Indonesia says Samsung Engineering wins Cepu oil contract

26-May-2011 Intellasia | Reuters | 7:01 AM

A consortium including South Korea’s Samsung Engineering has won a $780 million contract to build production facilities at ExxonMobil’s Cepu oil block, Indonesian oil watchdog BPMigas said on Tuesday.

Block operator ExxonMobil is selecting contractors to build facilities that will enable the block to produce 165,000 barrels oil per day (bpd) of oil, up from current output of around 20,000 bpd.

“The contract is worth around $780 million,” R. Priyono, BPMigas chair, told reporters. “The facility is expected to be completed by the end of 2013.”

The consortium also included the unlisted Tripatra Group, a unit of Indika Energy, Indonesia’s third biggest coal miner.-by Michael Taylor, Neil Chatterjee

http://www.reuters.com/article/2011/05/24/indonesia-cepu-samsung-idUSL3E7GO18K20110524