Indonesia to Begin Construction of Dumai-Sei Mangkei Gas Pipeline Network in 2025

The importance of Health, Safety, and Environment (HSE) in the oil and gas industry cannot be overstated, as it plays a critical role in ensuring the safety of workers, the integrity of operations, and the protection of the environment. The tragic Deepwater Horizon disaster of 2010 starkly underscores the dire consequences of neglecting HSE protocols. This catastrophic event, which resulted in the loss of 11 lives and the largest marine oil spill in history, serves as a grim reminder of the inherent risks in oil and gas operations. The explosion on the Deepwater Horizon rig highlighted several key failings, including insufficient risk management, inadequate safety measures, and a lack of proper emergency response protocols. These oversights not only led to significant human and environmental losses but also inflicted severe financial and reputational damage on the companies involved. In the aftermath of the disaster, there has been a renewed emphasis on HSE standards across the industry. Companies have been compelled to adopt more rigorous safety protocols, invest in advanced technology for monitoring and prevention, and foster a culture of safety and environmental stewardship. Effective HSE practices involve comprehensive risk assessments, regular safety drills, continuous training for employees, and stringent adherence to regulatory standards. Moreover, the integration of cutting-edge technology, such as real-time monitoring systems and automated shut-off mechanisms, has become essential in mitigating risks. The lessons learned from Deepwater Horizon have driven home the need for a proactive approach to HSE, emphasizing the importance of preventive measures over reactive responses. Ensuring the health and safety of workers, protecting the environment from the potentially devastating impacts of oil spills and other accidents, and maintaining operational integrity are now seen as fundamental to the success and sustainability of oil and gas operations. In conclusion, the Deepwater Horizon incident serves as a pivotal case study in the critical importance of robust HSE practices in the oil and gas industry, illustrating that prioritizing safety and environmental protection is not only a moral and legal obligation but also a business imperative.

On October 25th, 2025, the Society of Petroleum Engineers ITS Student Chapter (SPE ITS SC) successfully held ONG 101, an insightful seminar that brought students closer to the real challenges and opportunities within the oil and gas industry. Held at Teater A, Institut Teknologi Sepuluh Nopember (ITS) Surabaya, the seminar featured Ir. Zulfikar A. Ali, IPM, Senior Completion and Fracturing Engineer at KUFPEC and ITS Chemical Engineering alumnus, as the keynote speaker. In his opening presentation, Mr. Zulfikar emphasized that safety remains the foremost priority in every stage of oil and gas operations. He explained that the strict regulatory frameworks governing exploration, drilling, and production activities are designed to prevent accidents, mitigate risks associated with H₂S gas exposure, and minimize environmental incidents such as oil spills. According to him, adherence to safety standards is a non-negotiable aspect of engineering professionalism, reflecting the industry's ethical responsibility toward both personnel and the environment. The speaker proceeded to share his personal experiences working across various segments of the oil and gas value chain. He reflected on the challenges and learning processes that shaped his career, encouraging students to pursue their passion with perseverance and integrity. Addressing the growing public perception that the oil and gas industry is a declining sector, Mr. Zulfikar remarked: “Some people say, ‘Oil is running out, why study petroleum engineering?’ But I believe hydrocarbons will still be needed for the next 100 years. Oil and gas will continue to support the world’s energy demand. It will remain part of our journey to achieve global energy targets.” This statement underscored the continuing relevance of Oil and Gas exploration and innovation within the broader context of energy transition and sustainability. While the global energy landscape is shifting toward renewable resources, hydrocarbons will remain essential for industrial processes, petrochemicals, and transitional energy sources in the decades to come. In the technical portion of the session, Mr. Zulfikar elaborated on the cycle of oil and gas operations, covering exploration, drilling, completion, production, and decommissioning. He introduced the concepts of primary, secondary, and tertiary recovery, in which the industry has now reached tertiary recovery. This emphasizes the importance of continuous innovation to improve recovery efficiency and resource sustainability. He highlighted the necessity of “honoring technology” by embracing advancements that enable engineers to address contemporary challenges such as reservoir depletion, environmental impact reduction, and cost optimization. Topics discussed included offshore exploration wells, structural integrity, station-keeping systems, and drill stem testing all of which require interdisciplinary collaboration and robust engineering design. The seminar’s central theme, well-completion, was explored in depth. Mr. Zulfikar discussed the primary challenges faced by completion engineers, particularly in corrosive well environments, where material selection becomes a critical factor. He also addressed the requirements for materials capable of withstanding the extremely low temperatures associated with Carbon Capture and Storage (CCS) operations, an emerging field aligned with global decarbonization goals. Various artificial lift systems were introduced as solutions for enhancing production from mature wells. Furthermore, the speaker noted that multilateral well technology, though not yet widely implemented in Indonesia, presents significant opportunities for improving reservoir drainage efficiency. Mr. Zulfikar also explained several methods to mitigate sand production, such as gravel packing and screen design, emphasizing that these practices are vital for maintaining well integrity. He concluded this section by introducing smart well technologies, which enable remote monitoring and control to minimize the need for physical intervention, thereby enhancing both safety and efficiency. Beyond technical competence, Mr. Zulfikar stressed that successful engineering practice in the oil and gas industry depends on effective collaboration among diverse disciplines.  Such multidisciplinary cooperation fosters innovative problem-solving and ensures that complex projects meet both operational and environmental standards. The event’s interactive segments demonstrated the enthusiasm of ITS students. The QnA session featured insightful discussions that reflected participants’ curiosity and critical thinking regarding industry practices. The seminar concluded with a PetroQuiz, in which attendees enthusiastically competed to answer technical questions related to the material presented. This activity effectively reinforced the participants’ understanding while maintaining an engaging atmosphere. Through ONG 101, SPE ITS SC successfully bridged academic learning with real-world industry perspectives. The seminar provided valuable exposure to practical engineering challenges and the evolving dynamics of the global energy sector. By presenting both motivational insights and technical expertise, Ir. Zulfikar A. Ali, IPM, not only broadened the participants’ understanding of well completion and production technologies but also inspired them to uphold professional values of safety, innovation, and collaboration.  Writer: Christya Amanda

Indonesia is at a crucial point in its oil and gas journey. On one hand, the country has vast untapped energy resources that could fuel the economy for years to come. On the other, many of its existing oil fields are aging, leading to declining production. In 2023, Indonesia’s oil and gas industry was valued at around IDR 280 trillion, and experts predict it could grow to IDR 1,050 trillion by 2032. However, sustaining this growth will require new discoveries and smarter investments in exploration.Right now, Indonesia produces about 576,000 barrels of oil per day (bpd), and the government hopes to push this number to 600,000 bpd by 2025. However, the challenge is that 70% of Indonesia’s oil wells are mature, meaning their output is slowing down. If new reserves aren’t developed soon, Indonesia will have to rely more on imports, which could drive up costs and impact energy security.The good news? There’s still a massive opportunity waiting to be explored. Out of 128 sedimentary basins across Indonesia, only 20 are actively producing oil and gas. That means 68 basins remain untouched, offering huge potential for new discoveries. If properly explored, these areas could significantly boost Indonesia’s production and reduce dependence on imported oil.To tap into this potential, both domestic and international companies are stepping in with major investments. One of the biggest projects is Eni’s Geng North Project, a IDR 192 trillion gas project expected to start production by 2027. Similarly, BP is expanding its Tangguh LNG facility in West Papua with a IDR 112 trillion investment, incorporating carbon capture technology to make production more efficient and sustainable. Meanwhile, Petronas is increasing its footprint in Indonesia by setting up operations in East Java and exploring other regions. These investments highlight global confidence in Indonesia’s oil and gas potential.The government isn’t standing still either. Under President Prabowo Subianto, several initiatives are in place to attract more foreign investment, reactivate 5,000 idle oil wells, and speed up the permitting process for new projects. If these efforts are successful, Indonesia could see a major boost in oil and gas production, strengthening energy security and ensuring long-term economic stability.

Indonesia has taken a significant step in reshaping its upstream oil and gas landscape, with the government formally announcing 118 potential new oil and gas working areas as part of a broader push to accelerate exploration and grow the country's reserve base. The announcement was made by Director General of Oil and Gas Laode Sulaeman on May 28, referencing a presentation delivered by Energy and Mineral Resources Minister Bahlil Lahadalia at the 50th Indonesian Petroleum Association Convention and Exhibition (IPA Convex) on May 20.The initiative comes as Indonesia seeks to reverse a long-term decline in oil production while strengthening domestic energy security. The 118 potential working areas were developed through contributions from the Geological Agency of the Ministry of Energy and Mineral Resources, Lemigas, and existing contractors, with costs funded through the state budget.As of May 20, 2026, 25 of the 118 areas had already attracted formal interest or progressed to contract signing, with an additional 43 in the joint study phase. The remainder are being positioned for joint studies or direct designation as new working areas, suggesting meaningful industry appetite across the board.On the optimization side, the government has expressed strong support for PT Pertamina Hulu Energi's (PHE) push to bring idle structures back into productive use through Operational and Technology Cooperation arrangements (KSOT), under Ministerial Regulation No. 14 of 2025. PHE has prepared around 41 idle structures for KSOT, of which 22 were publicly announced at IPA Convex 2026, spanning all four operational regions: 8 in Regional 1 (Sumatra), 4 in Regional 2 (Java), 7 in Regional 3 (Kalimantan), and 3 in Regional 4 (East Java and Eastern Indonesia). The remaining structures are expected to be opened for cooperation in the near term.The scale of the initiative, covering new working areas, idle structures, idle wells, and community production schemes simultaneously, signals a coordinated government posture aimed at closing the gap between Indonesia's hydrocarbon resource potential and its current production levels. With drilling activity and partnership processes already in motion across multiple fronts, if executed as planned, the initiative could unlock new reserves and accelerate production growth from both frontier exploration areas and previously idle assets over the coming years.  Writer: Timothy Evan