bp, INPEX sign production sharing contracts in Indonesia

bp plc and partners signed three production sharing contracts (PSC) in Indonesia as part of the second Indonesia Petroleum Bidding Round 2025, bringing bp's total participation in oil and gas blocks in the country to 11. The agreements were signed with the Government of Indonesia, represented by SKK Migas—the Indonesian government agency that oversees upstream oil and gas operations—and witnessed by Minister of Energy and Mineral Resources Bahlil Lahadalia, the company said in a release May 21.

Two PSCs cover the Bintuni and Drawa exploration blocks near the bp-operated Tangguh LNG in Papua Barat. Partners in the blocks are CNOOC Southeast Asia Ltd., MI Berau BV (a joint venture between INPEX and Mitsubishi Corp.), and Indonesia Natural Gas Resources Muturi Inc. (an LNG Japan Corp. subsidiary).

The third PSC covers the INPEX Corp.-operated (51%) Barong block offshore East Java. INPEX, through subsidiary INPEX Barong Ltd., signed a PSC with Indonesian upstream regulator SKK Migas and bp unit BP Barong Ltd., which will hold 49% interest. The Barong block encompasses almost 8,500 sq km with water depths of 0–1,000 m in an area where several oil and gas fields have been discovered, INPEX said in a separate release May 21.