For most of its 25 years, ARCO Indonesia has depended heavily on oil production from its Northwest Java Sea field (236234 bytes). Now the company is pursuing a more varied strategy. It includes gas development in the emerging Kangean block and aggressive exploration in Indonesia's burgeoning eastern frontier. ARCO Indonesia executives see gas as the future. In the past there was no domestic market for gas in Indonesia. But with its rapidly growing electrical power needs and declining oil production, Indonesia seeks to fuel its power generating plants with gas. Gas also is turning around an ARCO Indonesia that a few years ago faced an uncertain future due to slumping oil production, dwindling profits, and rising costs. ARCO has two strategically located offshore gas fields just north of Java, where most Indonesians live. Last year, ARCO brought on line significant volumes of gas from Pagerungan field on the Kangean block and from its Java Sea fields. ARCO Indonesia Operations Vice Pres. Larry Asbury said, "Gas is important in Indonesia. It's our future. Our business strategy is to be the biggest gas supplier for eastern and western Java."