Muara Pantuan, East Kalimantan – PT Pertamina Hulu Mahakam (PHM) has successfully implemented an environmental management innovation that utilizes organic waste from its operational area to support community economic development on Nubi Island, Muara Pantuan Village, Kutai Kartanegara, East Kalimantan. Organic waste in the form of food scraps from the Company’s cafeteria at the South Processing Unit (SPU) operational field is repurposed as feed for ducks raised by local residents. This initiative not only reduces organic waste accumulation but also creates added value for the community through sustainable local economic activities.

The organic waste management innovation was initiated following a study conducted by the SPU Health, Safety, Security, and Environment (HSSE) Function on the potential use of workers cafeteria food waste as livestock feed.In line with the findings of the study, the community of Pantuan Village, represented by Neighborhood Association Head H. Taher, submitted a request to PHM in June 2025 for support in obtaining livestock feed sourced from cafeteria food waste as part of its plan to raise laying and broiler ducks.

The community began raising 300 ducks in September 2025. When the initial batch reached productive age at approximately five months, H. Taher added another 300 laying ducks in February 2026. As the duck population increased, so did the demand for feed. Consequently, from April to June 2026, all organic food waste generated by the SPU workers’ cafeteria was successfully utilized as livestock feed.

On July 11, 2026, PHM General Manager Setyo Sapto Edi visited the duck farm and met with residents of Pantuan Village as part of a Management Walk Through (MWT). Setyo explained that the innovation of converting workers’ food waste into livestock feed demonstrates PHM’s commitment to integrating Environmental, Social, and Governance (ESG) principles into the Company’s upstream oil and gas operations, thereby generating benefits for both communities and the environment.

“We hope the collaboration between PHM and the community will continue to grow and inspire other innovations that deliver positive impacts for society and the environment. In line with the spirit of ESG, we will continue promoting programs that create shared value for all stakeholders,” he said.

Meanwhile, SPU Field Manager Teddy Indrawan explained that before the program was implemented, food waste from the SPU workers’ cafeteria had to be transported daily to a waste management facility located approximately 30 kilometers away. “Through this program, food scraps that were previously managed as waste are now utilized as livestock feed. In addition to supporting the circular economy, this initiative reduces the need for waste transportation and lowers potential operational safety risks. The program delivers environmental benefits while improving waste management efficiency,” Teddy concluded.

The circular economy approach to organic waste management has successfully supported the growth of the duck farming business managed by H. Taher and the local community. Since February 2026, the farm has produced approximately 60 to 90 duck eggs per day, with production occasionally exceeding 100 eggs. Going forward, H. Taher and the local community plan to expand the business to generate broader benefits and support sustainable economic growth for the residents of Muara Pantuan Village.

PHM Head of Communication Relations & CID, Achmad Krisna Hadiyanto, emphasized that this initiative demonstrates how environmental management in the Company’s upstream oil and gas operations can be aligned with community empowerment programs. According to him, a program initially focused on reducing organic food waste within the Company has evolved into an example of circular economy implementation that benefits multiple stakeholders, from reducing waste and improving the Company’s operational cost efficiency to creating business opportunities and improving the welfare of communities surrounding its operational area.

“Going forward, we will continue encouraging innovations and collaborations that can deliver sustainability programs with positive impacts for communities and the environment,” he concluded.

PT Pertamina Hulu Mahakam (PHM) is a subsidiary of PT Pertamina Hulu Indonesia (PHI) in Zona 8 that manages upstream oil and gas operations and business activities in the Mahakam Working Area in East Kalimantan in accordance with Environmental, Social, and Governance (ESG) principles. As a Cooperation Contract Contractor for the Government of Indonesia, represented by SKK Migas, PHM, together with PHI’s other subsidiaries and affiliates, implements innovative Social and Environmental Responsibility programs in the fields of economy, education, health, environment, infrastructure, and disaster response to support sustainable community empowerment and the achievement of the Sustainable Development Goals (SDGs). PHI is headquartered in Jakarta. Further information about PHM and PHI is available at https://phi.pertamina.com.