ExxonMobil to resume operation on Wednesday: Purnomo
Tuesday, July 17 2001 - 02:32 AM WIB
?According to information from Pertamina, ExxonMobil will resume operation on Wednesday. Let?s see on Wednesday,? the minister was quoted as saying by Kompas daily on Tuesday.
However, the minister said that the government had yet to decide what action would be taken if the company again delayed the operation of its gas fields in troubled province of Aceh.
He said that although there is a clause in the contract allowing Pertamina to take over the operation of ExxonMobil if the later could not carry out its job, such an action should be carefully taken because it will deal with an international law.
Pertamina has threatened to take over the operation of ExxonMobil?s gas fields if the company still failed to resume operation this week.
The state owned oil and gas company has for several times set deadlines for Exxon to operate. The latest deadline was set on Friday, last week, but Exxon again missed it and refused to heed Pertamina?s order on fears of that the reoperation would result in the escalation of the armed conflicts between the Free Aceh Movement and the military.
The American oil and gas giant ExxonMobil Indonesia closed the operation of its gas fields in Arun in early March due to security reasons. As the consequence, several companies, including the Arun LNG plant, which relied on gas supply from the company, was also forced to shut down their operation.
The export commitment of the Arun LNG plan has so far been fulfilled by Pertamina?s LNG plant in Bontang, East Kalimantan
But Pertamina has warned that the Bontang LNG plant will only be able to meet the Arun plant?s commitment until July. After that, Pertamina should procure the LNG from overseas producers to meet the export commitment to South Korea and Japan, which buy most of their LNG needs from Arun. (*)