Pertamina Partners with EOG to Develop Non-Conventional Oil and Gas in Indonesia
JAKARTA - PT Pertamina (Persero) is exploring ways to strengthen cooperation with the US oil and gas company EOG Resources on Wednesday (6/5/2026) to accelerate the development of non-conventional oil and gas (MNK) in Indonesia. This step is part of the strategy to boost national production amid challenges from declining reserves in conventional oil and gas fields.
The meeting follows previous collaborations and focuses on opportunities for developing exploration and production technologies for non-conventional reservoirs. The discussions took place between Pertamina’s Deputy Director Oki Muraza and EOG Resources’ leadership, including President of EOG International and Vice President International Joe Korenek, and Director of Business Development International Jonathan Chung.
Non-conventional reservoirs are oil and gas reserves trapped in rocks with complex characteristics, requiring special technology for extraction.
Pertamina’s Deputy Director Oki Muraza emphasised that strengthening this cooperation is part of the company’s strategy to maintain the sustainability of national oil and gas production. “Pertamina is currently focusing on developing existing fields while promoting the development of non-conventional reservoirs. To that end, we continue to strengthen our capabilities, knowledge, and mastery of technology to support sustainable production optimisation,” he stated, as quoted on Friday (8/5/2026).
In the discussions, both companies explored the use of cutting-edge technologies, such as multi-stage hydraulic fracturing—a staged fracturing method to increase hydrocarbon flow—horizontal drilling, and fracture design optimisation. These technologies have been one of EOG Resources’ strengths in developing shale and tight reservoirs in various operational areas.
According to Oki, increasing production cannot rely solely on conventional fields, most of which have now entered a natural decline phase. Therefore, developing non-conventional resources is seen as a strategic option to maintain the balance of domestic energy supply in the long term.
During the meeting, Pertamina also conveyed updates on government policy support being processed to accelerate non-conventional oil and gas development in Indonesia. These policies are expected to create a more attractive investment climate and provide legal certainty for technology implementation in the field.
Regulatory support is considered a crucial factor, given that non-conventional oil and gas development requires significant investment, technology transfer, and commercial scheme certainty. As a company with extensive experience in developing shale and tight reservoirs, EOG Resources is deemed to have relevant capabilities to support Pertamina’s strategy.
The US company’s strengths lie in its innovation-based technology approach and operational efficiency in optimising production from complex reservoirs. This exploration of strengthened cooperation is also viewed as a strategic step to accelerate the implementation of advanced exploration technologies in Indonesia’s upstream oil and gas sector.
Pertamina hopes that this ongoing collaboration will speed up the realisation of non-conventional oil and gas potential as one of the sources of national production growth.