PHE Signs Lavender Working Area Contract, Ready to Explore Oil and Gas in Sulawesi
JAKARTA, KOMPAS.com - PT Pertamina Hulu Energi (PHE), through its subsidiary PT Pertamina Hulu Energi Sulawesi Lavender, has officially signed a Production Sharing Contract (PSC) for the Lavender Working Area (WK) with the Special Task Force for the Implementation of Upstream Oil and Gas Business Activities (SKK Migas).
The signing was conducted by Director of PT Pertamina Hulu Energi Sulawesi Lavender, Ruby Mulyawan, and Head of SKK Migas, Djoko Siswanto, in Jakarta on 11 February 2026.
Subsequently, the contract was signed by the Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, on 17 March 2026, marking the start of oil and gas exploration activities in the area.
Director of Pertamina Hulu Energi Sulawesi Lavender, Ruby Mulyawan, stated that this step demonstrates the company’s commitment to expanding its exploration portfolio to discover new oil and gas reserves.
“National energy resilience is not an option, but a necessity. PHE stands at the forefront to ensure that oil and gas production remains stable today, while preparing for Indonesia’s future energy needs,” she said in a written statement on Friday (17/4/2026).
The Lavender WK encompasses offshore and onshore areas in South Sulawesi as well as offshore areas in Southeast Sulawesi.
This area becomes the sixth new WK acquired by PHE’s subsidiary since 2023.
The Lavender WK was obtained through the direct offer mechanism of the Indonesia Petroleum Bidding Round (IPBR) Phase 2 of 2025.
The PSC contract uses a cost recovery scheme with a 30-year term, in which Pertamina Hulu Energi Sulawesi Lavender acts as the operator.
The Lavender Working Area spans 8,206.95 square kilometres.
Under the contract, the firm commitment value reaches US$2.8 million, to be realised in the first three years through geological and geophysical studies (G&G), acquisition of 2D seismic along 100 kilometres, and 3D seismic covering 200 square kilometres.
Prior to the signing, the contractor had also fulfilled financial obligations, including a signing bonus payment of US$200,000 and the submission of a performance guarantee to the government through SKK Migas.
As Pertamina’s upstream subholding, PHE also reaffirms its commitment to continue investing in upstream oil and gas business management, prioritising Environmental, Social, and Governance (ESG) principles.
The company also implements a zero-tolerance policy towards bribery through the Anti-Bribery Management System (SMAP) compliant with ISO 37001:2016 standards.