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Caltex operations unaffected by haze

| Source: JP

Caltex operations unaffected by haze

JAKARTA (JP): The haze problem does not affect the operation
of Riau-based PT Caltex Pacific Indonesia, the country's largest
crude oil producer, says an executive.

Deputy vice president in charge of Pertamina's foreign
contractor-venture development, Sungarna Sukandar, said yesterday
that operations in Caltex's oil fields in Riau continued despite
the haze problem.

He said the company could still maintain a production level of
758,000 barrels of crude oil per day.

The forest fires in Sumatra and Kalimantan, which started in
May, have caused a serious haze problem not only on the two
islands but also in the neighboring countries of Singapore and
Malaysia.

Caltex, which produces half of the country's total oil
production, has reportedly evacuated many sick workers and their
families to safe areas outside Riau due to the haze.

The company, which is co-owned by U.S. giant oil companies
Chevron Corp and Texaco Inc, currently operates oil fields in
Rokan, Siak, Coastal Plain and Kuantan, all in Riau.

Sungarna said although flights to Simpang Tiga Airport in
Riau's capital of Pekanbaru had stopped for a few weeks, Caltex
could still obtain necessary materials for its operation from
Batam island.

"Thus far, there is no problem with sea transportation linking
Riau's seaport of Dumai to Batam. So materials for Caltex's
operations can be supplied through Batam," Sungarna said.

The distribution of crude oil from Caltex's oil fields also
remained undisturbed by the haze, Sungarna said.

"The crude oil is piped to the Dumai seaport, where it is
picked up by tankers and shipped abroad," he explained at a
discussion on an oil-spill contingency plan.

The discussion was held yesterday to think of measures for the
handling of oil spills caused by a collision involving oil
tankers.

A deputy at the Environmental Impact Management Agency
(Bapedal) P.L. Coutrier, said the discussion was held due to the
haze. He said if it got worse, it could endanger sea
transportation and increase the risk of oil tankers crashing into
other ships. (jsk)

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