Middle East Tensions Rise; Government Opens Option for Russian Oil Imports
Indonesia’s Energy and Mineral Resources Minister Bahlil Lahadalia has stated that the Indonesian government is opening options to import crude oil from Russia. This step is being considered given rising tensions in the Middle East region, particularly around the Strait of Hormuz, which could potentially disrupt global energy supplies.
He said the opportunity to import crude oil from Russia is available, as practised by several other countries, including the United States.
“Why not? (import crude oil from Russia). Even America has now opened up to Russia,” Bahlil said at the Ministry of Energy and Mineral Resources office in Jakarta on Tuesday (17 March).
The Golkar Party politician emphasised that all possibilities can be considered as long as supplies are available and the offered price is competitive.
“All countries are a possibility. What is important for us now is how goods are available and at competitive prices. That is what is most important,” he said.
Beyond Russia, the Indonesian government is also opening exploration of petroleum imports from Brunei Darussalam as one of the strategic steps to strengthen national energy resilience. Brunei is known to have oil production capacity of up to 110,000 barrels per day.
These options emerged during a bilateral meeting between Energy Minister Bahlil Lahadalia and Deputy Minister (Energy) at the Prime Minister’s Office of Brunei Darussalam Mohamad Azmi Bin Mohd Hanifah, held on the sidelines of the Indo Pacific Energy Security Ministerial and Business Forum in Tokyo.
In that meeting, Bahlil revealed that his side had explored cooperation opportunities with Brunei, including the possibility of Indonesia absorbing supplies of C3 and C4 gas from the country.
Additionally, there is an option to build a liquefied petroleum gas industry in Brunei with the aim of production that would later be supplied to Indonesia. He affirmed that all cooperation schemes remain open and have the potential to be realised, in line with the government’s efforts to ensure energy availability at competitive prices.
“We also said if they have C3 and C4 gas as raw materials for LPG, we can take theirs or we can build an LPG industry there for the purpose of supplying to Indonesia. Yes, all possibilities exist,” he said.
The government has assured that electricity supplies for Sulawesi are secure ahead of Eid 2026, with a reserve capacity of 567 MW and 69 electric vehicle charging stations available for Eid holiday travel comfort in 2026.
Indonesia and Japan have signed cooperation agreements on critical minerals and nuclear energy at the Indo Pacific Energy Security Ministerial and Business Forum in Tokyo.
The government has ensured that subsidised fuel prices will not increase until Eid 2026 despite rising global oil prices due to conflict in the Gulf. Stocks are assured to be secure.
Minister of Energy and Mineral Resources Bahlil Lahadalia mentioned that diplomatic efforts are underway to release two tanker ships belonging to PT Pertamina International Shipping (PIS) currently in the Strait of Hormuz.
Two ships operated by PT Pertamina International Shipping (PIS) have moved away from the area around the Strait of Hormuz amid heightened tensions in the Middle East region.