Chevron sees C. Sumatra production to decline 8-9 pct in 2007

Indonesia?s top crude producer Chevron Pacific Indonesia (CPI) sees production from its Central Sumatra oil fields to decline by 8-9 percent next year.

?Currently Chevron is undertaking aggressive enhanced oil recovery to arrest natural decline in Central Sumatra operations,? CPI president Suwito Anggoro told reporters late Friday.

Currently, said Suwito, CPI is producing at 430,000-440,000 BPD rate.

Suwito said without enhanced oil recovery program the decline would have been worse at 15-17 percent.

CPI is a wholly-owned subsidiary of US oil major Chevron Corp.

Suwito said CPI would develop new field at Duri operations that would be able to produce 15,000 barrels per day, ramping up to 60,000 BPD in 2013. Chevron would spend US$ 1 billion over the next few years to develop North Duri field, he said. The new field, he said, would help to slow down production decline.

CPI is currently one of the country?s lowest cost producer, producing at the cost of $8- 9 per barrel.(godang/alex)