Pearloil to conduct exploration in Bulu Block

Surabaya, East Java (ANTARA News) - Oil exploration company PearlOil (Satria) Ltd. is planning to drill two exploration wells in the Bulu Block in the Java Sea, an oil and gas industry official said.

PearlOil, along with the Upstream Oil and Gas Regulatory Agency (BP Migas) and the East Java office of the Energy and Mineral Resources Ministry Java were popularizing the plan among officials of relevant agencies in Gresik, Lamongan and Tuban districts, BP Migas spokesman Amir Hamzah said on Friday.

He said oil and gas supplies in the country had dropped sharply in recent years so that oil and gas exploration activities were needed to meet rising demand.

"The government has set itself the target of producing 1.3 million barrels of oil per day in 2009. We hope the government will be willing to support the oil and gas exploration activities," he said.

He said both BP Migas and PearlOil were still unable to give an estimate of the volume of oil and gas deposits held by the Bulu Block.

The volume of the deposits would be known after a seismic survey had been carried out by a geological or exploration team, he said.

"To check the oil and gas deposits, exploration activities must be conducted. The block may start production four years after the explorations have been carried out," he said.