VP: GAS FROM DONGGI SENORO NOT FOR EXPORT

Jakarta, June 18 (ANTARA) - Vice President Jusuf Kalla said there was no change in the government's decision that gas from the Donggi Senoro block would be used to meet domestic need rather than overseas demand.

"There are indeed letters from PT Pertamina and PT Medco (requesting permission to export the gas) but they will not influence my attitude," the vice president said before declaring Professional Youth Front Supporters of presidential candidate Jusuf Kalla and running mate Wiranto (JK-Wiranto duo) here on Thursday.

State oil company PT Pertamina president director Karen Agustiawan had earlier asked the vice president to approve the export of Donggi Senoro gas to Japan.

The vice president explained that at his meeting with PT Pertamina president director Karen Agustiawan and Energy and Mineral Resources Minister Purnomo Yusgiantoro early this month, the government decided not to sign any new gas export contract until domestic need for gas was adequately met.

Kalla said it was decided at the meeting that based on the national gas balance, there was a domestic gas shortage and therefore the gas from the Donggi Senoro block would be used to meet domestic need and was not to be exported.

The vice president said the government's decision to make no new gas export contracts had been agreed on by President Susilo Bambang Yudhoyono because it was made in an effort to meet domestic demand for gas.

"Domestic demand for gas has remained unmet. Therefore, we should make every possible effort to have it met before signing any new gas export contract," the vice president said.

He said the government had also decided to prioritize domestic gas supply to improve domestic energy supply by constructing new refineries, and to set efficient prices for gas and energy.

Asked about the continuation of the Donggi Senoro gas block contract, the vice president said the old contract would continue to go on but it would be for the purpose of meeting domestic demand.