2010 BBLS


2010 Op Cost/BBL


2015 BBLS


2015 Op Cost/BBL

The Langsa Model


The Langsa Model demonstrates BSG’s ability to enter challenging offshore environments, astutely configure operational infrastructure, and effectively implement methods of efficient and robust oil and gas production.

BSG is currently negotiating the acquisition of several renowned oil and gas assets where it will replicate the Langsa Model to maximize hydrocarbon and monetary returns.

BSG’s independence gives us an autonomy that the major oil and gas companies don’t possess, and this in turn enables us to devise innovative solutions for small oil and gas fields, such as the Langsa Model, that they can’t offer.

The Langsa Model


In 1979-80, Mobil drilled five wells in 325 ft water depth in the Strait of Malacca, 55 km east of Langsa, Sumatra. It was here that they discovered the Malacca Carbonate (Lower Miocene) – era L and H fields at 5300 ft and 5100 ft, respectively. Despite a combined test rate of 18,000 bopd, Mobil had to relinquish Langsa in 1987 due to a combination of low oil prices and lack of production infrastructure.

In 1997, a 20-year Langsa Technical Assistance Contract (TAC) was granted by Indonesia’s state-owned oil company Pertamina to GFB Resources, Ltd. Through a series of transactions, Medco assumed operations in 2004, drilling three additional wells, making a total of four wells in each field: L1, L2, L3, L4, H1, H2, H3, and H4.

In July 2009, BSG acquired Medco Langsa E/P Ltd from Medco, Inc and renamed it Blue Sky Langsa, Ltd.

Most significantly, with this purchase BSG inherited the oil and gas exploration and production rights in the 77 km2 area Langsa TAC, where it developed an approach which we now we refer to as the Langsa Model.

The Wells

Mobil’s five discovery and appraisal wells confirmed the presence of two fields, L and H (Malacca Carbonate – Lower Miocene), at depths of 5300’ and 5100’, respectively, with a combined test rate of 18,500 bopd. Mobil relinquished Langsa in 1987 due to a combination of low oil prices and lack of production infrastructure.

BSG Performance

Within 5 years at Langsa, BSG reduced Operation Costs from $38/bbl to $25/bbl while nearly doubling annual production from 223,729 bbls in 2010 to 413,146 bbls in 2015.

Designed by Mark Simons