Indonesia begins major oil, gas exploration in Sulawesi
Indonesia's state-owned oil company Pertamina, along with foreign partners Sinopec from China and Kuwait’s Kufpec, has signed a contract to explore the Melati oil and gas block, located off the coast of Sulawesi. The block is estimated to contain trillions of cubic feet of gas reserves.
Oil field offshore Indonesia. (Photo: thejakartapost.com)
Jakarta (VNA) - Indonesia's state-owned oil company Pertamina, along with foreign partners Sinopec from China and Kuwait’s Kufpec, has signed a contract to explore the Melati oil and gas block, located⛦ off the coast of Sulawesi. The block is estimated to contain trillions of cubic feet of gas reserves.
Pertamina Chairman Chalid Said Salim on October 21 highlighted that the exploration opens new opportunities in the region, potentially transforming Sulawesi into the next major oil and gas hub. The block is estimated to hold 850 million barrels of oil and 4.7 trillion cubic feet of natural gas.
Chalid announced that the partners have committed to an initial investment of at least 12.7 million USD during the three-year exploration phase, focusing on geological and geophysical studies.
Muhamad Arifin, Director of Pertamina Hulu Energi Sulawesi Melati, emphasised that exploration in Eastern Indonesia presents “new hope” for the country’s oil and gas sector. The Melati project will be developed through a transparent bidding process among contractors, ensuring fairness and optimal national profits while adhering to environmental regulations.
According to a report by S&P Global Commodity Insights, Sulawesi holds great potential for leading oil and gas production. Foreign companies from China and the European Union have expressed interest in signing exploration contracts with Indonesia to tap into these resources./.
Indonesia is conducting tests as it prepares for the incoming government’s plan to increase the palm oil-based biodiesel blending mandate to 50%, up from the current 35%.
Indonesia is trying to increase its oil production that has been dropping since 2020, reversing the declining production trend by exploiting old oil fields and try to find new oil fields, with an aim of producing 100,000 barrels a day by 2028.
Indonesian President Joko Widodo on July 31 held a meeting with several ministers in Jakarta to discuss the acceleration of oil and gas production in the country.
The Ministry of Commerce reported that imports also rose 18% to 29.9 billion USD during the same period, resulting in a trade surplus of 1.1 billion USD. In May alone, Thailand posted a 4.6 billion USD trade surplus with the US and a 4.1 billion USD trade deficit with China.
The World Bank will provide a 2.1 billion USD financing package for Indonesia, focusing oncreating jobs, stimulating economic growth, and enhancing access to clean energy across the country.
Member states also reviewed progress on six priority areas for 2025, including the development of an underground cable framework, the follow-up agreement to the ASEAN Petroleum Security Agreement (APSA), the launch of the ASEAN Energy Efficiency Database, and the rollout of an investment platform for sustainable building initiatives.
In March, Thai Prime Minister Paetongtarn Shinawatra met with Formula 1 chief Stefano Domenicali and said Thailand would commission a feasibility study into hosting a Grand Prix on a Bangkok street circuit from 2028.
The proposed giant sea wall aligns with bilateral cooperation and has been designated a national priority, considering that several regions in Indonesia are experiencing land subsidence of 10–15 centimetres per year.
International flights were cancelled including Jetstar and Virgin Australia flights to cities across Australia, and flights of Air India, Air New Zealand, Singapore's TigerAir and China's Juneyao Airlines.
The partnership aims to strengthen collaboration in the exploration and exploitation of mineral resources, including gold, copper, and manganese, as well as in the development of steel, aluminum, and renewable energy industries.
The Thai cabinet has approved a seven-year EV bus leasing scheme proposed by the Bangkok Mass Transit Authority (BMTA) for the capital, with an estimated cost of 15.35 billion THB (over 470 million USD).
Aircraft are prohibited from flying below 6,000 metres in the vicinity of the volcano, and should also remain alert to the presence of volcanic ash, which can disrupt flights.
Laos declared the transfer of the press management functions of five key media agencies and associated personnel to the Propaganda and Training Board of the Lao People's Revolutionary Party Central Committee.
Univers said in a statement that the new centre will serve as a hub for innovation, bringing together digital intelligence and climate ambition to accelerate Sarawak's transition toward a low-carbon, tech-enabled economy.
The target is to be completely free from plastic waste within two years. This can only be achieved if all parties implement the initiative with strong discipline.
Indonesia is taking new steps to improve protections for fishery workers, amid concerns over low wages, harsh working conditions, and limited access to social welfare.
The 2025 ASEAN- the Republic of Korea (RoK) Connectivity Forum that opened in Jakarta on June 17 reaffirmed a shared commitment to shaping a connected, resilient future by advancing the ASEAN Connectivity Strategic Plan.
The desk will serve as a service centre providing market intelligence, business licensing guidance, facilitating business cooperation, identifying potential investment projects, and harmonising regulatory policies between the two parties.
Malaysian Prime Minister Anwar Ibrahim noted that the Asia-Pacific region accounted for half of global energy consumption and 60% of greenhouse gas emissions in 2024. Despite this, regional countries, including eight of ten ASEAN member states, remain committed to climate goals, including net-zero emissions and tripling global renewable capacity by 2030.
