PHE Continues to Demonstrate Optimal Performance, Records Oil and Gas Production of Over 1 Million Barrels of Oil Equivalent Per Day and Aggressively Conducts Exploration

Jakarta, August 15, 2024 – PT Pertamina Hulu Energi (PHE), as Pertamina’s Upstream Sub-holding, continues demonstrating excellent performance. Throughout the first half of 2024, PHE recorded oil and gas production of 1.05 million BOEPD (barrels of oil equivalent per day), with oil production reaching 556 thousand BOPD (barrels of oil per day) and gas production at 2.86 billion SCFD (standard cubic feet per day). This production increase is attributed to various activities, including drilling, workovers, well maintenance, and S/EOR (Secondary/Enhanced Oil Recovery).

As of June 2024, PHE completed six exploration wells drilling and 334 development wells. Additionally, there was a significant increase in workovers, with 476 wells serviced and 17,436 well services completed, compared to the same period in 2023.

Earlier this year, exploration drilling successfully discovered new oil and gas resources at the Anggrek Violet (AVO)-001 well in South Sumatra, the Pinang East (PNE)-1 well in Riau, and the Julang Emas (JLE)-001 well in Central Sulawesi.

PHE also recorded a 198 km 2D Seismic Survey acquisition at Amalia in South Sumatra. Additionally, 3D seismic activity saw a significant 413% increase compared to the same period last year, with 1,978 km² of 3D seismic data acquired by June 2024. The 3D seismic surveys were predominantly conducted in Eastern Indonesia, including the 3D Seram survey in Maluku and the 3D Bone survey in the Sulawesi waters, which represents seismic acquisition in open areas as part of PHE's work commitments with the government and efforts to maintain national energy diversity and resilience.

PHE will continue to explore various aspects to achieve its set targets. By June 2024, PHE had discovered proven oil and gas reserves (P1) totaling 93 million BOE (barrels of oil equivalent). These P1 reserves consist of 41 million BO (barrels of oil) of crude oil reserves and 305 million SCF (standard cubic feet) of gas reserves.

To strengthen its commitment towards net-zero emissions, PHE has signed a Carbon Capture collaboration agreement with ExxonMobil for the Asri Basin CCS Hub development, which represents CO2 storage potential and new business opportunities in the Decarbonization program in Southeast Asia. This collaboration aims to reduce carbon emissions while supporting economic growth through investment, job creation, and increased revenue for the country.

PHE has also signed a Memorandum of Understanding (MoU) on Exploring the ISO’s Potential and Implementation in the Conduct of Carbon Capture Storage (CCS)/Carbon Capture Utilization and Storage (CCUS) Projects with PT Sucofindo.

With CCUS and CCS technology, Pertamina’s Upstream Sub-holding could utilize CO2 for injection into depleted reservoirs for EOR/EGR or store it as an emission reduction and injection hub. This effort is continuously carried out to increase oil and gas production in support of national energy security.

These achievements are the result of PHE's efforts to manage key strategies in baseline production, enhancing production growth through work plans and mergers & acquisitions, and boosting reserve & resource growth while always prioritizing Environmental, Social, and Governance (ESG) aspects. "We are grateful for all these achievements, and we also thank all stakeholders who consistently support the company's operational activities, enabling them to run smoothly," said Chalid Said Salim, President Director of PHE.

All of these achievements are a result of the hard work of over 14,000 employees (referred to as "Perwira" within Pertamina) and are supported by cutting-edge digital technology implementation. An integrated, standardized, innovative, and agile data analytics solutions development helps inform strategic business decisions. PHE also continues to strengthen infrastructure through an integrated data center & disaster recovery center development, as well as information security through information security governance and a Security Operation Center implementation to ensure PHE's business operations continuity.

PHE will continue to invest in managing upstream oil and gas operations and business following Environmental, Social, and Governance (ESG) principles. PHE is committed to the Ten Universal Principles of the UNGC (United Nations Global Compact) in its strategies and operations, as part of its implementation of ESG aspects.

With its commitment to growing alongside the community and preserving the environment, realized through various sustainable programs, PHE has successfully received the SDG Innovation Accelerator for Young Professionals 2024 award, organized by the Indonesia Global Compact Network (IGCN). This event was attended by 15 companies that are members of the United Nations Global Compact (UNGC), with a total of 16 innovators groups consisting of young professionals from both state-owned enterprises and the private sector.

In supporting the environmental aspects, 128 active decarbonization initiatives being implemented across various operational areas of Pertamina's Upstream Sub-holding. By the end of June 2024, these decarbonization initiatives have included energy intensity efficiency, zero routine flaring, low carbon heat, low carbon power, and non-routine emissions.

Vice President of Corporate Communication of PT Pertamina (Persero), Fadjar Djoko Santoso, stated that PHE's efforts in oil and gas production play a crucial role in supporting Pertamina's role in maintaining national energy security. "As the upstream sub-holding, PHE has an important role in energy security while also implementing decarbonization programs to support the achievement of net zero emissions by 2060," he explained.

In supporting Governance, PHE remains committed to Zero Tolerance for Bribery by ensuring fraud prevention and maintaining a company free from bribery. It includes an Anti-Bribery Management System (SMAP) implementation, standardized by ISO 37001:2016.

PHE continues to develop prudent and excellent operational management domestically and internationally, aiming to become a world-class oil and gas company that is Environmentally Friendly, Socially Responsible, and committed to Good Governance.

Pertamina, as a leading company in the energy transition, is committed to supporting the Net Zero Emission 2060 target by continuously promoting programs that directly impact the Sustainable Development Goals (SDGs) achievement. All these efforts align with Environmental, Social & Governance (ESG) implementation across all Pertamina's business lines and operations.**