Reply #8: Indonesia considers quitting OPEC

[ozymandius]

JAKARTA, Indonesia - President Susilo Bambang Yudhoyono said Tuesday that Indonesia was considering quitting the Organization of Petroleum Exporting Countries because it was no longer a net oil exporter.

"Our wells are drying," he said in the nationally televised speech, adding that the country needed to concentrate on increasing domestic production, which has dropped to less than a million barrels a day even as consumption rises.

The government opened talks Monday on whether it "should continue to stay with OPEC or withdraw our membership ... until we reach a point where we deserve to rejoin that organization," Yudhoyono told governors and heads of regencies from all over Indonesia.

The country of 235 million people is Southeast Asia's only OPEC member. But it has to import oil because of decades of declining investment in exploration and extraction due to corruption and a weak legal system that makes oil companies wary of doing business here.

http://news.yahoo.com/s/ap/20080506/ap_on_bi_ge/indonesia_opec