[MOBIL OIL INDONESIA INC. LETTERHEAD]

14 February, 1995

Mr. J.M. Hosanski
Vice President LNG
TOTAL Indonesie

Mr. S.G. Leson
Vice President LNG & Operations
UNOCAL

Mr. C.L. Harris
Vice President LNG
VICO


Gentlemen,

     The purpose of this letter is to confirm our understanding
regarding the allocation of supply entitlements between the Arun
Plant and Bontang Plant for LNG sales made by PERTAMINA.  The
agreement of supply allocation will support PERTAMINA's LNG
marketing objectives and facilitate effective planning and
implementation of PERTAMINA's LNG sales contracts.

     Effective 1 January 1995, all contracts for additional LNG
sales entered into (or in a form which has been substantially
agreed to) before 1 January 1996 will be allocated 100% to the
Bontang Plant.  It is acknowledged the supply allocation for the
extensions of the 1973 and 1981 Japanese Western Buyers contracts
(10 and 5 years, respectively), the medium term sale to Korea Gas
Corporation (MOA dated 30 September 1994), the medium term sale to
Chinese Petroleum Corporation (MOA dated 6 December 1994), the long
term sales to Korea Gas Corporation and Chinese Petroleum
Corporation (Badak V and Badak VI, respectively), the two year
extension of the Chubu Yokkaichi Sales Contract, and the sale to
Korea Gas Corporation for two additional cargoes in February 1995
are allocated 100% to the Bontang Plant.

     The parties also acknowledge that because (1) the Arun Plant
has sufficient inventory and was ready and able to deliver its
entitlement to the last 1973 Sales Contract cargo transported on
the LNG tanker Libra in 1994, but (2) that at Pertamina's direction
such cargo was transferred to and loaded at Bontang on December 22,
1994, in order to provide sufficient inventory at both Plants for
the delivery of the two additional cargoes to Korea Gas Corporation
in February 1995, Arun's 1994 entitlement to such cargo was carried
forward to 1995.  The parties further acknowledge that the 1973
Sales Contract cargo transported on the LNG tanker Libra originally
scheduled to be lifted from the Bontang Plant on January 11, 1995,
was transferred to and loaded at the Arun Plant on January 11,
1995, in full satisfaction of Arun's 1994 carry-forward
entitlement.

     Representatives from MOBIL, TOTAL, UNOCAL and VICO will
consult with each other with a view to agreeing before the end of
1995 to the allocation of supply entitlements for additional LNG
sales entered into 1 January 1996 and after.

     If this letter reflects our agreement on the allocation of
supply entitlements please sign four original copies attached.


                                   Very truly yours,

                                   /S/
                                   J.B. King
                                   Vice President Gas Product


TOTAL Indonesie          UNOCAL Indonesia Company      VICO
Indonesia

By:  /S/            By:  /S/                      By:  /S/