Jakarta– PT Pertamina Hulu Indonesia (PHI) through its subsidiaries: PT Pertamina Hulu Mahakam (PHM), PT Pertamina Hulu Sanga Sanga (PHSS), and PT Pertamina Hulu Kalimantan Timur (PHKT) signed a Bontang Processing Agreement (BPA) with the Special Implementing Task Force Upstream Oil and Gas Business Activities (SKK Migas), PT Badak LNG and several Cooperation Contract Contractors(PSC Contractor) produces gas in East Kalimantan (13/02/2023).

The Main Director of PHI, Chalid Said Salim, said that signing the BPA was a form of collaboration and synergy with stakeholders to encourage and support various government policies in providing sustainable energy for Indonesia.
"The signing of this agreement is expected to optimize the management of upstream oil and gas working areas managed by PHI and its subsidiaries. So that the presence of PHI's oil and gas operations can support the continuity of national energy supply and Indonesia's economic development," said Chalid.

Also present at the signing was the Head of SKK Migas, Dwi Soetjipto, along with the Management of SKK Migas, the Main Director of Pertamina, Nicke Widyawati, the Main Director of Pertamina Hulu Energi, Wiko Migantoro and the President Director of Badak LNG, Gema Iriandus Pahalawan, and the Highest Leader of the ENI Muara Bakau KKKS, ENI East Sepinggan, and Chevron Rapak.
In his remarks, the Head of SKK Migas, Dwi Soetjipto, expressed his appreciation to all parties, especially Pertamina, which has supported Badak LNG in signing this agreement.

"With this good cooperation, there is an official underlying document regarding gas processing activities at the Badak LNG Plant as a follow-up to the Minister of Finance's determination," said Dwi Soetjipto.

Dwi added that with the signing of this agreement, it could become a legal umbrella for the parties and provide investment certainty, especially in operational implementation and as an implementation of the principles of good upstream oil and gas governance.

With this signing, natural gas processing from various gas producers into LNG (Liquefied Natural Gas) and LPG (Liquefied Petroleum Gas) has better legal certainty.
Main Director of Pertamina (Persero) Nicke Widyawati also appreciated SKK Migas, which continues to push for an increase in upstream oil and gas production so that energy independence can be increased together. For this reason, according to her, Everyone must operate the Bontang LNG Plant optimally and efficiently.

"Currently, the need for gas increases from industry, households, and transportation. Therefore the government's efforts toward net zero emissions must continue to be supported. As we advance, the role of gas is very important in the energy transition, we need a reliable energy transition, namely gas, and we have gas potential that we can still increase," said Nicke.

On the same occasion, the President Director & CEO of Badak LNG, Gema Iriandus Pahalawan, also expressed his gratitude to the parties who continue to entrust the management of the Bontang LNG Refinery to PT Badak NGL. "Thank you, we will make the best use of this mandate and work together to achieve energy independence." close echo.

PT Pertamina Hulu Indonesia (PHI) is part of Pertamina's Upstream Subholding, which manages upstream oil and gas operations and business according to ESG (Environment, Social, Governance) principles in Regional 3 Kalimantan. In 2021, through its subsidiaries and affiliates, PHI produced an average of 46.5 thousand barrels of oil per day (MBOPD) oil and gas production of 625.2 million standard cubic feet of gas per day (MMSCFD). In achieving its vision of becoming a world-class oil and gas company, PHI continues to carry out various innovations and technological applications in producing safe, efficient, reliable, compliant, and environmentally friendly energy to support #EnergiKalimantanForIndonesia. PHI is headquartered in Jakarta. Further information on PHI is available at https://phi.pertamina.com.