The blast from the Indonesian government comes on the back of an announcement by ExxonMobil that LNG exports from the field "will be significantly reduced as early as next year." The Arun field was to have been completely developed by 2010 but work on the field has yet to be started.
In its defence, the consortium made up of the two energy giants have been reluctant to proceed with development due to the instability in the area brought about by a long on-going conflict between the Indonesian government and separatist rebels.