Expertise: Oil & Gas

The Indonesian Government has enacted implementing regulations to Law No. 11 of 2020 on Jobs Creation (the “Omnibus Law“). The implementing regulation particularly relevant to the oil and gas sector is Government Regulation No. 5 of 2021 on the Implementation of Risk-Based Business Licensing (“GR 5/2021“), which was enacted on February 2, 2021. The regulation … Update on Indonesia’s Omnibus Law and Implementing Regulations – Oil and Gas Sector

Indonesia’s oil and gas sector is gove­­rned by Law No. 22 of 2001 regarding Oil and Natural Gas (November 22, 2001), as amended by Law No. 11 of 2020 regarding Job Creation (November 2, 2020) (“Job Creation Law”) (collectively, the “Oil and Gas Law”). The State retains mineral rights throughout Indonesian territory and the Government … Indonesian Oil & Gas Regulation – Development of Oil and Natural Gas

The Indonesian House of Representatives (DPR) recently passed the Omnibus Bill on Job Creation (the “Omnibus Bill“). The stated aim of the Omnibus Bill is to bolster investment and create jobs by streamlining regulations and simplifying the licensing process to improve the ease of doing business in Indonesia. The Omnibus Bill amends various provisions in … Indonesia Omnibus Bill – Potential Changes to the Oil and Gas Law

According to reports and anecdotal evidence, many players in the Indonesian upstream oil and gas industry consider the latest form of Production Sharing Contract (“PSC“) using the gross split mechanism less attractive than the cost recovery PSC. So, in an effort to attract new investors and maintain existing investors, the Minister of Energy and Mineral … Indonesian Government Grants Flexibility for Use of Gross Split and Cost Recovery PSCs