JAKARTA - PT Elnusa Tbk (Elnusa) assesses that if the increase in world oil prices lasts for a long time, it can open up opportunities for increased exploration and exploitation activities in marginal or remote fields.
"With the increase in oil prices and if this price is sustainable at the new price level, this will open up opportunities for exploration and exploitation in the field that may have been quite marginal," said Finance Director of PT Elnusa Nelwin Aldriansyah, in Jakarta, quoted by Antara, Friday, March 5.
The price of Brent crude oil (ICE) has reached 83 US dollars per barrel, higher than the average Brent crude oil (ICE) price in January 2026 which was 64 US dollars per barrel.
Nelwin explained that when crude oil prices were below 60 US dollars per barrel, oil and gas industry players at the upstream level considered marginal oil fields not worth working on.
The unsuitability is due to the low selling price, so it does not provide economic benefits for upstream oil and gas industry players.
"Compared to countries in the Middle East, the cost of lifting oil and gas in Indonesia is quite high. So, at the time (oil prices) 60 US dollars per barrel, maybe in the Middle East it is still economical, but in Indonesia, especially offshore (offshore) it is not economical," he said.
Therefore, if the current oil price, which is above 80 US dollars per barrel, persists for a long time, Nelwin believes that upstream oil and gas industry players will be enthusiastic about exploring and exploiting oil and gas fields.
With the increase in exploration and exploitation activities, Nelwin projects that the need for seismic survey, drilling, and other services will also increase.
"Of course this will have a positive impact on the increase in business activities at Elnusa, and possibly in some subsidiaries," said Nelwin.
Iranian media reported that the Strait of Hormuz had been "effectively" closed following the US-Israeli attack.
The Strait of Hormuz handles about a fifth of the world's oil trade as well as large volumes of liquefied natural gas exports from Qatar and the United Arab Emirates.
Around 20 percent of global daily oil consumption, or about 20 million barrels, crosses the corridor.
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