Surabaya, August 27, 2015 - The Ministry of Energy and Mineral Resources (MEMR) bestowed the Award of Work Safety “Patra Nirbhaya Karya” to PT Medco Energi Internasional Tbk through its subsidiary PT Medco E&P Indonesia and PT Camar Resources Canada (together called "MedcoEnergi"). This award is given due to MedcoEnergi’s success in reaching more than 2,75 million of safe-man hours from 2012 until July 2015 in the operating Kampar Block in Riau and more than 2 million of safe-man hours from 2010 until July 2015 in the operating Bawean Block in East Java. The award ceremony was conducted today, Wednesday (26/8) in Surabaya by Director General of Oil and Gas MEMR I. Gusti Nyoman Wiratmaja Puja to Arif Rinaldi, General Manager of Indonesia West, MedcoEnergi and Dony Noerwahjono, General Manager of Camar Resources Canada.

MedcoEnergi has managed Kampar Block since 1993, a block transfer of Stanvac/Exxon. Since its operation, the Company is determined to continue to operate the field with the best quality and operating performance and continue its commitment in implementing Safety Management System, Occupational Health and Environment, known as PRIME (Performance Integrity of MedcoEnergi). PRIME is the principle of continuous improvement by implementing ISRS7 audit system which is integrated to other audit systems such as ISO 9001: 2000 (Quality Management), ISO 14001: 2004 (Environmental Management), PROPER (Performance Rating Program), OHSAS 18001: 1999 (Health and Safety), PAS 55: 2004 (Asset Management) and the Global Reporting Initiative 2002 (Corporate Social Responsibility).

An achievement of more than 4 years without lost time incident is a difficult accomplishment without the full support and commitment from all levels of workers and contractors in Kampar Block. Erri Setiawan, Indonesia West, Area Project Manager, MedcoEnergi admitted that commitment is achieved through hard effort. Some of which included regular monitoring and evaluation of work safety, starting with the implementation safety talks before carrying out work, traffic evaluation (discussion of potential for vehicle related accidents), the implementation of safety meetings and area safety meetings. "At every one of those meetings, we discuss and analyze the potential for work-related accidents. The award was also given to the workers who have done the job safely, beyond what is required and able to transmit the culture of safety and health in the Company," said Erri.

Meanwhile, Dony Noerwahjono said Bawean Block is an offshore block owned by MedcoEnergi that require an extra degree of caution. Discipline and consistency of the workers in applying the rules of health and work safety should be carried out more carefully because offshore work has unique requirements that must be met, including the need to have a special certificate of sea survival, and offshore production operator certification. "Rules applied in the offshore are very tight. All must obey the rules implemented, whether it is before work, during work, or after work, despite the high level of saturation. Safety issues are the priority and if we run it well, performance in other areas will follow," said Dony.

President Director and CEO of MedcoEnergi, Lukman Mahfoedz is very proud of this achievement. "This award demonstrates MedcoEnergi’s commitment in ensuring the safety of the workers and contractors in operating the field. For Kampar Block, this achievement is another success after holding the Green PROPER award for five consecutive years, awarded by  the Ministry of Environment and Forestry in recognition of concern for the environment and local community empowerment," said the CEO of MedcoEnergi.

Lukman also added, “The workers’ efforts in Kampar Block, which are wholly comprised of our countrymen, has managed to arrest the rate of natural decline in oil production. Since late 2013, MedcoEnergi has managed the temporary management as the contract agreement will be transferred to Pertamina at the end of 2015. However, the Company remains willing to operate Kampar Block to the best quality and operating performance and maintain the current production range of 1,400 BOPD, contributing revenues amount of US$37 million to the Government in 2014. We are also ready to cooperate with Pertamina and local governments to manage this block together into the future."(***)