Pertamina Hulu Energi Signs Lavender Working Area Contract

PT Pertamina Hulu Energi (PHE) has signed a cooperation contract for the Lavender Working Area (WK) with a commitment value of US$2.8 million, or approximately Rp48 billion. The contract value will be disbursed during the initial exploration phase. The working area contract was signed by PT Pertamina Hulu Energi Sulawesi Lavender and SKK Migas. The President Director of PHE Sulawesi Lavender, Ruby Mulyawan, explained that WK Lavender covers onshore and offshore areas in South Sulawesi as well as offshore areas in Southeast Sulawesi. He stated that the government offered this block through the Indonesia Petroleum Bidding Round (IPBR) Phase 2 for 2025. “PHE positions WK Lavender as part of its strategy to expand its exploration portfolio,” said Ruby, quoted from a written statement on Friday, 17 April 2026. Under the contract, PT Pertamina Hulu Energi Sulawesi Lavender acts as the operator with an area of 8,206.95 square kilometres. PHE uses a cost recovery scheme with a contract period of 30 years. In the first three years, the company will carry out several exploration activities. The programme includes geological and geophysical studies, acquisition of 2D seismic for 100 kilometres, and 3D seismic surveys covering 200 square kilometres. Prior to signing, the contractor has fulfilled all financial obligations, including paying a signing bonus of US$200,000 and submitting a performance guarantee to the government through SKK Migas. PHE states it will continue to promote upstream oil and gas investments by prioritising environmental, social, and governance (ESG) principles. The company also implements an anti-bribery management system to the ISO 37001:2016 standard to maintain business integrity and strengthen steps towards becoming a world-class oil and gas company. In the last three years, PHE subsidiaries have secured six new working areas. The company targets new oil and gas reserve discoveries to maintain national energy supplies while supporting increased investments in the upstream oil and gas sector.