Indonesian Crude Oil Price Rises to US$117.31 per Barrel amid Middle East Conflict
The Ministry of Energy and Mineral Resources (ESDM) has set the average price of Indonesian crude oil, known as the Indonesian Crude Price (ICP), for April 2026 at USD 117.31 per barrel. This price rose by USD 15.05 per barrel compared to March 2026, which stood at USD 102.26 per barrel. The ICP setting is contained in the Minister of Energy and Mineral Resources Regulation No. 203.K/MG.03/MEM.M/2026 on the Price of Crude Oil for April 2026.
Major crude oil benchmarks strengthened in April 2026. The rise was driven by rising geopolitical tensions in the Middle East, particularly the conflict between the United States, Israel, and Iran. The conflict has sparked concerns about disruptions to global oil supply. “The rise in crude oil prices in April 2026 was influenced by the continued escalation of geopolitical tensions that increased the risk of global oil supply disruptions, particularly related to conditions in the Middle East and the Strait of Hormuz,” Laode said in a statement on Tuesday (19 May 2026).
Laode explained that several developments throughout April 2026 weighed on the world oil market. These included the closure of the Strait of Hormuz, the blockade of Iranian ports by the US, and attacks on energy infrastructure in the Middle East. These conditions heightened market concerns about global energy supply stability.
China’s economy grew 5 percent year-on-year in that period.
While global oil prices remain potentially subdued by ongoing geopolitical conditions, Laode noted several factors that could temper price increases. These include projections of a 5 million barrel-per-day year-on-year decrease in global oil demand in the second quarter of 2026. The potential reopening of diplomatic channels between Iran and the US could also restrain price increases.
“The government will continue to monitor the developments in the global oil market carefully to safeguard national energy resilience and ensure domestic energy supply stability,” said Laode.