Delta Mutual expects oil sludge processing contract extension

Pennsylvania-based waste management services company Delta Mutual Inc. expects to get a second oil sludge processing contract from state-owned oil and gas firm PT Pertamina before year-end.

?Negotiations have commenced for the next contract proposal which we believe will be more beneficial to Delta,? Delta president Peter Russo said in company?s quarterly report released Monday.

Delta, through a joint venture company PT Triyudha-Envirotech, began operations in Indonesia on December 15, 2005, pursuant to a contract with Pertamina.

Under the contract, Triyudha gets $100 per ton in fee for the processing of approximately 3,000 metric tons of oil sludge from the Balongan refinery in Indramayu regency of West Java.

Delta said Monday the company processed the final 190 metric tons of oil sludge from designated sludge pools. (Robert)