“These reserves are strategic, with gas potential reaching 11.64 billion cubic feet and oil close to one million barrels,” SKK Migas head Djoko Siswanto told reporters in Jakarta on Monday.
The wells will be drilled by PT Pertamina Hulu Sanga Sanga (PHSS), which already manages 79 wells in the same area.
Among the most significant prospects is the MUT-346 OS HZ development well, expected to produce 7.3 million cubic feet of gas per day, with reserves estimated at 3.6 billion cubic feet, Siswanto revealed.
Based on a projected gas price of US$7.7 per MMBTU for 2026–2031 and an exchange rate of Rp17,000 per US dollar, the reserves are valued at Rp471 billion (US$27.07 million).
Gross revenue from the wells is estimated at Rp355 billion (US$20.41 million), with government revenue projected at Rp87 billion (US$5 million) after taxes.
Drilling is scheduled to begin next month. Siswanto expressed appreciation for the support of the Transmigration Ministry in facilitating exploration and production activities in the area.
“Oil and natural gas are vital for our people. Discovering reserves abroad is difficult and costly. This domestic discovery is highly strategic,” he said.
Translator: Putu Indah Savitri, Yashinta Difa
Editor: Aditya Eko Sigit Wicaksono
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