Medco to set up Libya operation next month

JAKARTA. Publicly listed oil and gas company PT Medco Energi Internasional says it will launch a joint operation company (JOC) for its oil-field development project in Libya next month.

“The joint operating company will develop our project in Libya, in which we hold a 25 percent interest,” Medco president director Lukman Mahfoedz said on Tuesday

Other investors in the project, which will develop Libya area 47, comprise the government of Libya, with a 50 percent stake; and the Libyan Investment Authority (LIA), with a 25 percent stake.

Medco and LIA obtained commercialization approval from the Libyan government for area 47 in December and has since found 18 oil wells.

According to Lukman, preliminary engineering development has started and the firm expects to start production by 2015. (The Jakarta Post)