Mon, 14 Oct 2002

Security boosted for foreign energy and mining firms

The Jakarta Post, Jakarta

The government has stepped up security measures to guard the facilities of multinational energy and mining firms across the country over fears of terrorist attacks after the bomb blasts on the tourist island of Bali.

Coordinating Minister for Political and Security Affairs Susilo Bambang Yudhoyono said security had been increased at the liquefied natural gas (LNG) plant in Arun, Aceh, which is partly owned by U.S. energy firm ExxonMobil Corp.

"The Indonesian Army has taken steps to back up the police in securing vital sites all over Indonesia, especially in the energy sector because there is information the energy sector will be targeted by terrorists," he was quoted by Reuters as saying on Sunday.

Security has also been increased at the country's largest LNG plant in Bontang, East Kalimantan, which is owned by a consortium including by French firm TotalFinaElf, American energy firm Unocal Corp. and Vico Indonesia, which is a subsidiary of Anglo- American energy firm BP PLC.

Bambang also mentioned the mining facilities in Papua province owned by the world's largest copper and gold mine, PT Freeport Indonesia, a subsidiary of U.S.-based Freeport-McMoran Copper and Gold Inc.

Sidik A. Nitikusuma, spokesman for the country's upstream oil and gas authority, BP Migas, confirmed that security measures had been intensified at all of the country's oil and gas facilities following the bomb blasts in Bali that killed more than 180 people, most of them foreign tourists.

"Special attention is being given to the facilities owned by U.S. and British firms," he told The Jakarta Post.

He did not say why efforts were being focused on firms from these two countries, but many members of the public oppose a possible U.S. attack on Iraq as part of its global war on terrorism. Britain is the key supporter of the U.S. in its possible attack.

Furthermore, the U.S. and British firms are the main players in the country's oil and gas industry.

Among the U.S. energy firms operating in the country are ExxonMobil, ChevronTexaco and Conoco. ChevronTexaco, which concentrates its operations in Riau, is the country's largest oil producer, accounting for more than half of the country's oil output of more than 1.2 million barrels per day.

The largest British energy firm operating in the country is BP, which has large gas operations in East Java and Papua.

BP Migas had not yet made requests to the police or the military to deploy personnel to back up security at the country's oil and gas facilities because the situation is thus far normal, Sidik said.

"We only asked the existing security guards to intensify their coordination with the police and the military," Sidik explained.

Meanwhile, PT Newmont Nusatenggara, a subsidiary of American mining giant Newmont Corp., which operates a copper and gold mine on Sumbawa island, West Nusa Tenggara, said the company was shocked by the Bali incident.

It, however, has no plans to evacuate its foreign workers because of the incident, the company was quoted by Antara as saying.