya, 10%).

Attached:News Release with Permit map.