Bahlil urges bp to allocate 10% PI to West Papua governments

By Bernard Loebs

Minister of Energy and Mineral Resources Bahlil Lahadalia has asked bp to allocate a 10 percent Participating Interest (PI) in the Tangguh gas project to the provincial and regency governments in West Papua.

Speaking before Commission XII of the House of Representatives (DPR) on Tuesday, Bahlil said he had met with bp representatives and formally requested that part of the company’s participation rights be transferred to the local administrations, particularly the Teluk Bintuni Regency and the provincial government.

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“We met with bp, and I have asked them to give a 10 percent PI to the local governments, both Bintuni Regency and the Province of West Papua,” Bahlil said.

He noted that similar arrangements have been implemented for other projects, such as Genting Oil’s Kasuri Block, where local governments have already received a 10 percent share. “Genting will start production in 2027, and its floating LNG vessel construction has reached 80 percent completion. ENI also has no issue with the 10 percent PI allocation,” he added.

The minister said such allocations are part of the government’s efforts to ensure that regional administrations benefit directly from resource development projects in their areas.

Editing by Alexander Ginting