Tangerang, Banten (ANTARA) - Indonesia's state-owned energy firm, Pertamina, will open a tender in 2025 to find partners for reactivating 500 idle oil wells.The announcement was made by Ariana Soemanto, Director of Upstream Oil and Gas Business Development at the Ministry of Energy and Mineral Resources, during the IPA Convention & Exhibition in Tangerang, Banten, on Thursday.
"According to this year’s roadmap, 500 idle wells will be offered in the 2025 tender," he said. "Another 2,000 will be tendered between 2027 and 2028."
Of the 500 wells, most are onshore, with approximately 60 located offshore.
The idle wells that will be offered to prospective Pertamina partners are mostly located in the Sumatra region.
Currently, Indonesia has about 4,500 idle wells with reactivation potential, 4,200 of which are under Pertamina’s management. Of these, 1,700 are solely managed by Pertamina, while 2,500 are intended for joint management with partners.
Pertamina will tender 500 idle wells in 2025–2026, followed by 2,000 more between 2027 and 2028.
"Pertamina has made data available for potential idle well partnerships," Soemanto said, adding that the state-owned oil company has also invited around 99 potential partners to participate in the project.
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So far, around 39 potential partners have expressed interest in the reactivation program.
"Finalizing the agreements is pending the completion of regulatory preparations," he said.
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According to Soemanto, two of the 39 interested companies have withdrawn: PT Mitra Kencana Persada exited before signing a memorandum of understanding (MoU), while PT Huafu withdrew after signing.
By late 2024, the fact that 4,500 wells remained idle drew the attention of President Prabowo Subianto and Energy Minister Bahlil Lahadalia.
Following a high-level internal meeting on boosting oil output, the reactivation of idle wells has become a key presidential initiative to support energy independence.
