Financial Times FT.com

US-Indonesian thaw puts energy deal back on table

By Tim Johnston in Jakarta

Published: May 25 2005 03:00 | Last updated: May 25 2005 03:00

Susilo Bambang Yudhoyono, Indonesia's reformist president, is expected to consolidate a marked improvement in relations with the US when he meets President George W. Bush in Washington today.

As an indication of increasingly warm ties, officials say the two countries will resume their bilateral energy dialogue, suspended eight years ago when the Asian financial crisis devastated the Indonesian economy. Representatives of the two governments and the oil and gas industry are scheduled to discuss Indonesia's still uncertain legal safeguards, tax reforms and production-sharing arrangements.

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