RATU named winning bidder for 20% interest in E. Java gas block

By Romel S. Gurky

Upstream oil, gas investment firm PT Raharja Energi Cepu Tbk (IDX: RATU) announced that it has been selected as the winning bidder in the sale process for SMS Development Limited (SMSDL), which holds an indirect 20% participating interest in Madura Straits PSC, offshore East Java. The block, which is one of the biggest gas producers in  East Java, is operated by Husky-CNOOC Madura Limited (HCML) with 80 percent interest.

The disclosure, filed with the Indonesia Stock Exchange, states that the selection was based on Raharja Energi Cepu’s submitted proposal following an evaluation process. HCML is a key gas producer supplying the East Java market.

Read also: RATU plans acquisition of two producing oil and gas blocks

Raharja Energi said it has not yet made any decisions regarding whether to proceed with the acquisition, nor on potential financing structures, capital injection plans, or transaction arrangements.

Any deal would remain subject to binding agreements and corporate approvals required under Indonesian regulations, including OJK rules on material transactions and information disclosure.

At this stage, the company said the selection does not have a material impact on its financial condition, operations, or business continuity. Material effects would arise only if Raharja Energi signs binding agreements and secures shareholder approval as required.

The company said all next steps will comply with applicable laws and regulatory obligations.

Editing by Alexander Ginting