New Licensing Provisions for Oil-and-Gas Business Activities

The Ministry of Energy and Mineral Resources (“Ministry”) has issued Regulation No. 29 of 2017 on the Licensing of Oil-and-Gas Business Activities (“Regulation 29/2017”). Regulation 29/2017 is aiming to improve the investment climate and productivity across the Indonesian oil-and-gas sector by simplifying a number of regulations which relate to the various licenses which are required to be held by business entities or contractors of upstream oil-and-gas activity (“Contractors”). These licensing requirements were previously spread across a number of regulations (collectively referred to as “Former Regulations”), specifically: [1]