INDONESIA

BUTON PSC (KUFPEC: 30%)
The Buton PSC covers an area of 3047 km² that extends both onshore and offshore Buton Island, southeast of Sulawesi. The block was awarded in 2007. Gravity, magnetic and seismic surveys were acquired in 2008/2009. One commitment well is required, this will be drilled in 2011.


SERAM (Non-Bula) PSC (KUFPEC:30%)
The Seram block is located at the eastern end of Seram Island where oil is produced from the Oseil and Nief Utara fields. KUFPEC’s net share production in 2010 was 597 boepd. During 2010, two Ultra Short Radius Drilling (USRD) sidetracks were completed on Nief Utara A-3 and East Nief-1 and two development wells (OS-12 & OS-18) were drilled. Nief Utara A-3, Osiel-12 and Oseil-18 were successful and are currently on production, whilst East Nief-1 is undergoing further evaluation. An Exploration and Development drilling program will continue in 2011 to further develop and explore the block potential.

PANGKAH PSC (KUFPEC: 25%)
The Pangkah PSC is located offshore eastern Java and contains the Ujung Pangkah oil, gas and condensate field. During 2010 wellhead platform B (WHP-B) was installed and drilling commenced. Fabrication of the offshore compression, processing and accommodation platforms continued during 2010 with installation scheduled for 2011. KUFPEC’s 2010 net production was 2,378 boepd.


NATUNA SEA BLOCK A (KUFPEC:33.3%)
This PSC is located in the Natuna Sea and currently supplies gas to Singapore from the Anoa field. During 2010 the Gajah Baru wellhead platform was installed and a 5-well development drilling program commenced. Fabrication of the Gajah Baru central processing platform continued. Production startup is scheduled for late 2011. KUFPEC’s net production during 2010 was 6,759 boepd.

 MALAYSIA

SB-312 PSC (KUFPEC: 40%)
The PSC is located offshore Sabah. Sukau Gaya- 1, the first of three commitment exploration wells, was spudded on the 1st January 2010 and plugged and abandoned as a dry hole on the 3rd February 2010, after failing to find hy drocarbon indications. Work by the operator proceeded during 2010 to mature drilling locations for the remaining two commitment wells to be drilled in February, 2011.

SB-302 PSC Development Area (KUFPEC: 40%)
The PSC is located offshore Sabah. Towards the end of 2009 an application was made to extend the Belud South Gas Holding Agreement to include the Belud East discovery made in 2009. During 2010 work proceeded towards the preparation of a Field Development Plan for the South Belud and East Belud Gas Fields. Front End Engineering Design (FEED) is expected to proceed in 2011.

PM-304 PSC (KUFPEC: 25%)
The PSC is located offshore east of the Malaysian Peninsular and includes the Cendor oil field. In 2010 KUFPEC’s net share of production amounted to 2,530 boepd. During 2010, a Field Development Plan was approved for Phase ІІ development of the Cendor Field. This will add infill wells, a water injection scheme, three additional platforms and an FPSO, resulting in increased production from 2013. During 2011 three appraisal wells will be drilled leading to a further phase (Phase ІІІ) of development.

Block 19 & 20 PSCs (KUFPEC: 40% in each)
In 2009 KUFPEC and partners were awarded two PSCs offshore Vietnam in the South China Sea covering in a combined area of 9,200 km². The initial three-year work program for both blocks requires seismic and drilling. Seismic data was acquired in 2009. In 2010, the seismic data was processed with the aim of identifying prospects for drilling in 2012.

Block 51 PSC (KUFPEC: 35%)
Block 51 was awarded on 12 May 2010. It is located in the Malay Basin offshore Vietnam. The block covers an area of 3,566 km². Commitments for the first three years of exploration include shooting 300 km² of 3D seismic and drilling one exploration well.