Exxon top executives meet Megawati<\/p>\n
Fabiola Desy Unidjaja and A'an Suryana, The Jakarta Post,
\nJakarta<\/p>\n
ExxonMobil Oil top executives met with President Megawati
\nSoekarnoputri on Thursday to discuss the company's oil project in
\nCepu, Central Java, and security matters in Aceh, where its
\nmassive gas fields are located.<\/p>\n
But there has also been speculation that the visit was mainly
\naimed at lobbying Megawati to approve the company's request to
\nextend the contract of the lucrative Cepu oil fields. State-owned
\noil and gas firm Pertamina has demanded tougher requirements for
\nthe extension of the contract.<\/p>\n
The visit was made following heightened tension in the
\ntroubled province of Aceh.<\/p>\n
\"We just talked about investment opportunities that ExxonMobil
\nis currently pursuing, including our operation in Aceh, our
\nbusiness progress in Cepu and for the longer term in the East
\nNatuna natural gas project,\" ExxonMobil Oil president H.J.
\nLongwell said following the meeting.<\/p>\n
Concerning Aceh, Longwell said there was no detailed
\ndiscussion over whether it was necessary for the government to
\nincrease the number of military troops in Aceh in a bid to ensure
\nsecurity of the company's gas fields in the troubled province.<\/p>\n
ExxonMobil was forced to shut down its gas operation in Aceh
\nfrom March to July last year due to threats to security from the
\nFree Aceh Movement.<\/p>\n
\"We just talked about ongoing security issues, and what kind
\nof steps should be taken by the government and Pertamina to
\nassure security in the area,\" Longwell said.<\/p>\n
Security in Aceh has been a huge concern for the government.
\nThe Indonesian Military has taken a tougher stance as the
\nviolence there has escalated. Thousands of locals were killed
\nduring the military's presence in Aceh for 10 years. The Free
\nAceh Movement are still operating, and they have killed a number
\nof security personnel, who were deployed in Aceh.<\/p>\n
Longwell declined to provide comments on Exxon's plan to
\nextend the contract to manage the Cepu oil field.<\/p>\n
Reports have said that Exxon wants to extend the contract
\nuntil 2030. The contract was supposed to end in 2010.<\/p>\n
But Pertamina has demanded a greater share of the Cepu field
\nplus a cash bonus as preconditions for the extension of the
\ncontract.<\/p>\n
Pertamina has demanded tougher requirements after the
\ngovernment oil and gas research institution (Lemigas) found out
\nthat the Cepu has oil reserves of about 500 million barrels, much
\nhigher than the 250 million claimed by Exxon.<\/p>\n
Longwell was reluctant to shed any light on the issue.<\/p>\n
\"It is too early to be specific on the number of reserves in
\nCepu. We need to do more, to be more specific,\" he said.<\/p>\n
One source said that the government was near to reaching an
\nagreement with Exxon to extend the Cepu contract.<\/p>",
"url": "https:\/\/jawawa.id\/newsitem\/exxon-top-executives-meet-megawati-1447893297",
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