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Indonesia and Russia Agree on Oil and LPG Supply as Long‑Term Deals Take Shape

Jakarta says the supplies will boost reserves to support domestic LPG output.

Overview

  • Indonesia’s energy minister said the two countries agreed on supplies of Russian oil and liquefied petroleum gas.
  • Russia’s energy minister said they have begun drafting long‑term contracts at what he called mutually beneficial prices.
  • Officials have not disclosed volumes, delivery schedules, pricing formulas, or legal terms for the planned deals.
  • Indonesia produces about 600,000 barrels of oil a day but uses roughly 1.6 million, with stocks that cover only about three weeks of demand.
  • The push followed a Kremlin meeting between Vladimir Putin and Prabowo Subianto that highlighted plans to deepen economic ties.