Bontang eyes revenue from Unocal operation

Thursday, June 21 2001 - 03:46 AM WIB

The Bontang mayoralty in East Kalimantan is eyeing income from the operation of an oil drilling platform belonging to Unocal Indonesia Company located in its waters, Kompas daily reported on Thursday.

Bontang's Mayor Sofyan Hasdam said that the mayoralty would invite officials from the central government to Bontang to discuss Bontang's shares of income from the operation of the platform.

He contended that the drilling platform is located only four miles away from Kerindingan island, thus it is still part of the mayoralty's territory.

However, Sofyan declined to estimate the amount of income the mayoralty expected from the operation of the platform, saying the mayoralty had yet to caculate it.

"For that purpose, we will invite officials from the central government," he said.

Bontang currently has a total budget of Rp 250 billion (US$=Rp 11,300) for 2001, including Rp 105 billion in the so-called balanced funds from the central government.

Sofyan said the Bontang mayoralty had received the funds from the central government for the first quarter of the year, and it would use the money to build roads and to finance the restoration of the Kutai National Park. (*)

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