Oil from Gulf Resources? pipeline suspected of polluting S. Sumatra water wells

Thursday, September 26 2002 - 03:16 AM WIB

Workers of oil producer Gulf Resources Indonesia were continuing digging the ground in a South Sumatra village in order to locate leaking oil pipes, local daily Sriwijaya Post daily reported on Thursday.

The newspaper said oil had contaminated water in two wells in a village which is located some 9 kilometers from Palembang, the South Sumatra provincial capital. Gulf Resources officials were not sure however whether its oil pipelines had leaked.

Pipelines of another oil company, Exspan Nusantara, also passed through the village.

Water in the village wells was found contaminated on Tuesday, while by Wednesday afternoon the workers had been excavating area ground using heavy equipment.

Gulf Resources Indonesia, which is 99 percent owned by Conoco Canada Resources, has oil mining operations in South Sumatra and Jambi. (*)

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