Indonesia treading water
The government wants higher oil production. The prospects are dim
Desperate to boost production for an energy-starved nation of 264m people but faced with a yawning capital expenditure gap, Indonesia is hoping that reluctant foreign investors will buy into 14 unexplored mainly offshore oil and gas blocks under a raft of financial incentives unveiled in April. In a belated recognition that Southeast Asia's biggest economy cannot fund its future energy needs, Indonesia will offer tax-free imports of drilling equipment and other upstream technology as well as revised "gross split" contracts that, the government argues, should help operators recover costs sooner. But foreign operators have been slow to show up at the party, citing excessive red tape, politicki
Also in this section
22 May 2025
With contract awards looming on the Kuwait-Saudi backed Dorra field, the long-stalled gas project appears finally to be gaining traction—despite Iranian objections
21 May 2025
From the upstream sector to the end-users, gas is no longer seen as a transition fuel or an afterthought, executives told attendees at the World Gas Conference
21 May 2025
Integrated refining and petrochemicals company highlights strategic flexibility amid trade war risks and long-term planning to futureproof business, says CEO Prabh Das
21 May 2025
OPEC and IEA split on oil demand outlook and even diverge on supply risks, with huge implications for market sentiment
