INPEX Begins Natural Gas Output Off Java

Tokyo, Sept. 7 (Jiji Press)–Japanese oil developer INPEX Corp. said Wednesday it has started natural gas production off Indonesia’s Java Island, expecting to produce 100 million cubic feet per day in 2006.

The company will sell the natural gas to PT Perusahaan Listrik Negara, Indonesia’s state-run power supplier, and PT Perusahaan Gas Negara, the nation’s state-run gas supplier.

INPEX said the start of the natural gas production will have little impact on its earnings.

Production at the APN gas field started on Aug. 17. The gas field is located in the Offshore Northwest Java Block, where INPEX has a 7.25 pct interest through a subsidiary.

BP PLC of Britain is the biggest interest holder in the concession, with 46 pct. China National Offshore Oil Corp. has a 36.72 pct interest and Itochu Oil Exploration Co., a subsidiary of major Japanese trading house Itochu Corp. , has a 2.58 pct interest.END