ExxonMobil resumes production of NAD plant

ExxonMobil resumes production of NAD plant

Agencies, Jakarta

U.S. energy giant ExxonMobil said Friday that fire has damaged parts of its natural gasfield in Indonesia's war-torn Aceh province but production has resumed.

The fire Wednesday affected parts of the cluster III and IV in the Arun field in North Aceh but production of liquefied natural gas (LNG) resumed the following day, said company spokeswoman Deva Rachman.

She told AFP that a team had been assigned to assess the extent of damage and initiate repairs but declined to speculate if the fire was due to sabotage.

Minister of Energy and Mineral Resources Purnomo Yusgiantoro said operations were running at 60 percent of capacity after the fire was brought under control Thursday.

"We are investigating the fire to see whether it was due to sabotage," Purnomo told reporters as quoted by AP.

The fire broke out six days after a grenade exploded at the gasfield. It caused no casualties or damage.

North Aceh is one of the districts most affected by the activities of Free Aceh Movement (GAM) rebels.

"Gas and condensate production from (both) clusters already resumed on Thursday. An assessment of what -- if any -- impact there will be on the gas delivery schedule is already underway," Rachman said.

ExxonMobil feeds 90 percent of its natural output to the huge Arun LNG plant for export to Japan and South Korea.

Asked if the fire affected supplies to Japan and South Korea, Rachman said: "Buyers have been informed about the situation."

Aceh has been under martial law since May 19 when the government launched a major attack on the rebels.

ExxonMobil closed its Arun operations for four months in 2001 due to security concerns. The plant is closely guarded by Indonesian troops.