Indonesian Political, Business & Finance News

Adkasi: Middle East Conflict Is Opportunity to Optimise Community Oil and Gas Wells

| Source: ANTARA_ID Translated from Indonesian | Energy
Adkasi: Middle East Conflict Is Opportunity to Optimise Community Oil and Gas Wells
Image: ANTARA_ID

Semarang (ANTARA) – Adkasi throws its full support behind increased lifting of Indonesia’s oil and gas reserves. The Chairman of the Association of District Regional Representatives Councils Across Indonesia (Adkasi), Siswanto, has stated that the conflict in the Middle East, which has triggered an energy crisis, presents an opportunity to optimise both old and dormant wells owned by the government, companies and communities, in order to reduce dependence on energy imports.

“Adkasi fully supports the increase in Indonesia’s oil and gas lifting. One way to achieve this is through Ministry of Energy and Mineral Resources Regulation No. 14 of 2025, which governs the division of work areas to increase national oil and gas production,” Siswanto said in Semarang, Central Java, on Wednesday.

He further noted that to increase oil and gas lifting, especially given the ongoing conflict in the Middle East region that is disrupting global energy supplies, there are several urgent steps that need to be taken.

First, he said, is to increase oil and gas lifting from wells owned by communities or old wells that have not been managed for a long time.

“In addition to work through companies that have already secured work contracts (KKKS) for oil and gas in Indonesia,” said Siswanto, who is also Deputy Chairman of the Blora Regency Regional Representatives Council.

He added that the potential of community-owned oil and gas wells and old wells are scattered across several regions whose legislative bodies are Adkasi members.

He cited examples in Central Java, including Blora, Grobogan, Boyolali and Kendal regencies. In South Sumatra, he mentioned Musi Banyuasin Regency.

“Not to mention provinces such as Jambi, West Java, East Java such as Bojonegoro and Tuban,” he said.

As for companies that are already KKKS holders, such as ExxonMobil in Blora Regency (Central Java) and Bojonegoro and Tuban (East Java) in the Cepu Block area, they need to search for and explore other fields.

“Such as in Giyanti, Blora Regency, in Bojonegoro and Tuban, further exploration is needed. This includes operations managed by Pertamina and other companies in other provinces, for instance Jambi, South Sulawesi, Papua, Central Papua, South West Papua – these need to be optimised,” he said.

Through this optimisation, it is hoped that crude oil lifting, which currently stands at around 605,300 barrels per day, can increase to at least 800,000 barrels per day.

“Thus, Indonesia can reduce oil and gas imports, and perhaps in the future will truly achieve energy independence,” said Siswanto.

Indonesia’s fuel production stands at approximately 1.18 million barrels per day, whilst national demand reaches 1.6 million barrels per day.

Crude oil lifting, currently at around 605,300 barrels per day, has already exceeded the 2025 State Budget target of 605,000 barrels per day.

“This is an achievement for Indonesia under the leadership of President Prabowo through Energy and Mineral Resources Minister Bahlil Lahadilia,” said Siswanto.

The Ministry of Energy and Mineral Resources Regulation No. 14 of 2025 governs cooperation in managing portions of work areas to increase oil and gas production, particularly through the reactivation of old wells and the legal management of community wells.

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