South East Asian energy and natural resources company MedcoEnergi has agreed to acquire operating interests in two production sharing contracts (PSCs) in South Sumatra, Indonesia, from Repsol, for up to $90m (Rp1.49trn).
Under the terms of the deal, Medco will acquire a 45% stake in the Sakakemang PSC and an 80% interest in the South Sakakemang PSC upon receiving approval from the Government of Indonesia.
The Sakakemang PSC, adjacent to Medco’s existing operations at the Corridor PSC, has received development plan approval from Indonesian authorities.
The Corridor PSC is a conventional onshore gas field in South Sumatra comprising seven gas fields and one oilfield.
The acquisition follows Medco’s recent purchase of the Corridor PSC from Repsol for $425m.
MedcoEnergi CEO Roberto Lorato said: “These acquisitions, ~$90m in total, strengthen the company’s strategic position in South Sumatra and Java’s integrated gas value chain.
“Our reserve base and ownership in strategic infrastructure secure access to long-life cash-generating assets and enhance MedcoEnergi’s role in supporting Indonesia’s energy needs.”
The company noted that its expansion strategy aligns with Indonesia's national energy security objectives.
In addition to these acquisitions, MedcoEnergi has increased its stake in Transportasi Gas Indonesia (TGI), raising its effective ownership to 40%.
TGI's pipeline network transports natural gas from Medco's Corridor PSC and other suppliers in South Sumatra and Jambi including Riau, Batam and Singapore.
MedcoEnergi focuses on oil and gas exploration and production throughout Indonesia, strategically concentrating on extending its reach across South East Asia, the Middle East and South Africa. The company operates a portfolio of production assets.
In August 2025, MedcoEnergi’s subsidiaries, Medco Energi Thailand (Bualuang) and Medco Energi Thailand (E&P), received approval from the Government of Thailand for an extension of the production period for the Bualuang oilfield (Block B8/38) in the Gulf of Thailand.
