RI needs more time on LNG extension talks: Purnomo

Indonesia must work out its long-term gas supply and demand balance before resuming talks with Japan on liquefied natural gas (LNG) contracts that expire around the end of the decade, Minister of Energy and Mineral Resources Purnomo Yusgiantoro said on Thursday was quoted by agency.

"We have four years until the contracts are up -- why are we in a hurry?" Purnomo told Reuters on the sidelines of an industry conference.

"We need to know the gas balance -- we're prioritising domestic gas -- and hope to get it this year."

The comments will dampen hopes for a speedy resolution to stalled talks over contracts to supply Indonesian gas to Japan from 2010 and 2011 onwards.

France's Total, one of Indonesia's biggest gas exporters, has called for decisions on the issue, which is critical to north Asian power utility buyers.

Purnomo said he needed to know Chevron's gas reserve levels in Indonesia, which is the world's largest LNG exporter.(*)