By an OGJ Online Correspondent
JAKARTA, Sept. 14 -- Indonesian state oil and gas company Pertamina will soon start work on a $500 million gas field development n the South Sumatra region, said the Organization of Petroleum Exporting Countries' news agency.
The 22 fields in the Prabumulih region, with accumulated reserves of 3.8 tcf, would supply at least 50 MMscfd of gas to the densely populated West Java region. Deliveries would begin in 2005 and last 20 years, said Pertamina Pres. Baihaki Hakim.
The field development followed an internal agreement between Pertamina and state gas distributor PT Perusahaan Gas Negara (PGN). PGN would build a 640-km gas pipeline from South Sumatra to West Java.
Baihaki noted that West Java remained the main domestic energy market in Indonesia for South Sumatra fields, adding that Pertamina was also intensifying exploration activities in the fields to raise reserves to 5 tcf.
Meanwhile, provincial officials have asked the government to allow their representatives on the independent body that will be formed to manage the country's hydrocarbon resources.
