Exspan?s crude oil pipeline cut off again, causing large leakage
Wednesday, July 3 2002 - 03:35 AM WIB
The crude oil pipeline of PT Exspan Indonesia, a subsidiary of publicly listed PT Medco International, in Sekayu, South Sumatra, leaked again last week after unidentified people cut off the main parts of the pipeline. The company had been forced to stop production activities for at least 10 days due to the leakage, local newspaper Sumatera Ekspress reported on Wednesday.
Although the lost crude oil resulting from the leakage reached only about 159 liters, the company suffered financial losses of more than about Rp 650 million due to the halt of the crude oil supply.
The company?s spokesman Chairi Putra Siregar said that the leakage occurred on June 29 after the main parts of the pipeline located in the company?s Cluster F and G area in Kaji Semoga district were disconnected. "Based on our initial investigation, some unresponsible people had intentionally cut off the pipeline," he added.
The leakage was the second time since late May, when an iron valve of the company?s pipeline was removed and stolen. About 2,232 barrels of crude oil were lost due the leakage. (*)