One Contract, Two Interpretations

ExxonMobil and the government are arguing over the interpretation of the Natuna contract. As yet, there are no plans to take the matter to arbitration.

February 3, 2009

THE letter from Raden Priyono, sent three weeks ago, nullified the plan to develop the Natuna D-Alpha Block gas field. The head of the Oil & Gas Upstream Executing Body (BPH Migas) stated that the proposal sent by ExxonMobil at the end of last year was irrelevant. The reason for this was that the agreement had been cut off since 2005. “There has been no renegotiation as regards the old contract,” said Priyono.

This reaction has started a new

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