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Wet Weather Disrupts Indonesia’s Oil Production, Regulator Says

Rain and high surf disrupted operations at some of Indonesia’s oil fields, reducing the country’s output, energy regulators said today.

Indonesia’s daily production may average 770,000 to 790,000 barrels for the next three days as rain and large waves disrupt output from the West Madura and Mudi fields in East Java, Elan Biantoro, a spokesman at SKK Migas, the oil and gas upstream regulator, said in an interview.

PT Pertamina Hulu Energi stopped oil production on Jan. 20 from the offshore West Madura field, which usually pumps 22,200 barrels a day, Biantoro said. The wet weather caused a leak in a hose that delivers crude to a floating storage facility. Daily output of natural gas also fell by about two-thirds to 40 million cubic feet a day, he said.

“We will catch up production to meet our target when repairs are complete,” Biantoro said. Indonesia will produce 804,000 barrels of oil a day on average this year, J. Widjonarko, SKK Migas’s acting head, said Dec. 30.

Crude deliveries on to tankers from the onshore Mudi field were halted after high waves in the Java Sea knocked a floating storage facility from its single-buoy mooring on Jan. 21, Biantoro said. Oil output from Tuban block in East Java is down to 8,000 barrels a day, from 29,000 a day, because of the incident, Biantoro said.

Rainfall of medium- to high-intensity is forecast until Jan. 30 for Java, western and southern Sumatra, as well as the southern sections of Kalimantan and Sulawesi, the country’s Meteorology, Climatology and Geophysics Agency said in a weekly forecast on its website.

Indonesia is trying to stem a decline in aging oil and gas fields. The drop in output turned what was once Southeast Asia’s largest crude producers into a net importer of oil, leading it it to withdraw in 2008 from the Organization of Petroleum Exporting Countries.

To contact the reporter on this story: Fitri Wulandari in Jakarta at fwulandari@bloomberg.net

To contact the editor responsible for this story: Pratish Narayanan at pnarayanan9@bloomberg.net

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