Exxon’s Arun LNG Output May Drop on Depleting Reserves

Liquefied natural gas production from Exxon Mobil Corp.’s Arun plant in Indonesia’s Aceh province may drop 24 percent in 2011 from a year earlier as deposit of the cleaner-burning-fuel dwindle, a company official said.

Output from Arun, the country’s oldest LNG plant, may fall to 29 cargoes this year from 38 cargoes produced in 2010, said Maman Budiman, a spokesman at Exxon’s Indonesian unit. Twenty-six cargoes will be sold to overseas buyers and the rest to local fertilizer producer PT Pupuk Iskandar Muda, he said.