PT Medco E&P Indonesia has experienced a security incident at the Block a PSC operation area in East Aceh, Indonesia. An employee of Blade Engineering (a contractor company working in the Block A PSC), a UK citizen by the name of Malcolm Primrose, age 62, was abducted by an unknown group from his vehicle in a place close to the Matang-1 exploration well on Tuesday, 11 June, at approximately 11:00 a.m. at Lubuk Pimping village, Peurelak Kota district, East Aceh regency. At the time, drilling operations had completed and the rig was in the process of moving out.

The Company has responded by reporting this incident to security personnel, the local authorities, and the oil & gas regulator SKKMIGAS as well as the British embassy.The Company has also coordinated with local security and the local government to gather information regarding the whereabouts of the employee. All parties are working around the clock to find his location and information on his conditions. With the support of the central and local securities, the Company is continuing its efforts to ensure the safe return of Mr. Primrose.

The Company expresses its deepest sympathy to the family of Mr. Primrose and will continue all efforts to obtain his release and bring him safely home.

The Company is hoping that the security in East Aceh, especially in the operational area will soon be peaceful again. All parties are hoping that the situation will return to normal in order to maintain confidence in a good investment climate.