Government Sets July 2026 ICP Down to 81.68 US Dollars per Barrel

Illustration. (Photo: Dok. Antara)

JAKARTA - The Ministry of Energy and Mineral Resources (ESDM) announced that the average Indonesian Crude Price (ICP) for July was 81.68 US dollars per barrel or down 1.77 US dollars compared to the previous month.

Director General of Oil and Gas Laode Sulaeman explained that the easing of geopolitical tensions in the Middle East and the recovery of global oil supply flows also changed the movement of oil prices in July 2026.

The determination of the July 2026 ICP is contained in the Decree of the Minister of Energy and Mineral Resources (ESDM) Number 319.K/MG.03/MEM.M/2026 concerning the Indonesian Crude Oil Price for July 2026.

"The determination of the ICP for July 2026 at US$81.68 per barrel reflects the dynamics of the global crude oil market which has adjusted following the easing of geopolitical tensions in the Middle East region and the gradual recovery of the world oil supply flow," said Laode, Tuesday, August 11.

The decline also occurred in a number of world crude oil prices. The following is the development of the average price of major crude oil in July 2026:

The average ICP for Indonesian crude oil decreased by 1.77 US dollars per barrel from 83.45 US dollars per barrel to 81.68 US dollars per barrel.

Brent (ICE) fell by 0.46 US dollars per barrel from 84.43 US dollars per barrel to 83.97 US dollars per barrel.

WTI (Nymex) fell by 2.57 dollars per barrel from 81.79 dollars per barrel to 79.22 dollars per barrel.

Dated Brent was down 2.06 dollars per barrel from 85.47 dollars per barrel to 83.41 dollars per barrel.

OPEC basket fell by 7.00 US dollars per barrel from 89.75 US dollars per barrel to 82.74 US dollars per barrel (as of July 30, 2026).

According to Laode, the development of international oil prices is influenced by geopolitical factors, supply conditions, and global demand developments. One of the factors that affect the movement is the de-escalation of the conflict between the United States and Iran which is followed by a ceasefire and the opening of bilateral and multilateral diplomatic space.

The improving shipping traffic conditions in the Strait of Hormuz are also said to affect market confidence. Based on data from the International Energy Agency (IEA), the temporary recovery of traffic in the Strait of Hormuz has boosted world oil supply by 4.1 million barrels per day in June 2026 so that total supply reaches 98.8 million barrels per day.

A number of factors are still a source of uncertainty, including the potential for a limited-scale military escalation and changes in the United States crude oil inventory. These factors can affect the direction of oil price movements in the next period.

"The government will continue to monitor the development of the international oil market. The ICP formula will also continue to be implemented transparently to reflect the dynamics of the international market and remain accountable for state finances and upstream oil and gas business activities," said Laode.