Kutai Kartanegara – PT Pertamina Hulu Sanga Sanga (PHSS) reaffirmed the Company’s full support for central and regional government policies related to the acceleration and harmonization of the legalization process of state-owned assets, including in the upstream oil and gas sector, through the certification of State-Owned Goods (BMN) for upstream oil and gas. On July 31 to August 1, 2025, PHSS welcomed a team from the Land Office of Kutai Kartanegara Regency that carried out a Land Examination as part of the BMN Certification Application at Semberah Field, Salo Cella Village, Muara Badak District.

The Land Examination conducted by Committee A of the Kutai Kartanegara Land Office was a follow-up to the Application for Right of Use as Long as it is utilized, submitted by PHSS as the Authorized Holder from SKK Migas on behalf of the Government of Indonesia. This stage was carried out after the issuance of the Land Parcel Map with assistance from PHSS, the local RT Chairman, and the Salo Cella Village Government. Committee A of the Land Office conducted examination, verification, and assessment to formally validate physical and legal data as part of the application for the Right of Use.

Senior Manager of Relations at PT Pertamina Hulu Indonesia (PHI), Handri Ramdhani, explained that the BMN certification was a strategic step to provide legal certainty and protect the state's rights over land used in upstream oil and gas operations. “This step also reflected the implementation of regulations mandating BMN certification, as stipulated in UU No. 1/2004, Government Regulation 27/2014 No. 28/2020, and the Minister of Finance Regulations on BMN safeguarding,” said Handri.

According to Handri, as a Production Sharing Contract (PSC) Contractor, PHSS carried the mandate to conduct land acquisition and certify oil and gas land as BMN under the Government of Indonesia, in accordance with prevailing laws and regulations. “We believe that the provision, acquisition, and certification of land as BMN are critical factors in supporting the success and sustainability of upstream oil and gas investment projects, both exploration and exploitation, to ensure continuity of production in support of national energy security,” he added.

The success of land acquisition and certification for investment projects and upstream oil and gas operations required the full support of all stakeholders, including local government and communities. “We believe that timely permitting and asset legalization will support the smooth execution and success of the Company’s upstream oil and gas projects,” he stated. Handri also expressed hope that all stakeholders would work together to safeguard upstream oil and gas assets, which are both BMN and National Vital Objects (Obvitnas).

Effective and timely land provision and certification could ensure smooth and successful upstream oil and gas operations. For this reason, PHSS fully supported central and regional government policies on simplifying and harmonizing upstream oil and gas regulations, including licensing, to create a conducive investment and business climate. “We continuously coordinated with the government to encourage timely permitting processes in order to support the smooth execution and success of the Company’s investment projects and upstream oil and gas operations,” he added.

The certification of BMN in the form of land reflected joint efforts between the government and Production Sharing Contract (PSC) Contractors to ensure transparent, accountable, and good governance in managing state assets. This required strong coordination between the Ministry of Finance as asset manager, SKK Migas represented by PHSS as asset user, and the Land Office of Kutai Kartanegara Regency as the implementing agency.

Meanwhile, Taranita Fitri Andriani, Coordinator of the Land Determination and Management Substantive Group of the Land Office of Kutai Kartanegara Regency, stated that BMN in the form of land was one of the objects of land registration. “The registration of BMN land fulfills the purpose of land registration, namely, orderly land administration and legal certainty over such assets. The Land Office of Kutai Kartanegara Regency is committed to carrying out BMN land certification in accordance with applicable laws and regulations,” she said. Good coordination among stakeholders was expected to resolve issues surrounding BMN land certification in an integrated, comprehensive, and effective manner.

PT Pertamina Hulu Sanga Sanga (PHSS) is a subsidiary of PT Pertamina Hulu Indonesia (PHI) that manages upstream oil and gas operations and business by Environmental, Social, and Governance (ESG) principles in the Sanga Sanga Working Area in East Kalimantan. In collaboration with SKK Migas, PHSS, and other PHI subsidiaries and affiliates, we continuously innovate and apply technology to produce safe, efficient, reliable, compliant, and environmentally friendly energy, realizing #EnergiKalimantanUntukIndonesia. For more information about PHI, please visit https://phi.pertamina.com.