For over three decades, PT Medco E&P Indonesia (Medco E&P), in collaboration with the upstream oil and gas regulatory task force (SKK Migas), has played a vital role in safeguarding Indonesia’s energy security through its operations in South Sumatra Block, one of the country’s key natural gas production centers.

Since its initial development in the 1990s, the South Sumatra Block has consistently supplied gas to major industries such as state fertilizer company PT Pupuk Sriwijaya (Pusri), state utility PT PLN, and regional gas distribution networks that fuel South Sumatra’s economic activities.

In 2024, the block recorded an oil production level of 2,320 barrels of oil per day (BOPD) and 53.62 million standard cubic feet of gas per day (MMSCFD). This supply has been essential for meeting the energy demands of PLN, PGN, Pusri, and the surrounding communities.

Through this synergy, SKK Migas and Medco E&P reaffirm their long-term commitment to ensuring that the South Sumatra Block remains a cornerstone of Indonesia’s sustainable energy infrastructure, powering industries, communities, and the nation’s development for decades to come.

“We will continue to support the government’s agenda to maintain energy security through safe and efficient operations,” Vice President for Onshore Operations at Medco E&P Indonesia, Irfan Eka Wardhana, said during a joint field visit with SKK Migas in South Sumatra on Sunday, October 19, 2025.

To sustain and expand production capacity, Medco E&P is currently advancing two major project Flamboyan Rengas and Arung Nowera through an ongoing drilling campaign. These initiatives aim to maintain stable hydrocarbon output across seven regencies in South Sumatra.

Currently, 139 active wells are managed within two main operational areas: the Western Field and the Eastern Field, which together form the operational backbone of Medco’s onshore production in the province.

As part of its sustainability commitment, Medco E&P, together with SKK Migas, has rolled out several greenhouse gas (GHG) reduction initiatives for the 2024–2025 period. These include fuel gas optimization, flare gas utilization, the deactivation of the Enclosed Ground Flare in Keramasan, and the conversion of exhaust gas into sales gas at the Matra Field.

These measures have collectively reduced emissions by approximately 54,000 tons of CO₂e per year, improved energy efficiency, and generated additional economic value.

“The South Sumatra Block plays a crucial role in maintaining the stability of Indonesia’s gas supply,”, SKK Migas spokesman, Heru Setyadi, said.

“The achievement highlights the importance of strong collaboration between SKK Migas and KKKS (contractors) in sustaining the country’s energy security,” he added.