Indonesia’s Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has issued a stern warning to Japanese oil and gas company Inpex, threatening to revoke its permit to operate the Masela Block if the company continues to delay its project development.

In a public address, the Minister criticized Inpex for holding onto the Masela Block for 26 years without moving into production. “I have already issued a first warning letter. If they continue to play games, we will revoke their permit in the name of the State,” Bahlil said in 2025 Energy and Mineral Forum in Jakarta on May 26, 2025.

The Masela Block, located in eastern Indonesia, is one of the country's largest untapped gas reserves. Inpex, which has long held the development rights, has faced repeated scrutiny from Indonesian officials for slow progress on the project.

“This is not a joke. We are serious. The President has instructed us to ensure national energy sovereignty, and that includes evaluating all permits that have been granted but have not yielded results,” the Minister added.

Bahlil further revealed that more than 300 oil and gas discoveries in Indonesia remain in the exploration stage without approved development plans (PODs). “We will evaluate all of them and are prepared to revoke more than 10 permits if necessary.”

The minister also questioned whether delays in boosting domestic oil production were part of a “by design” effort to increase imports. “Indonesia used to export over 1 million barrels per day in the 1990s. Now, we produce only around 580,000 while consuming 1.6 million. This situation is unacceptable,” he said.

Bahlil emphasized Indonesia’s goal to ramp up oil production to 1 million barrels per day by 2030, in line with President Prabowo Subianto’s energy independence agenda. “This is about national pride. Only those who lack courage or have conflicts of interest would say it can’t be done.”