The Company has signed various agreements that, subject to government approval, will change the working interests in several of its blocks in Indonesia.
All of the Indonesian blocks are in their initial three year exploration period with the exception of the Lhokseumawe block. The seismic work commitments on the majority of the blocks have been fulfilled and as at December 31, 2012, the Company had remaining minimum work commitments to drill a total of ten wells. As at December 31, 2012, the Company's share of the remaining minimum work commitments as specified in the PSCs for the exploration period was $118 million to be spent at various dates through June 2015. The minimum work commitments are based on the Company's share of the estimated cost included in the PSCs and represent the amounts the host government may claim if the Company does not perform the work commitments. The actual cost of fulfilling work commitments may materially exceed the amount estimated in the PSCs. The Company has applied or have plans to apply for extensions where drilling activity is planned. The Company is required to relinquish a portion of the exploration acreage after the first exploration period; however, the Company has received extensions in order to fulfill the well commitments on certain blocks.
Trinidad and Tobago
The Company holds interests in ten contract areas in Trinidad and Tobago, covering 9,862 square kilometers. The table below indicates the operator, the location of, the award date, the working interest and the size of the block.
---------------------------------------------------------------------------- Area Working (SquareExploration Area Operator Location Award Date interest Kilometres)----------------------------------------------------------------------------Block 2(ab) Niko Offshore July 2009 35.75% 1,606Guayaguayare - Shallow Horizon Niko Onshore/Offshore July 2009 65% 1,134Guayaguayare - Deep Horizon Niko Onshore/Offshore July 2009 80% 1,190Central Range - Shallow Horizon Parex Onshore Sept. 2008 32.50% 734Central Range - Deep Horizon Parex Onshore Sept. 2008 40% 856Block 4(b) Niko Offshore April 2011 100% 753NCMA2 Niko Offshore April 2011 56% 1,019NCMA3 Niko Offshore April 2011 80% 2,106Block 5(c) BG Group Offshore July 2005 25% 241MG Block (License) Niko Offshore July 2007 70% 223----------------------------------------------------------------------------
The seismic work commitments on the majority of the blocks and the drilling work commitments on Block 2(ab) have been fulfilled, and as at December 31, 2012, the Company had remaining minimum work commitments to drill a total of ten wells. As at December 31, 2012, the minimum remaining work commitments under the PSCs were $167 million, to be spent at various dates through April 2016. The actual cost of fulfilling work commitments may materially exceed the amount estimated in the PSCs. The Company is working with various parties on farm-outs to reduce its share of future drilling costs.
Other Properties
India
