MANILA – Basic Energy Corp and its Malaysian partner have begun drilling their fourth and fifth oil wells in Indonesia.

“Preparations are also under way for the spud-in of its sixth well,” Basic Energy said in a disclosure to the Philippine Stock Exchange.

PT Basic Energi Solusi is the foreign investment company in Indonesia of Grandway Group Ltd, the joint venture company of Basic Energy and Petrosolve Sdn Bhd of Malaysia.

The 2 earlier invested 8.5 billion Indonesian rupiah to manage and operate 10 oil wells in Indonesia.

The first oil well drilled by PT Basic Energi had reached its target depth though encountered complications and couldn’t produce. Test drilling is ongoing at the second and third wells.

“Further studies are to be done to optimize oil recovery prior to the construction of production facilities and going into the production phase,” Basic Energy said.

The company closed the first quarter with a net loss of P5.643 million, lower than a year ago’s P5.860 million. This as revenue grew 27 percent to P5.976 million this year from P4.695 million in 2013.

Source: http://www.interaksyon.com/business/90868/basic-energy-malaysian-partner-drill-more-wells-in-indonesia