Undersea gas pipeline in Pagerungan, East Java in normal condition: Pertamina
Monday, October 7 2002 - 03:15 AM WIB
"If the gas pipe line is floating, the delivery of gas will cause vibration. If it is the case, the pipeline will not have been covered by sea weeds," Pertamina?s spokesman Ridwan Nyak Baik was quoted as saying by Kompas on Monday. "Based on survey and photos made by the Indonesian Marine Corps, the gas pipeline remains in normal condition," he added.
In a statement issued to the press recently, BP Indonesia warned that the 28-inch undersea pipeline has been floating above the sea bottom due to the lack of supporting poles. The company warned if the pipeline was not returned to its normal position, it might cause dangers to the busy shipping traffic in the area.
According to BP, the dangerous zone is located about 4 x 40 miles south of Raas and Kangean isles. This is why the company has asked the maritime authority to impose an exclusive zone in the area and prohibits shipping activities in the area.
BP further warned that if no shipping restriction was made in the area, the company would totally halt gas transmitting activities for the sake of the public safety.
BP which produces gas in Kangean isle transmits its gas to East Java through the pipeline which is owned by Pertamina. But Pertamina accused that the statement was issued merely as a trick in the part of BP Indonesia so that the government would extend its contract to produce the gas on the island.
"This is just a trick so that BP Indonesia?s contract will be extended," Ridwan said, adding that Pertamina and BP Indonesia had met to discuss the problem and BP?s statement was proven wrong. "BP?s president director has apologized for making the statement," he said.
BP Indonesia was given exclusive rights in 1980 to sell natural gas to industrial users in the province as part of the deal it received from the government in developing its Kangean gas block in the province. With such privilege, other companies intending to sell their gas in the province should receive approval from the British oil and gas giant.
But BP Indonesia has failed to meet its commitment to supply about 600 million cubic feet of gas per day due to the decline in the company?s production. This has caused a major shortage in the gas supply to state owned gas distribution company PGN and other industrial users such as state owned electricity company PLN, PT Petromia Gresik.
The exclusive rights awarded to BP Indonesia is actually valid until 2010 but a continued decline in its gas supply has prompted the government, through the Implementing Body (BP-Migas), to terminate the privilege earlier than the initial schedule. (*)