With Russia’s ongoing invasion of Ukraine, rising tensions in the Middle East and a global trade tariff war sparked by the United States, energy security is at the forefront of the global geopolitical agenda. Countries, with the capacity to do so, are taking measures to boost domestic oil and gas production while also building low-carbon energy sources in preparation for the energy transition. To support energy security for its population of over 250 million, Indonesia has set ambitious production targets of 1 million barrels per day of oil and 12 billion cubic feet of gas per day (Strategic Plan IOG 4.0).

Over the last three years, Indonesia has reinvigorated its upstream sector through greater industry collaboration, enhanced fiscal terms, an improved approach to exploration licensing and stronger regulatory support. These changes have resulted in increased acreage awards, new investment decisions and major exploration success, as highlighted below:

• Fiscal and regulatory improvements: simplified Gross Split fiscal terms and CCS implementation regulations.
• 26 blocks awarded in the past three years.
• Final investment decisions: Akatara (Jadestone), Hidayah (Petronas), Merakes (Eni), Tangguh UCC (BP) and Kasuri (Genting).
• Exploration discoveries: Hidayah (Petronas), Maha and Geng North (Eni) and Layaran and Tangkulo (Mubadala).
• Production start-ups: Merakes (Eni), Tangguh LNG Train 3 (BP) and Akatara (Jadestone).

Speaker:

Roberto Daniele, Managing Director - Eni Muara Bakau B.V.

Adnan Bu Fateem, Chief Operating Officer - Mubadala Energy