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| Indonesia to withdraw from Opec | Indonesia to withdraw from Opec |
| (30 minutes later) | |
| Indonesia has said it will quit the oil producers' body Opec as it is no longer a net exporter of the commodity. | Indonesia has said it will quit the oil producers' body Opec as it is no longer a net exporter of the commodity. |
| Energy minister Purnomo Yusgiantoro confirmed the move, which had been anticipated for some time. | Energy minister Purnomo Yusgiantoro confirmed the move, which had been anticipated for some time. |
| Opec's sole member in South East Asia, Indonesia became a net importer of oil in recent years after production fell and it struggled to find new reserves. | |
| Soaring oil prices have pushed up inflation in Indonesia and a recent end to fuel subsidies prompted protests. | Soaring oil prices have pushed up inflation in Indonesia and a recent end to fuel subsidies prompted protests. |
| Production stagnates | |
| Indonesia will leave the 13-member organisation when its membership expires later this year. | |
| The BBC's Lucy Williamson in Jakarta says the decision is not unexpected, since Indonesia's production has stagnated and it has precious few sources of proven new reserves. | |
| But she adds that ministers are leaving the door open for it to return, should any future discoveries of oil transform the state of its industry. | |
| Analysts say foreign oil firms have historically been deterred from investing in Indonesia, because of concerns about corruption and weak legal controls. | |
| In recent times, the government has increased the financial incentives on offer to foreign firms to invest in exploration and extraction. | |
| Indonesia is currently producing about 860,000 barrels of oil a day but growth in demand is expected to continue to outstrip output, increasing the need for imports over time. | |
| Gabon was the last country to pull out of Opec in 1995. Ecuador left the organisation in 1992 but returned to the fold last year. |