PLN EPI Secures Gas and LNG Contract Deals at IPA Convex 2026

Tangerang, CNBC Indonesia - PT PLN Energi Primer Indonesia (PLN EPI) has signed four strategic collaborations with national and international oil and gas players. The deals were made at The 50th Indonesian Petroleum Association Convention & Exhibition (IPA Convex) 2026.

President Director PLN, Darmawan Prasodjo, said PLN is no longer just selling electricity, but is transforming into a digital-based energy company through the orchestration of the primary energy, generation, and customer service ecosystem.

“PLN continues to support the development of gas fields by becoming a long-term buyer to ensure upstream oil and gas commercial viability. The continuity of the gas industry is crucial in ensuring reliable, efficient and greener electricity supply,” he said in a written statement, quoted on Friday (22/5/2026).

At the event, PLN EPI signed two LNG Sale and Purchase Agreements (SPAs) and two Gas Sale and Purchase Agreements (PJBGs) to ensure long-term gas supply for PLN Group.

PLN EPI signed Heads of Agreement (HoA) with South Hub LNG. LNG supply originates from the Muara Bakau, East Sepinggan, Ganal, and West Ganal gas working areas for the 2027-2037 period, with a total agreed volume reaching 11 MT or about 190 LNG cargoes.

In addition, PLN EPI also signed a Heads of Agreement (HoA) for LNG with Masela PSC Contractor Parties for a 15-year contract from the project’s Commercial Operation Date (COD) around 2032, with a total volume of 37.5 MT or about 640 LNG cargoes.

Rakhmad Dewanto, President Director of PT PLN Energi Primer Indonesia, said the signing of long-term LNG contracts is part of the company’s strategy to ensure reliable primary energy supply for power plants while supporting a gas-based energy transition.

“The signing of the two long-term LNG sale agreements ensures an additional 48.5 million tonnes or about 840 LNG cargoes for the 2027-2047 period in support of the transition and national energy resilience,” he said.

In line with PLN’s strategic role as the national energy orchestrator, these agreements will support the development of domestic gas production as part of national energy resilience.

“With an estimated transaction value of Rp 360 trillion, these agreements will pave the way for developing new gas fields, both in Masela in Maluku and in the Muara Bakau, East Sepinggan, Ganal and West Ganal fields in East Kalimantan. The collaboration between PLN EPI and gas producers is a concrete step to strengthen national energy security,” said Rakhmad.

Beyond the two LNG contracts, PLN EPI also signed a PJBG with Saka Indonesia Pangkah Limited (SIPL) to supply gas to the Gresik Combined-Cycle Power Plant (PLTGU Gresik) at 7-10 MMSCFD for 2026-2029 and an amendment to the PJBG with PT Pertamina (Persero) for needs of power plants at Tanjung Batu and Bontang. The PJBG amendment was made to accommodate gas allocation set by the Ministry of Energy and Mineral Resources without changing volume or price.

“PLN EPI continues to strengthen reliable and competitive primary energy supply sources to ensure generation needs are met sustainably while supporting the realisation of national energy resilience,” said Rakhmad.

Through the strengthening of domestic gas and LNG cooperation, PLN EPI continues to reinforce the reliability of primary energy supply for national power plants while supporting the transition to a cleaner, more sustainable and competitive energy system.

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