oilex to start offshore seismic survey in timo

Oilex to start offshore seismic survey in Timor Sea

Mon Jun 2, 2008 4:07pm

JAKARTA, June 2 (Reuters) -

Australian oil firm Oilex (OEX.AX: Quote, Profile, Research) will begin an offshore seismic survey in Timor Sea's Joint Petroleum Development Area (JPDA) this week in search of potential drilling locations for oil and gas, a company official said on Monday.

The survey of 2,000 sq km will take about six months, Managing Director Bruce McCarthy said.

"An Oilex joint venture has recently mobilised a seisic vessel, it left Dili harbor yesterday. It should be in the Timor Sea now and it should commence operations within the next three or four days," he told Reuters in the capital, Dili.

The survey and drilling will cost A$140 million ($133.3 million), which will be funded from a joint venture between Oilex and three Indian companies.

"If we find oil and gas in this area then we will look at all options to develop that, whether it is offshore development or whether it comes to East Timor or goes to Australia," he said.

East Timor, Asia's youngest nation, is rich in oil and gas resources. ($1 = 1.050 Australian Dollar) (Reporting by Tito Belo, Writing by Olivia Rondonuwu, Editing by Sugita Katyal)