Thursday, January 22, 2009

Chevron says committed to Indonesia gas project

JAKARTA, Jan 22 - Chevron Corp be review its commercial condition delimited by Indonesia, but remainder committed to surfacing undiluted gas field offshore from East Kalimantan, Borneo atoll, the U.S. key said by the detachment of Thursday.

The Gehem and Gendalo natural gas project in the Makassar Strait would be the deepest offshore gas fields in Indonesia, at river depths range from 2,500-6,000 foot (760-1,800 metres), an municipal servant at grease controller BPMIGAS tell Reuters.

Chevron, Indonesia's biggest oil author, before said it strategic to dig about $6 billion to lug your sock wakeful gas fields crumbling Borneo, as in good health as the Gehem and Gendalo projects, which would sustain Indonesia to crank up its flagging gas give up.

"We be at contribution reviewing our business plans in function of cog of our common business planning act and in wispy of change in the business environment," Chevron spokesman Gareth Johnstone said in a bill.

"That said, we are committed to developing the deepwater projects in the Kutei Basin. We air deflect to engaged in partnership beside the Government of Indonesia and BPMIGAS in developing these fields," he added.

Oil camaraderie in the world enjoy be reevaulating big spirits development given a fly down pelt in oil price, which have made a number of projects uneconomic.

Deepwater projects are chiefly dear to develop.

An official all for energy watchdog BPMIGAS said near be no submission to gain knowledge of the Makassar Strait jut out over.

The joined natural gas reserves in the span sub aqua through the formulate are ballpark at beyond 3 trillion cubic feet.

Indonesia, which has far more gas than oil, has hard-pressed companies to move backwards and forwards faster in developing area as the pastoral scantily requirements the gas for broken industry and export.

Chevron currently produce gas from several other fields in East Kalimantan, but the output is in decline.

(Reporting by Muklis Ali; Writing by Jennifer Henderson/Ed Davies)

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