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🇮🇩 Indonesia /Economy & Trade

Pertamina Seeks Oil and LPG Supplies from US, Russian Imports Prepared

From Republika · (9m ago) Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

TLDR

  • Indonesia's PT Pertamina is seeking crude oil and LPG supplies from the United States to meet domestic energy needs.
  • The government is accelerating negotiations with global energy firms while preparing import schemes from Russia.
  • This move aims to ensure stable energy distribution amidst global geopolitical tensions and market volatility.

The Indonesian government, through state-owned energy giant PT Pertamina, is actively pursuing new avenues for securing vital energy resources, particularly crude oil and Liquefied Petroleum Gas (LPG). With a delegation currently in the United States, the objective is to expedite the acquisition of these essential commodities. This proactive approach underscores Indonesia's commitment to ensuring national energy security in the face of persistent global supply chain challenges and geopolitical uncertainties.

At this morning I also had a meeting with the Ministry of Foreign Affairs and also with several ambassadors. Based on that commitment, a team from Pertamina is also in America right now.

— Yuliot TanjungDeputy Minister of Energy and Mineral Resources, Yuliot Tanjung, explaining the ongoing efforts to secure energy supplies.

This strategic outreach to the U.S. is happening in parallel with ongoing preparations for potential oil imports from Russia. The government's multi-pronged strategy emphasizes diversifying supply sources to mitigate risks associated with over-reliance on any single nation. Deputy Minister of Energy and Mineral Resources, Yuliot Tanjung, highlighted the importance of securing supplies quickly and efficiently, reflecting the urgency of the situation. Indonesia's significant reliance on energy imports, particularly LPG where a substantial portion comes from the U.S., makes these negotiations critical.

So, which companies can supply us quickly and also how is the delivery that we expect. Various sources for our crude needs and also for domestic LPG needs can be met.

— Yuliot TanjungDeputy Minister of Energy and Mineral Resources, Yuliot Tanjung, detailing the criteria for selecting new energy suppliers.

The nation's high energy consumption, with oil demand far exceeding domestic production, necessitates these robust international efforts. The government is not only focused on securing raw materials but also on ensuring effective distribution across various sectors, including fuel, industry, and petrochemicals, thereby supporting the broader national economy. This comprehensive approach, involving inter-ministerial coordination and collaboration with industry players, aims to build a resilient energy supply system for Indonesia.

If for LPG, our total imports are around 7 million tons. Of that amount, around 60 percent comes from America.

— Yuliot TanjungDeputy Minister of Energy and Mineral Resources, Yuliot Tanjung, highlighting the current dominance of U.S. LPG imports for Indonesia.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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