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Home Economy Energy

Indonesia Taps Offshore Gas Reserves to Strengthen LPG Supply

The discovery was confirmed by the country’s upstream oil and gas regulator, SKK Migas, as part of broader efforts to reduce Indonesia’s dependence on imported LPG.

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Indonesia has announced the discovery of two offshore gas fields in the Northwest Java region, expected to significantly bolster its domestic liquefied petroleum gas (LPG) production.

The fields, located in the Jambi Merang and Offshore Northwest Java (ONWJ) areas, are projected to begin production by the end of 2025, with daily outputs of 200 and 180 tonnes respectively.

The discovery was confirmed by the country’s upstream oil and gas regulator, SKK Migas, as part of broader efforts to reduce Indonesia’s dependence on imported LPG. Djoko Siswanto, head of SKK Migas, stated that these fields are rich in propane and butane—key components for LPG—making them critical assets for national energy security.

Yuliot Tanjung, Indonesia’s Deputy Minister of Energy and Mineral Resources, underscored the government’s strategy to expand gas exploration.

“We are actively mapping areas with gas reserves capable of producing propane and butane to meet domestic LPG needs,” he said.

The initiative is aligned with Indonesia’s push to achieve greater energy self-sufficiency, with intensified exploration efforts focused on Jambi province and other gas-rich regions across the archipelago.

The new fields are expected to ease supply pressures and ensure a stable, locally sourced LPG supply for Indonesian households and industries.

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