The cooperation not only covers business between Indonesia and Malaysia but also explores business opportunities outside the two countries.
Pertamina`s Director of Investment Planning and Risk Management Heru Setiawan noted in a statement on Tuesday that the MoU between the two companies was a realization of the government-to-government cooperation that has been closely established.
"This MoU is an umbrella for building mutually beneficial business cooperation between the two companies---a cooperation that covers strategic and operational aspects," Setiawan explained.
According to Setiawan, Pertamina and Petronas will explore the possibilities of cooperation, from the upstream to downstream fields.
Among them are research and development, studies of oil and gas exploration, including technology application to provide an increasing outlook for oil and gas blocks with high CO2 content, trade in several oil and gas products and derivatives (condensate and petrochemicals), and renewable energy.
The cooperation, to be implemented, is not only in Indonesia and Malaysia but can also be developed in other countries, such as oil processing in East Asia and joint exploration of business opportunities in other continents.
In the trade sector, the two companies agreed to exchange crude oil between production bases in Malaysia for the Kikeh, Kimanis and Kidurong fields, with production bases in Indonesia, for the Jabung and Ketapang fields.
Reporting by Yashinta Difa Pramudyani
Editing by Suharto