Indonesia revokes Exxon's exploration pact

JAKARTA, Oct. 11 (UPI) -- The Indonesian government revoked its contract with Exxon Mobile to develop the Natura offshore gas field.

The U.S. energy company spent about $350 million to explore the field but found it costly to extract and sell the gas, the BBC said Wednesday. Exxon Mobile said its contract to develop the site runs until 2009 and it has made progress in finding a buyer for the gas.

Indonesia's oil minister said Pertamina, a state energy firm, could be given rights to develop the field, the BBC said.

The Natuna gas field is believed to have 46 trillion cubic feet of recoverable reserves, which accounts for about 25 percent of Indonesia's total gas reserves.