Indonesian oil and gas firm Medco Energi International will invest $320 million in developing an oil and gas block in Tunisia, Jakarta Newsroom reported. The company revised its investment targets from $127.7 million up to its current value and expects to finish the project by 2018.
Medco Energi plans to increase oil and gas production in Tunisia by 16,000 barrels of oil equivalents per day.
In August, the company's subsidiary Medco Tunisia Petroleum Limited said it agreed to acquire shares from Storm Ventures International to gain working interest in eight oil and gas blocks in Tunisia. Of the blocks, four will be for exploration, two for development and the last two for production. The majority of these regions are located onshore and in the Ghadames Basin, which include Adam, Sud Remada, Bir Ben Tartar, Jenein and Borj El Khadra blocks.
Within the blocks of Adam and Bin Ben Tartar, oil production reached a current volume of 2,800 barrels of oil per day with output projected to eventually hit 16,000 boepd.
"The future production is envisaged to increase to around 16,000 boepd from in-fill well drilling of the existing producing blocks and the development of the Cosmos, Yasmin and Fushia fields (scheduled for completion in 2018)," the company said in a statement.