JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) legalizes people's wells that were previously illegal to cooperate in order to increase domestic oil lifting.
This is stated in the Regulation of the Minister of Energy and Mineral Resources No. 14 of 2025 concerning cooperation in processing the working area for increased oil and gas production.
Deputy Minister of Energy and Mineral Resources Yuliot Tanjung said, through legalizing people's wells, this will increase the lifting achievement by 10,000 to 15,000 barrels of oil per day (BOPD).
"At least by the end of the year, we are targeting 10,000 to 15,000," Yuliot said at a press conference at the Office of the Ministry of Energy and Mineral Resources, Tuesday, July 1.
In this new regulation, cooperatives and Small and Medium Enterprises (SMEs) and Regional Owned Enterprises (BUMD) will be able to participate in managing oil and gas wells.
Meanwhile, Cooperation Contract Contractors (KKKS) can carry out processing cooperation within the Working Area (WK), governance to investment protection.
For this reason, he continued, currently the team from the Ministry of Energy and Mineral Resources is still mapping and it is estimated that there are at least 7,000 community wells that have the potential to cooperate.
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Meanwhile, the additional lifting can only be realized in August.
Furthermore, Yuliot explained, in the South Sumatra region there are 100 cases of illegal wells per year. Meanwhile, the regions in Indonesia with the most cases of illegal wells are South Sumatra, Aceh, North Sumatra, Riau, Jambi, West Java, Central Java, East Java, East Kalimantan and North Kalimantan.
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