The news comes after a provisional announcement from the government of Indonesia last week although the contracts were officially signed in Jakarta today by representatives of BP and the government.
William Lin, president for Asia Pacific Exploration & Production, said this latest contract is a further boost to the oil giant’s international operations.
He explained, ‘This award is further evidence of BP’s commitment to a long-term presence in Indonesia, working in partnership with the government of Indonesia both centrally and regionally.
‘BP is very pleased to expand our position in Papua, an area with huge potential in its people, culture and natural resources.’
The North Arafura PSC is located on the coast of the Arafura Sea that is 480 kilometres south east of the Tangguh plant – another of BP’s operational sites. It covers an area of over 5,000 square kilometres.
BP remains one of the largest foreign investors in Indonesia with its activities ranging from exploration to production business, predominantly in the Papua Barat province.