2010-04-09-2010-03-03

Transaction Type
Sellers
Buyers
Announce Date
Post Date
Estimated Price
3MM
Description

To acquire company, increasing interest in Indonesian PSC to 90%.

Salamander Energy Plc, London, (London: SMDR) plans to acquire Bontang Energy Ltd., a subsidiary of Indonesia-based PT Eksindo Petroleum Tabuhan, in exchange for approximately $3.2 million in stock.

Salamander will issue 792,942 shares to Eksindo for Bontang Energy, which has a 20% interest in the Salamander-operated Bontang production sharing contract in East Kalimantan, Borneo, Indonesia. Salamander's shares closed at approximately £2.69 (US$4.07) March 3, the day before the deal was announced.

The acquisition increases Salamander's interest in the PSC, which lies at the northern end of the Kutei Basin, to 90%. The play has been estimated to contain more than 500 million gross barrels of oil equivalent.

Salamander says the Angklung prospect, which may have up to 125 million barrels of oil equivalent, will be the first exploration drilling target on the block and is expected to be spud in the second quarter.