New project proposal oil wells

INVESTMENT COOPERATION

Proposal

MANAGEMENT OF THE OIL WELL IN THE EAST JAVA

Wonocolo BOJONEGORO

PARTNERSHIP INVESTMENTMANAGEMENT OF OIL WELLS FOLK

Old oil wells in Block Cepu located in the district of Bojonegoro in East Java and KabubatenBlora was originally a Dutch legacy oil wells that are no longer maintained. The old oil wells and then by local communities (miners) do the cleaning wells (work-over) by way of traditional means. Wells that have net later in the bucket and the results are then deposited into the Pertamina at a predetermined price.

Until the present time sustainable management of the Dutch legacy wells by local people is still underway even as the cost of cleaning the wells is expensive and sometimes less than the maximum then have done the side of the well drilling in hopes of getting more oil production.

Nowadays many investors, both individuals and companies who came to the region to participate invest their funds in the management of the old oil wells. Investors are not only coming from Jakarta, Central Java or East Java, Java and even from outside of Singapore and the Philippines were also interested and involved in investing for the management of the Dutch former wells.

INTRODUCTION

WONCOLO BANJARNEGORO EAST JAVA

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Contact Us : Ramlah Nurhamidin (08122821118)Mulki Wibowo (08122833747)Iwan Kurniawan (082125136222)Dian Patriana (082115195449)



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OVERVIEW INVESTMENT MANAGEMENTN OLD OIL WELLS

This investment should be for investors with medium capacities up with funds deposited around Rp.30.000.000.000, - (thirty billion rupiahs) may be the capital of individuals and groups or companies.

The funding will be used for the management of about 10 old oil wells run community is to re-program me-reactivation of the wells (well service / workover) and the drilling side so that the oil production from these wells will increase.

Technology and management system applied to the management of the people's wells tend to choose the technology / management simple (cheap) so that the investment made profitableand capital may quickly return.

The rate of return on investments is expressed in the following estimates:

- Break Even Point (BEP) ranging between 5-20 months- Return on Investment ranged between 50% - 1000% per year

All values of the above parameters is dependent on the luck factor to production results obtained. Because again that this technology is a simple technology that we are not able to analyze in detail and accurately compared with the oil companies who are able to do so at a cost that is very expensive.



INVESTMENT COOPERATION

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WHY HAVE 10 WELL?

In principle, the investment management of the wells can be done for one (1) wells. When more and more wellsrun the chance of getting the advantage of being bigger.

Management of 10 wells are our estimates to produce the lowest cost / efficient in business management. If less than this amount, the management fee will be higher.

CAN DO MORE THAN 10 WELL?

This investment certainly allows for the management of more than 10 wells and more than 100 wells. Artisanal miners of yore manage wells at a depth of 100-200 meters because the fewer the results then this year some investors entered at a depth of 400 meters. And less likely to go on into the 600 meters could be done in the future with drilling costs are much higher for sure.

HOW TO SMALL INVESTORS

For investors who have limited funds are not even able to fund in full for the first well even then we have the option to combine several small investors will still be able to have the opportunity to invest in the old wells.

We opened the opportunity for small investors who have funds of at least 20% of the cost of the investment, or about our Rp.600.000.000 to combine with other small investors are under our management.



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TECHNOLOGY we use is a simple technology that is cheap. Although this technology remains essentially refers to the systems and procedures performed in petroleum operations as appropriate. As an example of that drilling is done with water drill machine / drill mine are modified in order to penetrate at a depth of 400 meters. When we perform drilling with drilling machines / rigs used conventional oil drilling For it is certain that this investment would not be profitable because very expensive.

Oil production technology of drawing also done well or with a simple pump that stays with low production costs.

MANAGEMENT Management of good operational at the time of reactivation / drilling and for the production is done in a simple way but still refers to the achievement of business objectives.

Operational offices placed near production wells with local people renting houses at low cost.

Labor will also be adapted to its purpose with qualifications that do not require high skills to avoid high costs.

TECHNOLOGY AND MANAGEMENT



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This business is legal because it is done with good legal basis Act, Candy, regulation and the Operational Agreement are bound by the parties and instasi authorities in the management of natural mineral resources and oilnatural gas in this country. Stakeholders, the Ministry of Energy and Mineral Resources, Pertamina, enterprises, cooperatives and Miners People of them are as follows:

1. The Minister of Energy and Mineral Resources Regulation No.01 Year 2008Exploitation of Oil Mining at Old Wells

2. Principle Approval to produce aPetroleum in Old Wells by KUD / enterprises

3. Agreement producing Petroleum OnOld wells between Pertamina EP with KUD / enterprises

4. Recommendations of Regency / City and approval from the Provincial Government

LEGALITY



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OURS INVESTMENT COOPERATION is a team of personal LegalityThis business is legal because it is done with good legal bas is Law Act, Candy, Regulationand the Operational Agreement with the definite parties and authorities in management of natural mineral resources and oil natural gas in the country. Stake holders, the Ministry of Energy and Mineral Resources, Pertamina, enterprises, cooperatives and miners.Folkthem areas follows:

1. The Minister of Energy and Mineral Resources Regulation No.01 Year 2008Exploitation of Oil Miningin Old Wellsin Old Wells

2.Principle Approvalto produce a Petroleumin Old Wells by KUD/enterprises

3.Agreement producing Petroleum On Old wells between Pertamina EP with KUD/enterprises

4.Recommendations of the District /Town and approval from the Provincial Government

Wonocolo BOJONEGORO EAST JAVATechnical competen ceeither, norin Relationship Management to all relevant agenci esprimarily to artisanal miners and the local environment.

WHY SHOULD WE



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Technical competen ceeither, norin Relationship Management to all relevant agencies primarily to artisanal miners and the local environment.

Technical ability is needed in the management of oil wells as well for large-scale CHEVRON, CNOOC, Pertamina and small scale like this business plan.

For such a small scale that we offer Technical capabilities required include the capabilities in the field of geology and engineering rebervoir to provide the best analysis in the selection of potential wells to be drilled / managed.

Technically drilling is also needed in order to produce a directional wellbore and clean in order to increase oil production potential for the stew.

Then Technical production to get the appropriate production system selection and appropriate at the same time the ability to care well for future production.

Management capability is desirable for the management of all lines of the organization so that it remains focused on the purpose of the organization managing the budget and maintain the level of operating profit as planned.

Relationships with relevant agencies is needed to support the legality of the process of rapid and targeted. Relationships with artisanal miners and the local environment is also important in order to avoid racketeering and expenses that are not planned by other parties who are not responsible



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Old wells not only in the field Dandangilo / Wonocolo only. Field Dandangilo / Wonocolois onlyOne of the many oil fields that fall into the category of old oil wells which can be managed according EMR decree No.01 of 2008.

In Indonesia, according to data from the Directorate General of Oil and Gas expected to more than13,000 old wells that can be managed using the legal basis of the ministerial decree. Management of old wells in each field will be very berbeda2 in terms of investment cost that is issued because it depends on several things including the cost of red tape in obtaining permits in each region of the province, extensive grounds and spread well managed, the distance between the location of wells with yag collecting station in designated as the recipient of oil production. Besides, that local security factors also have a role that is not small in terms of total investment cost overruns.

13000 OLD WELL IN INDONESIA



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Terms and Conditions in the management of old oil wells:

The status of oil wells is owned by PT. Pertamina EP managed by KUD (group of miners)The results of crude oil delivered and measured at stations owned by PT. Gatherer Pertamina EP in Menggung, Cepu. Payment of the sale of crude oil from PT.Pertamina EP to KUD. Long-time cash payment of PT.Pertamina EP is 30 working days. KUD parties provide a tank truck to transport crude oil from oil wells to Cepu.The target daily production is 3,000 liters of crude oil per day per well

(Target moderate)Crude oil prices received by investors is Rp 3.000, - per liter. (Starting priceUSD 4160.40 / liter reduced management fee and the cost of trucking KUD)

Note : Sling replacement every 3 months are borne by the investor at : Rp. 20.000.000, - Damage to production machines (machines truck) / overhoul fully borne byinvestor.The entire cost of production, maintenance and operation is the responsibilityBusiness + miners.



TERMS AND CONDOTION

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List of Oil Well Old Location

Dandangilo Wonocolo - Bojonegoro



Simulation Results For Miners, business and investors

FLOW CHART OF PRODUCING OIL WELLS OLD

Status old oil wells is owned by PT. Pertamina EP managed by KUD (group of miners) Results crude oil delivered and measured in the Gatherer station owned by PT. Pertamina EP in Menggung - Cepu.

Payment from the sale of crude oil from PT. Pertamina EP to KUD.

Term of payment in cash of PT. Pertamina EP is: 30 (thirty) days.

TIME SCHEDULEReactivation WORK OLD OIL WELL

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List of Oil Well Old Location

Dandangilo Wonocolo - Bojonegoro



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Simulation Results For Miners, business

and Investors



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FLOW CHART

OF PRODUCING OIL WELLS OLD

Status sumur minyak tua adalah milik PT. Pertamina EP yang dikelola oleh KUD (kelompok penambang)Hasil minyak mentah dikirim dan diukur di stasiun Pengumpul milik PT. Pertamina EP di Menggung - Cepu.

Pembayaran hasil penjualan minyak mentah dari PT. Pertamina EP kepada KUD.

Jangka waktu pembayaran secara tunai dari PT. Pertamina EP adalah : 30 (tiga puluh) hari.

Contact Us : Ramlah Nurhamidin (08122821118)Mulki Wibowo (08122833747)Iwan Kurniawan (082125136222)



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BUDGET PLAN

Budget plans are required to work twenWs well drilling wells within about 2.5 months is as follows: Rp.3,000,000,000, - (Three Billion Rupiah) / $ 240,000 consisting of:

1. Exemption Location / Land Clearing : Rp. 250,000,000.002. Geo Survey : Rp. 50,000,000.003. Construction : Rp. 131,000,000.004. Material : Rp.1.330.000.000,005. Drilling Operations : Rp.1.102.000.000,006. Equipment Production : Rp. 137,000,000.00

TIME SCHEDULE

REACTIVATION WORK OLD OIL WELL

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Lampiran




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Lampiran

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Lampiran




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New project proposal oil wells

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