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Serica to carry out strategic review of Indonesian assets

Review will include a possible assets sale.

British oil and gas explorer Serica Energy will carry out a review of strategic alternatives for its Indonesian assets, including a possible assets sale.

As a result of its increased focus on upcoming projects in the UK, Western Europe and Africa, Serica said it will examine options that include selling all or part of its Indonesian business and exchanging its Indonesian production for UK or Western European production.

Serica's Indonesian assets include a 25 per cent interest in the producing Kambuna gas/condensate field, operated interests in a further two production sharing contracts (PSCs) and significant new venture opportunities that are currently being pursued.

In the Kutai PSC, the company is currently drilling the Marindan-1 exploration well, the results of which are expected this month.

Serica chief executive Paul Ellis said that the company sees more opportunity for growth outside of Indonesia, and this was a further reason for conducting the review, which is expected to be concluded early next year.