Shell eyes new Indonesian deal

Shell eyes new Indonesian deal

AMSTERDAM (Dow Jones): Royal Dutch/Shell Group of Companies
(RD) said Friday that its Shell International Gas Ltd. division
has started talks with the Indonesian Ministry of Mining and
Energy and with Pertamina on the possibility of using Shell's
technology to develop the nation's uncommitted gas resources.

Shell said it will conduct a study with a view to recommending
to the Indonesian government that the Shell middle distillate
synthesis (SMDS) technology be accepted for the development of
gas resources in addition to the liquefied natural gas
technology.

Pertamina and Shell will investigate prospects for a new
70,000-barrel-a-day gas to liquids conversion plant.

"Shell is actively seeking investment opportunities around the
world for second generation SMDS facilities, and Indonesia offers
substantial potential for the concept," said Jack Jacometti,
Shell vice president SMDS.

SMDS technology converts gas into ultra clean liquid products.