bp has strengthened its presence in Indonesia after signing three new Production Sharing Contracts (PSCs), expanding its participation in the country’s oil and gas sector to 11 blocks.
The agreements were signed during the Indonesian Petroleum Association Convention & Exhibition 2026 as part of the second Indonesia Petroleum Bidding Round 2025 organized by the Ministry of Energy and Mineral Resources of Indonesia.
Two of the newly secured exploration blocks — Bintuni and Drawa — are located near bp-operated Tangguh LNG in Papua Barat, offering potential for faster and more cost-efficient development due to their proximity to existing infrastructure. The company also confirmed its participation in the INPEX-operated Barong block in East Java.
The contracts were signed between bp and the Indonesian government, represented by SKK Migas, in the presence of Energy and Mineral Resources Minister Bahlil Lahadalia.
William Lin, Executive Vice President for gas and low carbon energy at bp, said the agreements underline the company’s long-term commitment to Indonesia’s energy sector.
“These agreements demonstrate our ongoing investment in Indonesia’s energy security and economic growth,” Lin said. He added that the location of the new blocks near existing bp facilities could support future resource development if exploration proves successful.
The latest expansion comes as bp marks 60 years of operations in Indonesia. The company said it remains focused on supporting the country’s energy resilience while maintaining operational safety and performance.
Under the new agreements, bp will collaborate with several partners. The Bintuni and Drawa blocks include participation from CNOOC Southeast Asia Limited, MI Berau B.V. — a joint venture between INPEX Corporation and Mitsubishi Corporation — and Indonesia Natural Gas Resources Muturi, Inc., part of LNG Japan Corporation.
In the Barong block, bp will hold a 49% stake, while INPEX Corporation will operate the project with a 51% interest.
The move highlights growing international investment interest in Indonesia’s upstream energy sector as the country seeks to strengthen domestic energy production and attract global energy partnerships.
