Indonesia’s oil production in the first six months of 2025 was 579,300 barrels per day, while gas output was 6,820 million standard cubic feet per day, the chairman of upstream oil and gas regulator SKK Migas said on Monday.

The crude oil production was below the 2025 state budget target of 605,000 bpd, while gas production was above the 5,628 mmscfd target.

“Oil production in July continues to increase day-to-day. Hopefully it can reach the state budget target,” SKK Migas Chairman Djoko Siswanto told reporters.

SKK Migas estimated gas output for this year would come in above target at 6,910 mmscfd, while oil output was seen rising in the second half to reach the government’s target, Djoko said.

The output increase would come from oil and gas fields such as Forel and Terubuk, as well as a production expansion at the Banyu Urip field, he said.

SKK Migas also expects ten other projects to come onstream this year.

Indonesia’s oil production has often missed target levels due to ageing blocks and a lack of new investment.

The government is keen to attract investment in new blocks and to reactivate idle wells to help reach President Prabowo Subianto’s target of energy self-sufficiency.

RISING DOMESTIC GAS DEMAND

SKK Migas estimated Indonesia will export 150 cargoes of liquefied natural gas this year, with another 86 cargoes to be sold domestically, SKK Migas deputy Kurnia Chairi said.

However, there are risks of future cargoes being diverted to domestic buyers from the planned exports due to rising LNG demand from state utility company PLN, he said. Indonesia in April and May diverted five LNG cargoes intended for export.

Since last year, SKK Migas has been in talks with a number of overseas LNG buyers to renegotiate delivery schedules to prioritise supply to the domestic market.

This year, Indonesia’s LNG production is estimated at 237.8 cargoes, Kurnia said. In the first half of this year, LNG production was 113 cargoes.
Source: Reuters