Jakarta, 2 May 2016 – PT Medco Energi Internasional Tbk through its subsidiary PT Medco E&P Malaka (MedcoEnergi) is pleased to announce it has reached agreement to acquire Japex Block A Ltd’s 16.6667% interest in the Block A Aceh Production Sharing Contract. Completion of the transaction is conditional on the approval of the Government of Indonesia and the Government of Nangroe Aceh Darussalam. Upon completion MedcoEnergi will hold a 58.3334% operating interest in the block.

MedcoEnergi recently awarded the Engineering Procurement and Construction (EPC) contract for the Phase 1 development of the Block A gas project to a consortium of PT JGC Indonesia and PT Encona Inti Industri (JEC). First gas will commence in the first quarter 2018, when under the Gas Sales Agreement signed in January 2015 with Pertamina, MedcoEnergi will deliver 58 Billion British Thermal Units (BTU) per Day, 198 Trillion BTU over 13 years.

Roberto Lorato, CEO of MedcoEnergi, remarked, “This acquisition further underlines MedcoEnergi’s strong domestic position and our commitment to develop and monetize the resources in this block in support of the Government’s plan to develop Aceh infrastructure.”

Facts

• The current participating interest in the block is MedcoEnergi 41.6667% (operator), KrisEnergy 41.6666%, and Japex 16.6667%.