Riau won't give up demand in CPP
Wednesday, March 8 2000 - 04:00 AM WIB
The Riau provincial administration will not give up and will continue to demand the central government in Jakarta to allow it takover the rights to manage the Coastal Plains Pekanbaru (CPP) oil blcok after the contracts currently held by PT Caltex Pasific Indonesia (CPI) expired.
The chairman of the province's legislative council Chaidir MBA said in Pekanbaru on Monday that the local people were deserved to control part of their wealth in the province.
The government has asked Caltex and Pertamina to set up a joint venture to take over and operate the oil block when the current contract ended in August next year. The oil block is currently operated by Caltex.
Legislators wanted the Indonesian parties, consisting of Pertamina and the Riau government, should be granted at least a 70 percent share in the operation. But how much the stake which will be given to Riau province remains uncertain.
Pertamina presient Baihaki Hakim said on Monday that the issue was now being discussed by the state oil company's board of commissioners. (*)