PT. DSME ENR CEPU: July 2012

Company's Information

PT. DSME ENR CEPU
Plaza UOB 33rd Fl,

Jl. MH Thamrin Kav. 8 - 10, Jakarta 10230

T +62 21 29937274/7275

F +62 21 29937279

www.dsme.co.kr
www.dsmeenr.co.kr

PT. PETROGAS JATIM UTAMA CENDANA

Inti’land Tower 7th Floor Suite 703D

Jl. Panglima Sudirman No. 101 – 103, Surabaya 60271

Phone : (62-31) 5320 – 822

Fax : (62-31) 5320 – 773

The Company, previously named PT. Syabas Usaha Migas, was established under Deed of Establishment No. 07 dated 16 October 2006 as amended by Deed No.4, dated 09 November 2006, and received an approval from the Minister of Justice of Republic of Indonesia in June 2007. The company’s business line was originally in oil and gas trading business before changed into Management Consultancy Service and Other line in 2011.

The authorized capital is Rp. 25,250,000,000 (twenty five billions two hundred fifty million rupiah) divided into 252,500 (two hundred fifty two thousand five hundred) registered shares, each with a nominal value of Rp.100,000-(one hundred thousand rupiah).

Now, the company has 5 (five) full time employees to manage its investment in Indonesia and as of 31 December 2011, the Company has invested for cash calls to the Project for about 30 Millions USD since January 2009.

Historical Moments of the Company

Established in 6 October 2006 as PT. Syabas Usaha Migas.
29 January 2009, Korean Consortium entered into a Sales and Purchase Agreement to acquire 100% of the shares of the Company.
16 June 2009, Shares transfer - deed: Shareholder composition: DSME 40%, ENR 40%, Penco 20% total shares of 252,500 shares
10 May 2010, Shares transfer - Penco - GNG: 37,875 shares (15%); shareholders: DSME 40%, ENR 40%, Penco 5 % , GNG 15%
26 April 2011, Share transfer between Penco to ENR of 12,625 shares (5%) – as the result, the new composition of shareholders became: ENR 45%, DSME 40%, GNG 15%
May 2011, Change on company name, domicile and business line – from PT. Syabas Usaha Migas to PT.DSME ENR CEPU, and from Trading in Oil and Gas Industry to management consultancy service and others.
July 2011, changed president director from Mr.Woo, Jong-Sik to Mr.Koo, Bon-Chung.
August, 2011 signing Investment Facility Agreement between DEC and KoFC.
October 2011, reappointment member of BOD/BOC, Mr.John Park and Mr.Son, Il-Yong.

The composition of the Company’s shareholders as at 31 December 2011 as follows:

	2011
Shareholders	Number of Shares	% of Ownership	Total (IDR)
DSME ENR Ltd.	101,000	45%	11,362,500,000
DSME	101,000	40%	10,100,000,000
GNG Holdings INC.,	37,875	15%	3,787,500,000
Total	252,500	100%	25,250,000,000

Organizational Structure

PT. Petrogas Jatim Utama Cendana

At present, the Company has only 1 (one) affiliate that operates in upstream industry of oil and gas which is PJUC, a company established to hold and manage a 2.2423% participating interest in the Cepu block production sharing contract and under the joint operating agreement covering the Cepu contract area dated 15 march 2006.

PJUC Organizational Structure

Personnel

DEC

Saudaranta Tarigan has been Joining DSME ENR since September 2009, as the General Manager. He is in charge for the day-to-day operation of the company. He is also assigned as Commissioner at PT. PJUC, an affiliate company of DEC. Tarigan Earned his Bachelor Degree and Master of Arts from the University of Gadjah Mada in 1999 and 2008. In addition, He studied law for his JD degree from Handong International law School in Korea.

He joined the company in December 2010 as Technical Manager; Victor Purba earned his Bachelor Degree in Petroleum Engineering from Bandung Institute of Technology (ITB), and Master Degree from the same university. Before Joining DEC, He worked for PT. LAPI ITB, Research Center of Bandung Institute of Technology for 3 years. At the same time, he is also assigned as Technical Director at PT. PJUC, an affiliate company of DEC.

He joined the company in April 2010 as Finance and Tax Manager; Bagus Pinandityo graduated from Gadjah Mada University, Accounting Department. Before Joining DEC, He worked for Astra International Group for 6 years as Treasury and Accounting section head. He is also assigned as Finance Director at PT. PJUC, an affiliate company of DEC.

Bestari Prameswari Wibowo or easily called Beta is newly employee of DEC in September 2012 as Executive Administrative Assistance/ Secretary. She graduated from State University of Yogyakarta, German Education Department. Before joining DEC, she worked in Building Management of Agung Podomoro Group.

Martin Luter Sembiring, earned his degree in Human Resource Management from STIE Kalpataru. He is currently in charged as General Affairs. He joined the company in April 2011.

PJUC

Hadi Ismoyo as President Director of PJUC (subsidiary of PJU) and BKS Chairman PI Cepu Block. He was one of the founder of PJU and as Business Upstream Director. Before Joining PJU, He worked for BP for 13 years (1992 – 2005). Hadi Ismoyo earned his Bachelor Degree in Petroleum Engineering from Bandung Institute of Technology (ITB). He is a members of IPA (Indonesian Petroleum Association) and IATMI (Ikatan Ahli Perminyakan Indonesia) activists from 1996-2006 with last position as general secretary IATMI.

He joined the company in May 2010 as Petroleum Engineer. Budiyanto graduated from Petroleum Engineering from UPN Yogyakarta. Before Joining PJUC, He worked for PJU and Support in Reservoir Division at Pertamina EP. He is a members of IPA (Indonesian Petroleum Association) and IATMI (Ikatan Ahli Perminyakan Indonesia).

She joined the company in Dec 2009 as Accounting. Anggraeni graduated from UPN Surabaya. Before joining PJUC, she worked at Bakrie Telecom (Esia) for 4 years.

She joined the company on Januari 2008 as Secretary/Admin. Made graduated from University of Airlangga, Surabaya. Before joining PJUC, she worked for PJU (for 1.5 years) as Secretary/Admin.

Project Overview (Cepu Block)

Early Production Facility (EPF)

Central Production Facility (CPF) - Construction Site

BU Wellpad "A" Location

MCL Celangap Office

Mudi Facility (Pertamina EP)

Tri Wahana Universal (TWU) Facility

Production Sharing Contract (PSC) Cepu Block was signed on September 2005 with contract of 30 years term (PSC section II, 2.1), while Joint Operating Agreement (JOA) was approved on March 2006.

Cepu Block have 5 (five) hidocarbon discoveries, they were Banyu Urip, Jambaran, Cendana, Alas Tua West, Kedung Keris and have Lead and Prospect of 8 (eight) which were Giyanti, Pilang, Nampak, Kalisari, Alas Tua Deep, Kandangan, Sidomukti and Sumber Arum. Banyu Urip Field is one of oil discovery found in 2001, which currently developed in Cepu Block. Banyu Urip first Plan of Development (POD) approved by Energy and Mineral Resources Minister (ESDM) on June 2006.

In order to increase national production, BPMIGAS requested that the Banyu Urip Field can be produced early with building Early Production System (EPS). EPS is temporary production facility to accelerate the Banyu Urip production with existing wells. Early production was begun on August 31, 2009 with 4 (four) production wells, 1 (one) gas injection well and 1 (one) water injection well. Early production used temporary facility, which was operated by Exterran (third party).

Average daily oil production from January 1 - December 31, 2011 was 21,388 bopd (target from BPMIGAS and APBN was 20,000 bopd) with cumulative oil production was 7,806,735 bbl. While cumulative oil production from August 31, 2009 – April 30, 2012 was 18,384,364 bbl. BPMIGAS targeting the oil production of 165,000 bopd from full scale development of Banyu Urip Field – Cepu Block and is expected to start onstream in September 2014.

Banyu Urip project is divided into 5 (five) Engineering, Procurement and Construction (EPC), that are EPC-1 for production facility, EPC-2 for onshore pipeline along 72 km, EPC-3 for offshore pipeline along 23 km and mooring tower, EPC-4 for development of Floating Storage Offloading (FSO) and EPC-5 for development of infrastructure facilities, including the construction of “Water Retention Basin” with capacity of 2.75 million m³.