Local leader creates communications forum to deal with Unocal

The head of the Penajam subdistrict in Pasir district, East Kalimantan, has created a communications forum grouping local informal leaders to help resolve problems between the local people and oil and gas firm PT Unocal Indonesia Company operating in the area, according to Kaltim Post daily.

Sub district head Abdul Zaman said that there would be serious consequences if the problems between the two sides were not immediately resolved.

He said that Unocal had not been observing the interest of the local environment during the rule of former president Soeharto, but added that the company was now starting to open itself to the aspiration of the local community.

Hundreds of Penajam people earlier staged a demonstration at Unocal Supply Base demanding the company to prioritize local people in its recruitment policy.

There has also been an allegation that Unocal had damaged the local environment. (*)