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Indonesia urged to stay with OPEC

By Xinhua,

Jakarta : Indonesia should not withdraw its membership from the Organization of the Petroleum Exporting Countries (OPEC) and lose the privilege of tapping into the coalition’s abundant oil supply at low prices, an official has said.

The government should thoroughly reconsider quitting as it could put the sustainability of the country’s oil supply at risk, Abdul Muin, a former OPEC executive and deputy chairman of the upstream oil and gas regulator BPMigas, was quoted Thursday as saying by The Jakarta Post.

“Due to good relationships between members, we can lobby for a smooth flow of crude supplies and get cheaper prices, and when it is calculated we obtain annual benefits of more than 2 million euros,” he said.

Muin said leaving the group would scrap the advantage of obtaining supply as most of the country’s oil was imported from member countries, which together control some 40 percent of the world’s oil supply.

President Susilo Bambang Yudhoyono said Tuesday the country should temporarily withdraw its membership because the country was no longer able to export crude oil due to a domestic production drop and soaring consumption.