Shell Finalizes Fuel Purchase Agreement with Pertamina Amidst Fuel Import Restriction
26 Nov 2025
Shell Indonesia has finalized an agreement with PT Pertamina Patra Niaga to purchase 100,000 barrels of base fuel, marking the company’s first procurement through Pertamina since the government-imposed restrictions requiring private fuel retailers to source imports through the state energy company. The purchase is intended to address fuel shortages that have affected several private stations in recent months.
Deputy Minister of Energy and Mineral Resources (ESDM) Yuliot Tanjung stated that Shell has bought one cargo of base fuel from Pertamina Patra Niaga. “For Shell, an agreement with Pertamina has been reached. The delivery is scheduled to arrive at the agreed transfer point on November 24 or 25,” Yuliot said in Jakarta on Tuesday.
The Ministry of Energy and Mineral Resources earlier confirmed that negotiations between Shell and Pertamina had entered the final stage. Director General of Oil and Gas Laode Sulaeman noted that Shell had already submitted the volume it intended to purchase but did not provide further details. “Vivo completed its arrangements earlier, and Shell has now reached the final stage,” Laode said on Monday.
Fuel shortages at Shell, BP, and Vivo stations occurred from mid-August to October 2025 after several private operators exhausted their import quotas under the revised import rules. Under the current policy, Pertamina holds exclusive rights to import fuel into Indonesia, requiring private retailers such as Shell, BP-AKR, and Vivo to procure base fuel through the state-owned company.
Several private operators have since reached agreements with Pertamina, including AKR, BP, and Vivo. Pertamina previously supplied 100,000 barrels of fuel to BP-AKR in the first phase of distribution. Yuliot confirmed that once the cargo arrives in Indonesia, Shell will collect the fuel and distribute it to its stations. The additional volume is projected to stabilize Shell’s supply through the end of 2025, pending the next allocation of import quotas.
Pertamina has also delivered a similar volume of 100,000 barrels to Vivo. Earlier, Vivo—operated by Vitol Asia Pte Ltd—had canceled 40,000 barrels from a 100,000-barrel shipment after laboratory testing detected 3.5% ethanol content in the cargo. Private retailers have previously negotiated conditions for purchasing base fuel from Pertamina, including requirements for unblended fuel without additives or dyes, independent laboratory testing, and transparent pricing formulas.
The government confirmed that the recent purchase agreements follow instructions from Minister of Energy and Mineral Resources Bahlil Lahadalia, who directed Pertamina to assist private operators that had run out of fuel import quotas. Meanwhile, ExxonMobil has not submitted a purchase request, as the company still has sufficient stock.
With the latest procurement, Shell joins several private operators that have resumed supply arrangements through Pertamina, signaling a coordinated response to stabilize fuel availability at private stations nationwide.