Caltex Indonesia Sees Decrease in 2003 Production

PT Caltex Pacific Indonesia said production in 2003 is expected to average approximately 520,000 barrels per day down from last year's average of 600,000 bpd. The company expects to invest $300 - $400 million in 2004, similar to investments from this year and last year. Caltex is Indonesia's biggest oil producer generating about half the national output.

In the past there have been security problems with production, such as looting. "Criminal actions such as stolen equipment has dropped. Therefore, we will accelerate our activities to produce an average 520,000 bpd in 2003," President Director Humayunbosha told reporters.

Humayunbosha said Caltex aimed to produce around 520,000 bpd in 2004, saying there was still plenty of oil reserves in their operational area in central Sumatra. "We will optimize our efforts to defend output next year. The reserves are there, it's just how we tap them," he said.