Govt asks contractors to supply gas to E. Java

The government on Wednesday asked several natural gas producers to supply the commodity to East Java which is experiencing acute gas shortage.

The gas producers were BP, Amerada Hess, Mobil Cepu, Kodeco, Exspan, Santos and Lapindo Brantas, Implementing Body (BP Migas) chairman Rachmat Soedibyo said after attending a meeting with their senior executives.

The investors, which holds production sharing contracts with state oil and gas firm Pertamina, operate offshore oil and gas fields in East Java.

Rachmat said that in their meeting, which was chaired by Minister of Energy and Mineral Resources Purnomo Yusgiantoro, Lapindo Brantas and Kodeco respectively pledged some 50-60 and 70-100 million cubic feet per day (MMCFD) of gas for the province.

Earlier reports said East Java needs gas supply of at least 600 MMCFD. BP had been given preferential rights to supply gas to East Java.

Rachmat said however they had not discussed in the meeting BP?s preferential rights to supply gas to East Java. (godang)