Indonesia Can Buy Oil More Cheaply from Russia

A lecturer at the Faculty of Economics and Business, Universitas Padjadjaran (Unpad), Yayan Satyakti, assesses that Indonesia could obtain crude oil at a price of US$59 per barrel from Russia. This price is cheaper compared to the Brent crude oil price, which is around US$100 following the outbreak of the US-Israel war with Iran. “Even at normal prices, around US$60–70 per barrel, Russian oil remains cheaper at about US$59 per barrel,” said Yayan, as quoted from Antara on Tuesday, 14 April 2026. He explained that after Western countries imposed sanctions and embargoes on Russia since 2022, the price of Russian oil in 2025 reached US$25 per barrel. That price, Yayan said, is lower compared to oil prices from the Middle East, which are at US$60–70 per barrel. “If we look at it based on revenue assumptions, the Russian government sets the oil price at US$59 per barrel,” stated Yayan. Furthermore, Yayan said that if Indonesia buys oil from Russia with logistics costs of around 30%, the price would be in the range of US$76.7–80 per barrel. This price already includes logistics costs. Thus, the cost required to buy oil from Russia is about 31–51% cheaper compared to the world oil price that once reached US$116 per barrel. “It is more efficient, or even cheaper than that if the lobbying between President Prabowo and President Putin succeeds,” Yayan remarked. Previously, the Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, conveyed that the meeting between Indonesian President Prabowo Subianto and Russian President Vladimir Putin discussed energy cooperation for national interests. This cooperation includes the development of oil refineries, strengthening oil trade, and increasing the utilisation of energy technology. “In the long term, Indonesia is also opening opportunities for collaboration in the clean energy sector. As an effort directed towards supporting energy diversification,” Bahlil stated.