Enviro News Asia, Jakarta — PT Pertamina Hulu Energi (PHE), through its subsidiary PT Pertamina Hulu Energi Sulawesi Lavender, has officially signed a Production Sharing Contract (PSC) for the Lavender Working Area with SKK Migas.
The contract covers both offshore and onshore areas in South Sulawesi and offshore Southeast Sulawesi, marking the start of oil and gas exploration activities in the region.
The PSC was signed by PHE Sulawesi Lavender Director Ruby Mulyawan and SKK Migas Head Djoko Siswanto in February 2026, and later endorsed by Energy and Mineral Resources Minister Bahlil Lahadalia in March 2026.
The Lavender block is the sixth working area secured by PHE since 2023, reflecting the company’s aggressive strategy to expand exploration portfolios and increase national oil and gas reserves.
The PSC applies a cost recovery scheme with a 30-year contract period, covering an area of approximately 8,206.95 square kilometers.
PHE has committed an initial investment of USD 2.8 million, which will be allocated to geological and geophysical studies, as well as the acquisition of 2D and 3D seismic data during the first three years of exploration.
Prior to signing, the contractor fulfilled all financial obligations, including a USD 200,000 signature bonus and performance guarantees submitted to the government.
PHE stated that the project aligns with the government’s efforts to boost upstream oil and gas investment and strengthen national energy security, while maintaining operations under Environmental, Social, and Governance (ESG) principles. (*)
