Thu, 21 Jan 1999

Producer of hydrocarbon

With reference to your article Pertamina may raise output by 56 percent next year dated Dec. 22, 1998, we were very much surprised that Total Indonesie, a production sharing contractor of Pertamina operating in the Mahakam Block in East Kalimantan, was not quoted as being a major producer of hydrocarbon in Indonesia.

Currently our daily production of natural gas from the Mahakam Block stands at around 1.8 billion standard cubic feet per day (BSCFD) and liquids around 60,000 barrels of oil per day (bopd). This is equivalent to an overall production of hydrocarbons of around 385,000 barrels of oil equivalent per day (boepd) which, in terms of production, puts our company above Mobil Oil, Vico Indonesia and ARCO as quoted in your article.

As Total Indonesie undertakes to complete the development of the Peciko Field, also in the Mahakam Block, by September 1999 to supply the eighth LNG train (Train H) in Bontang, we expect to be the largest producer of natural gas in the country, with a production of more than 400,000 boepd.

To achieve the Peciko Development, Total Indonesie has made considerable investments which include the construction of two large offshore gas production platforms, one onshore gas processing facility, 80 kilometers of laying 42" pipe onshore and 17 km of laying 24" subsea pipeline.

We hope to have given you a better overview of our present activities in Indonesia and hope that in future reporting on the involvement of foreign oil companies in the country, Total Indonesie will not be overlooked again.

ANANDA IDRIS

Head of Corporate Communication Dept.

TOTAL INDONESIE

Jakarta