14 Geothermal Fields Put Up for Tender: Will PGEO Join?

Jakarta, CNBC Indonesia — PT Pertamina Geothermal Energy Tbk (PGEO), also known as PGE, said it was evaluating opportunities to take part in the tender for 14 Geothermal Working Areas (WKP) opened by the Ministry of Energy and Mineral Resources (ESDM).

The state-owned geothermal company will consider whether the working areas fit its growth strategy and offer sufficient economic potential before deciding whether to participate.

PGE Exploration Director Edwil Suzandi said the company was open to all geothermal business development opportunities, including tenders for working areas offered by the government.

Edwil explained that PGE’s business development strategy takes two main factors into account: acceptability and accessibility.

On accessibility, PGE sees no significant obstacles, as it already operates in Indonesia and understands the regulations. The main consideration, however, is whether a working area aligns with the company’s growth strategy.

“First, we look at the resource; second, we look at the working area. If it is in line with our strategy, we will participate,” Edwil said at a media briefing in Menteng, Central Jakarta, on Wednesday (4 November 2026).

Edwil said PGE’s team was still evaluating which working areas to target, so the company could not yet disclose where it might bid.

He added that PGE had previously taken part in the tender for the Way Ratai geothermal working area in Lampung and won it.

Edwil said PGE’s growth strategy followed two paths: organic and inorganic growth.

Organic growth involves optimising geothermal assets already owned by the Pertamina subsidiary. Inorganic growth involves adding new assets, either by participating in tenders or through corporate actions such as mergers and acquisitions.

According to Edwil, business development opportunities are not limited to working areas in Indonesia or overseas. PGE will consider entering an area if it meets economic requirements and has adequate geothermal resources.

“As long as it meets the economic requirements and has the resources, PGE will assess it and will be interested in entering,” he said.

The ESDM Ministry has opened tenders for 14 geothermal working areas, with a combined target capacity of 732 megawatts (MW). The move is intended to help meet the renewable energy mix target by harnessing Indonesia’s substantial geothermal potential.

Eniya Listiani Dewi, director-general of new, renewable energy and energy conservation at the ministry, said the tender followed an instruction from the Energy and Mineral Resources Minister to simplify licensing in the geothermal sector.

She said regulatory improvements were needed to attract greater investment and provide developers with competitive margins.

“This is the Minister’s direction: to shorten the geothermal licensing process. We are opening tenders for 14 locations. This was the Minister’s instruction, conveyed at the Geothermal Summit. All are being opened for tender, with a target of 732 MW,” she said at the 12th Indonesia EBTKE ConEx 2026 at JIExpo on Wednesday (2 September 2026).