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ast Java Governor Soekarwo has expressed disappointment over the "low production" of the Cepu block oil field, saying it has caused the provincial administration financial losses as it has not yet been able to enjoy any profits from its participating interest (PI) share in the project.

In fact, he said, both the provincial and regency administrations, where the oil production site is located, had to keep paying interest on the funds they had used to invest in the project, regardless of the fact they had yet to receive any returns from the project.

"We urge Cepu drilling operator ExxonMobil to maximize oil production to meet the production target," said Soekarwo, blaming slow exploration for the low oil production.

The Cepu oil field, said Soekarwo, had a target of 165,000 barrels of oil a day (bpd), however currently, it was only producing 2,000 bpd. At such a snail's pace, he added, the target could not possibly be met until 2013.

"We therefore demand a review of ExxonMobil as the project operator," he said.

He said that, according to Law No. 22/2001 on oil and gas, there was no need for the local administrations to provide cash for the project, as the 10 percent PI share should be given automatically as compensation for the drilling sites.

Lawmakers expressed similar concern over the late compliance of the agreed production target, and promised to push the central government to replace the operator with the state-owned oil and gas company PT Pertamina.

ExxonMobil Oil Indonesia's public affairs vice president Maman Budiman, however, assured that everything was on track. "Everything is in accordance with our target, including reaching the peak production target of 165,000 bpd," he said.