The rig sharing consortium has leased the semi-submersible rig called Ocean General, owned by a subsidiary of Diamond Offshore Drilling.

The rig will be contracted to the consortium from 1 July.

Salamander will use Ocean General for its upcoming drilling operations in the North Kutei basin, in its operated Bontang and SE Sangatta PSCs.

The company will also use the rig to drill the South Kecapi, South Kecapi side-track, North Kendang and Bedug prospects.

Salamander has an additional four option well slots under the contract to allow follow up drilling in the event of success.

The drilling operation in the North Kutei acreage is expected to start in the final quarter of 2012.

BPMIGAS, an executive agency supervising the upstream oil and gas activities in Indonesia, approved the rig sharing agreement.

BPMIGAS aims to reduce costs of mobilization-demobilization, supply chain, shorebase warehouse and waste management.