Russia to Supply Crude and LPG to Indonesia Following Moscow Talks
Jakarta. Russia has agreed to supply crude oil and liquefied petroleum gas (LPG) to Indonesia following high-level talks in Moscow, Energy and Mineral Resources Minister Bahlil Lahadalia said on Tuesday.
The agreement follows a meeting between Bahlil and Russian Energy Minister Sergey Tsivilev, held to follow up on discussions between President Prabowo Subianto and Russian President Vladimir Putin a day earlier.
“We achieved positive results, including additional crude supply for our reserves. In addition, we will also be able to secure LPG,” Bahlil said in a statement from Moscow, without disclosing volumes.
Beyond supply agreements, Russia has also expressed readiness to support Indonesia’s broader energy security agenda, including the development of oil storage facilities, refineries, and power generation — potentially extending to nuclear energy.
The cooperation is being explored through both government-to-government and business-to-business frameworks. The meeting was attended by representatives from major Russian energy firms, including Rosneft, Ruschem, Zarubezhneft, and Lukoil.
Indonesia is seeking to diversify its energy supply sources away from the Middle East amid escalating tensions in Iran, which have disrupted global oil flows and contributed to crude prices rising above $100 per barrel. The closure of the Strait of Hormuz has also delayed shipments, with two tankers carrying oil for Pertamina currently stranded in the region.
In Jakarta, Pertamina spokesperson Muhammad Baron said the state energy firm is ready to follow up on potential crude and LPG imports from Russia in line with government directives.
However, he stressed that the company would continue to apply prudent risk management, regulatory compliance, and commercial considerations in evaluating any agreements.
Regarding the compatibility of Russian crude with Pertamina’s refining system, Baron said further technical assessment is required.
“We will study the characteristics of the crude. With ongoing refinery upgrades, we expect greater flexibility in processing a wider range of crude types in the future,” he said.
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