Brunei Shows Interest in Indonesia’s Energy Transformation, Eyes Strategic Cooperation

Tokyo, The Gulf Observer: Brunei Darussalam has expressed strong interest in Indonesia’s energy transformation efforts as the two Southeast Asian nations seek to strengthen strategic cooperation in the energy sector.

Indonesia’s Minister of Energy and Mineral Resources, Bahlil Lahadalia, said Brunei views Indonesia’s progress in diversifying energy sources as an important model for its own transition.

“This is a golden opportunity for regional collaboration. Brunei sees that Indonesia has made significant progress in developing power generation from various energy sources, while Brunei currently relies on gas for around 99 percent of its power generation and aims to reduce this dependency,” Lahadalia said in a statement on Sunday.

According to the minister, Brunei plans to significantly expand its national power generation capacity, targeting a fivefold increase by adding 4 gigawatts (GW) to its current 1 GW capacity.

The issue was discussed during a bilateral meeting held on the sidelines of the Indo-Pacific Energy Security Ministerial and Business Forum (IPEM) in Tokyo, Japan, where Lahadalia met with Brunei’s Deputy Minister (Energy) Dato Seri Paduka Awang Haji Mohamad Azmi Bin Haji Mohd Hanifah.

During the meeting, both sides discussed concrete steps to enhance cooperation, including strengthening oil supply security and exploring opportunities to develop new and renewable energy (NRE).

The dialogue marked a significant step for Brunei, one of Southeast Asia’s prominent oil and gas producers, as it begins to seriously explore Indonesia’s experience in diversifying energy generation, particularly from renewable sources.

Lahadalia noted that discussions also covered Indonesia’s efforts to strengthen its national energy security through diversified oil supply sources.

With Brunei producing approximately 100,000 to 110,000 barrels of oil per day, Indonesia is open to exploring potential oil imports from the country to ensure a stable domestic energy supply.

The minister also revealed that Brunei showed interest in the Enhanced Oil Recovery (EOR) technology implemented by Indonesia’s state-owned energy company PT Pertamina, which is used to increase production in aging oil wells.

Brunei’s Deputy Energy Minister Dato Seri Paduka Awang Haji Mohamad Azmi said his country is keen to learn from Indonesia’s experience with the technology.

“We are interested in Indonesia because they have used EOR technology. We already utilize water flooding and believe we can learn from Indonesia in implementing EOR operations,” he said.

The meeting highlighted growing regional cooperation in addressing energy transition challenges while ensuring energy security in Southeast Asia.