Indonesia’s Pertamina and global service company Halliburton have signed a memorandum of understanding (MOU) to accelerate the deployment of advanced well construction and stimulation technologies.
Under the MOU, the companies plan to evaluate opportunities for multistage hydraulic fracturing, acid stimulation, and advanced cementing services, as well as the potential application of closed-loop automation and artificial intelligence capabilities to improve drilling and fracturing performance in onshore fields.
“With the support of advanced technology and global expertise, we are confident that mature fields can be revitalized and optimized to unlock their full potential, enabling the fields to, once again, be productive and contribute to national energy production,” Simon Mantiri, president director of Pertamina, said in a statement released on 22 February.
Mantiri added that the collaboration focuses not only on increasing production but also on technology transfer, enhancement of human resource capabilities, and implementation of globally standardized operating practices. He said that collaboration with international partners will accelerate the implementation of enhanced oil recovery technologies and more efficient and sustainable drilling solutions.
The agreement comes 3 months after the state-owned oil and gas company announced the discovery of 724 million BOE of unconventional oil and gas resources in the onshore Rokan Working Area in Riau Province, on the central eastern coast of Sumatra. Pertamina said in November that the discovery was the largest made in 10 years and that, because it involved a single geologic formation, additional unconventional resources could be identified.
The project also marked Indonesia’s first horizontal multistage well to use explosive-based perforations and a one-run plug-and-perf system deployed with coiled tubing. The company plans to expand horizontal multistage development across multiple fields this year while improving drilling efficiency.
The MOU with Houston-based Halliburton was one of 11 agreements signed by the Indonesian government and corporate leaders at the Indonesia–US Business Summit held in Washington, DC, on 18 February. Indonesian President Prabowo Subianto attended the signings while visiting the US to finalize a trade agreement between the two countries.
As of December 2025, Indonesia’s oil production stood at nearly 605,000 B/D, according to government figures, and is projected to decline by 16% to 20% annually without the discovery and development of new resources.
Indonesia’s production peaked at more than 1.6 million B/D in 1995 and fell below 1 million B/D in 2007. To support increased output and attract international investment, the government plans to auction 75 new working areas by 2028.
