KrisEnergy invests more for next year oil extraction

Singapore-based KrisEnergy plans to invest $39.4mn in Cambodia this year, aiming to produce oil from offshore Block A oil deposit next year, according to the company’s 2017 annual report. In order to finance those investments, KrisEnergy pulled out of projects in Indonesia and Vietnam last year, resulting in a $139.2mn loss—the majority of which was an impairment cost due to the company’s decision to cease participation in its Indonesian Aceh PSC project. The profitability of Block A will likely depend on the size of the deposit, which is subject to conflicting estimates. The Ministry of Economy and Finance said in August the field likely contained 30 million barrels, while KrisEnergy put the number of extractable oil at less than 10 million in its most recent report. (Source: Phnom Penh Post)