Aceh-based companies go about business as usual

Fitri Wulandari and A'an Suryana, The Jakarta Post, Jakarta

Amid heightened security ahead of a possible military operation in Aceh, key companies in the restive province said on Monday they were doing business as usual without increased security measures.

American giant ExxonMobil, state-owned oil company Pertamina and state-owned fertilizer and chemical firm PT Pupuk Iskandar Muda (PIM) said they were operating normally, adding they had coordinated with local security authorities to guard vital assets.

"Pertamina's assets are considered the state's key industries. Therefore, the government has already taken strategic security measures to protect the properties," Ridwan Nyak Baik told The Jakarta Post on Monday.

In addition to gas fields operated by ExxonMobil, Pertamina has also its own oil fields in Kuala Simpang and Rantau in East Aceh.

Deva Rachman, spokeswoman of ExxonMobil said the company had not ceased production, despite the escalating tension.

However, she refused to provide details as to whether the company had stepped up security measures in order to protect their workers should the situation turn ugly.

"Moreover, security measures are under the authority of the Oil and Gas Implementing Body (BP Migas), the highest authority in the country for the oil and gas sector," she said.

The company supplies natural gas to a number of companies in Aceh, including a natural gas liquefaction plant in Arun belonging to PT Arun NGL Co (not belonging to ExxonMobil as mentioned mistakenly in The Jakarta Post's front-page caption on Monday) and fertilizer companies PT PIM and PT ASEAN Aceh Fertilizer (AAF).

The companies are based in Lhokseumawe, the hotbed of the separatist movement in Aceh.

While saying that no additional security measures had been implemented, fertilizer firm PT PIM said most of its employees had been refusing to come in for fear of being attacked on their way to work.

PT PIM spokesman Sulaiman Porang said that on Monday, only a handful of workers showed.

"Public transportation is not operating, and employees who have their own cars or motorcycles are afraid to come to work, fearing for their safety," Sulaiman said.

In order to continue operations, the company has assigned a group of 150 workers to work at the plant. These workers are to remain at the plant's compound until their replacement shifts arrive.

"They have been ordered to stay at the office and are not allowed to go home, so the plant will be operational," he said.

PT PIM has about 1,250 employees and produces 570,000 tons of fertilizers annually, mostly urea, said Sulaiman.

The troubled Aceh province is one of the country's richest sources of liquefied natural gas and oil, and has attracted many foreign investors.

Increasing security disturbances in the province, mainly resulting from armed conflicts between Indonesian security forces and armed rebels from the Free Aceh Movement (GAM), in the past few years have often hampered business activities in the territory, especially in Lhokseumawe.

In 2001, ExxonMobil suspended its operation for four months due to security worries arising from the conflict. The suspension forced other companies, such as PT PIM and PT AAF, who relied on ExxonMobil gas supplies, to halt their operations.

ExxonMobil resumed operations in July 2001, after the government sent in more troops to the province to reinforce security.

Meanwhile, Ridwan said Pertamina has coordinated with the military to secure the distribution of fuel through conflict areas in the province.

"The distribution of fuel through conflict areas will be escorted by military personnel to ensure safe delivery," he said.