Exxon, Pertamina Sign Deal To Develop Natuna

PT Pertamina and ExxonMobil agreed to jointly develop the Natuna D-Alpha natural gas block in Indonesia. Pertamina is in final talks with other potential partners and expects to sign similar deals shortly.

The decision on the partners may help Indonesia speed up development of the project, which was delayed after the government canceled Exxon’s drilling rights in 2006, saying the company failed to provide a feasibility study. ExxonMobil, which held a 76% stake, denied the claim.

Natuna is estimated to hold 46 Tcf or 41% of the country’s reserves of 112.5 Tcf.