Mubadala Energy and PLN Energi Primer Indonesia Sign Landmark Agreement to Strengthen Energy Resilience
Mubadala Energy, the Abu Dhabi–headquartered international energy company, has signed a Heads of Agreement (HoA) with PLN Energi Primer Indonesia (PLN EPI), a key subsidiary of Indonesia’s national energy and electricity provider.
The agreement sets the stage for long-term gas supply from Mubadala Energy’s assets in the Andaman Sea—marking a major step forward for Indonesia’s energy security.
Under this strategic framework, both parties will collaborate to reduce Indonesia’s reliance on LNG imports, diversify domestic energy sources, and meet rising national demand with more sustainable, resilient solutions. A core component of the partnership includes prioritising gas supply for North Sumatra and Aceh, anchored in the potential of the Tangkulo gas field, located about 65 kilometres offshore and estimated to contain more than 2 trillion cubic feet (TCF) of gas-in-place.
Strengthening Indonesia’s Energy Future
Commenting on the agreement, Abdulla Bu Ali, President Director of Mubadala Energy Indonesia, said:
“This agreement reflects our unwavering commitment to Indonesia’s energy future. By partnering with PLN EPI, we aim to deliver reliable and sustainable energy solutions that meet domestic needs and strengthen national energy security. This is also an important step for our development plans of the Tangkulo gas project in the South Andaman Sea.”
Indonesia’s energy landscape is entering a transformative phase, as the nation seeks to expand infrastructure, unlock new gas resources, and build long-term stability in its domestic supply. The partnership brings together Mubadala Energy’s global operational capabilities and PLN EPI’s strong domestic footprint to deliver reliable and sustainable energy to millions of Indonesians. It fully aligns with Indonesia’s strategy to enhance energy independence, optimise domestic resources, and support a resilient energy transition.
A Strategic Collaboration for National Energy Security
Rakhmad Dewanto, President Director of PLN Energi Primer Indonesia, emphasised the strategic importance of the partnership:
“PLN EPI continues to support the development of new gas fields in Indonesia and welcomes the development of the Tangkulo gas field in the South Andaman Block by Mubadala Energy. This collaboration is also part of the development of a gas supply portfolio for the power sector to support energy security and the energy transition in Indonesia.”
The signing ceremony was witnessed by Djoko Siswanto, Chairman of SKK Migas, who noted:
“The signing of this HoA marks an important milestone in the development of the Tangkulo Project.”
A Foundation for Long-Term Cooperation
The HoA provides a foundation for continued discussions on the technical and commercial structures that will define the long-term gas supply arrangement. Mubadala Energy’s strong commitment to supporting Indonesia’s domestic energy needs reinforces its position as a trusted long-term partner in the country’s energy sector. Meanwhile, PLN EPI will continue its leadership in ensuring reliable, accessible power supply for Indonesia’s growing energy needs.
