Aceh governor urges Exxon not to move office to Jakarta

Aceh provincial governor Abdullah Puteh has formally asked oil and gas producer ExxonMobil Oil Indonesia not to relocate its main office from Medan, North Sumatra, to Jakarta, Aceh-based Serambi Indonesia daily reported Friday.

?I have sent a letter to Exxon to ask them to cancel its plan,? Abdullah told the paper Thursday.

The governor said the company could move back its main office to Banda Aceh if it wanted to and that the Aceh administration could allocate land for the purpose.

ExxonMobil, which operates massive gas fields in Lhoksukon, Aceh, moved its main office to Medan last year after the security situation in Aceh deteriorated. Later, the company had planned to control all of its activities from Jakarta starting from September.

At least 2,000 suppliers from Aceh and North Sumatra presently relying on ExxonMobil for business will suffer if the company materializes its plan, said Frimandez, chairman of the Aceh chapter of the Indonesian Chamber of Commerce and Industry. At least 8,000 workers will lose their jobs in Aceh alone, Frimandez added. (*)