JP Morgan - Medco Energy (MEDC)

Several different newspapers are running big articles on the company today. Mitsubishi’s press relation reiterating intention to develop PT Donggi Senoro LNG (DSL), where it owns a 51% stake. Mitsubishi also hopes to extend the venture into the upstream business, in developing the gas fields in Matindok (Donggi) and Senoro. DSL plans to take 85mmscfd gas from Matindok and 320mmscfd from Senoro. Total investment for the project is US$3.7bn, US$1.7bn for upstream and US$2.0bn for downstream. Medco E&P director made a comment that a 70mmscfd domestic allocation from Senoro should suffice for domestic needs.