Where there's a Well, there's Always...

The government has agreed to extend Caltex's management contract of the Coastal Plains Pekanbaru oil field. But the Riau local government is demanding compensation of US$26 million and if it doesn't get this, then Riau's ready to look for a replacement for Caltex.

August 7, 2001

WHEN a mother has set her heart on something, her child invariably wants something different. This is more or less the situation now between the central government and the Riau local government. Both are now arguing over the Coastal Plains Pekanbaru (CPP) oil field, which up to now has been managed by PT Caltex Pacific Indonesia, whose contract officially ends on 9 August 2001. President Megawati Sukarnoputri has already agreed to a one-year ...

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