Husky Energy has been successful in installing a platform at the BD field offshore Indonesia, the Canadian integrated energy company announced Tuesday in a…
READ MOREIndonesia's Energy Industry
in figures
Oil reserves2.4 billion barrels
Oil production692,000 bopd
Gas reserves1.3 tcm
Gas production59.3 bcm
Eastern potential
Indonesia’s oil and gas industry is a key element in the country’s historic economic development. First oil was discovered in North Sumatra in 1883, which led to the establishment of super-major Royal Dutch Shell in 1890. Production of hydrocarbons continues to be a crucial part of the economy and is increasing in significance as reserves are gradually lowered and local consumption rises. Despite being Southeast Asia’s second largest economy, the government has struggled with making its upstream plays attractive to foreign investors in the modern era due to what are seen as protectionist policies and a history of corruption.
The OPEC member’s upstream and natural gas activities are overseen by SKK Migas. The task force has initiated an ambitious roadmap to shake up the industry and recoup its losses, attract investment and bring the industry back to its former peak in the 1990s. NOC Pertamina is the dominant player in the upstream sector, and has been joined by international players such as China National Offshore Oil Corporation, Total E&P Indonesia, ConocoPhillips, BP Tangguh and ExxonMobil Indonesia. The island nation’s prospective gas plays are mainly found on offshore basins that are not associated with its crude production. E&P operations on its coal bed methane and shale gas are being pushed by the state as a key economic lifeline for the nation.
Indonesia is a large player in the global LNG export market. In the 1990’s it accounted for one-third of international trade of the resource. However it has lost it market dominance due to a rise in LNG exports from competitors such as Qatar, Australia and the US. The country remains a significant regional supplier of LNG, with Japan, South Korea and China among its top buyers.
The Asian nation is also seeking investment in its downstream and midstream sectors. Indonesia boasts a large array of refineries. However, the country’s refining capacities are inefficient for its demand. Indonesia relies on imports to fulfil its petroleum usage. Pertamina owns and operates most of the country’s refining capacity. The country has no international pipelines for petroleum trade and maritime transport remains a crucial component of its energy value chain. State-run Perusahaan Gas Negara manages more than 90% of the country’s midstream infrastructure.
Mubadala Energy has made a major ultra-deepwater gas find off Indonesia.
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READ MOREIndonesia's largest power plant is ramping up its deliveries of biomass fuel as part of a bid to shift to more sustainable…
READ MOREFugro has won a contract to provide marine surveying at Inpex's 9.5-million-tpy Abadi LNG project in Indonesia.
READ MOREEni has completed its acquisition of Neptune Energy’s oil and gas assets for USD 4.9 billion.
READ MORESameer Mohammed, CEO and managing director of Ocean Oilfield Integrated Solutions, talks to The Energy Year about how the…
READ MOREIndonesia’s Pertmina plans to refine more of its domestic oil output, the state-owned integrated energy company said on Thursday. The move is seen as a part of an…
READ MOREArief Susanto, president director of Synergy Engineering, talks to TOGY about how local content regulations have both revived and added further obstacles for foreign…
READ MORENova Mugijanto, managing director of Pan Maritime, talks to TOGY about the drivers of Indonesia’s crew boats market and the impact that low oil prices have had on…
READ MOREGE plans to invest in $1 billion in four Indonesian infrastructure projects, the US multinational conglomerate announced Monday.
GE has signed three power sector…
READ MOREJarman, the Director-General of Electricity for the Ministry of Energy and Mineral Resources, talks to TOGY about Indonesia’s electricity scenario, the role of the…
READ MORECanadian exploration and production junior Pan Orient Energy announced a hydrocarbons discovery in Indonesia on Monday.
The discovery of natural gas and gas…
READ MORE<a href='https://theenergyyear.com/companies-institutions/opec/’>OPEC has notified Indonesia that its request to rejoin the cartel will be approved in…
READ MOREChadi Nehme, managing director of PT Energy Logistics, talks to TOGY about the impact of Indonesia’s cabotage law on offshore projects as well as local vessels’…
READ MOREMustain Sjadzali, the president, director and founder of Citra Panji Manunggal Group, talks to TOGY about the opportunities for investment in Indonesia’s…
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