Business · Energy & Commodities · 7 hrs ago
Pertamina Puts 75% of Capital Spending Into Upstream Oil
Indonesia’s Pertamina is directing about 75% of its capital spending to upstream oil work to raise production.
The company says national oil output is now around 600,000 barrels per day.
Pertamina hopes its upstream business will produce 950,000 barrels per day in 2029, before meeting the government’s 1 million-barrel daily target by 2030.
The push is part of a plan set by President Prabowo Subianto to increase Indonesia’s oil production.
At the same time, about 60% of the country’s gasoline needs are met by imports, so Pertamina is diversifying suppliers and expanding domestic refining.
The Balikpapan refinery has raised national processing capacity from 260,000 to 360,000 barrels per day, while the government and Pertamina are also advancing bioethanol projects using local materials such as sugar-cane molasses.
Pertamina is allocating about 75% of its capital spending to upstream operations.
The investment is intended to raise oil production and support Indonesia’s national production targets.
Pertamina aims to produce 950,000 barrels per day in 2029 and reach 1 million barrels per day by 2030.
Deputy President Director Oki Muraza said current national oil production is about 600,000 barrels per day.
Pertamina also faces downstream challenges, with about 60% of Indonesia’s gasoline needs met by imports.
- Who
- PT Pertamina (Persero), whose Deputy President Director Oki Muraza described the spending plan.
- What
- Pertamina is dedicating about 75% of its capital spending to upstream operations to increase oil production.
- When
- The plan was described on November 9; the article was published November 10, 2026.
- Where
- The announcement was made at an event in South Jakarta, Indonesia.
- Why
- To increase production toward the government’s target of 1 million barrels per day by 2030.
This story does not have two clearly opposing sides.
Oki Muraza described Pertamina’s upstream capital-spending allocation at an event in South Jakarta.
Pertamina hopes its upstream business will produce 950,000 barrels of oil per day.
Indonesia’s government target is for oil production to reach 1 million barrels per day.
- Upstream capital spending
- About 75% of Pertamina’s total capital expenditure
- Current national oil production
- About 600,000 barrels per day
- Pertamina production goal
- 950,000 barrels per day in 2029
- Government production target
- 1 million barrels per day by 2030
- Gasoline imports
- About 60% of national demand is met from abroad
- Balikpapan refinery capacity
- Increased from 260,000 to 360,000 barrels per day
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