SIUJK and Oil & Gas Licence in Indonesia

How to Apply for SIUJK and Oil & Gas Licence Indonesia?

  • InCorp Editorial Team
  • 12 August 2015
  • 3 minute reading time

Do you want to know more about SIUJK and SKT Migas Indonesia and how to apply for these particular licenses? Read more…

Indonesia is known as a country that rich in natural resources especially for the oil and gas resources. This condition triggers the increasing number in oil and gas activities either in domestic or abroad. For those companies who decide to invest or conduct the business in oil and gas industry, of course they are responsible for fulfilling the licence and other application requirements.

Basically, the regulations regarding to oil and gas business in Indonesia is arranged in the Minister of Energy and Mineral Resources No. 27 Year 2008 on Business Operations Support Oil and Gas. SKT Migas is the Oil and Gas listed certificate that given by the Directorate General of Oil and Gas to the business entity that has registered its business as the supporting oil and gas of the Directorate General of Oil and Gas.

SKT Migas (Indonesia Oil and Gas Regulatory Body) registration will be issued from the Ministry of Energy and Mineral Resources. SKT Migas will take one week time to be issued with the completely  prepared and accurate documents.

There will be the application procedure as the requirement of the SKT Migas, that is:

1. The company (applicant) applied for a petition to the General Director of Oil and Gas Up, the Director of Engineering and Oil and Gas Environment within the statement letter.

2. The appointed Migas party and the involved agency will conduct survey in the company’s location in order to conduct check and verification of enterprise data based on the filled petition of the company.

3. If the examination and verification results of the company data meet the requirements, then the Director General of Oil and Gas cq. Director of Engineering and the Environment will issue SKT Oil and Gas.

It is required to the companies both public and private companies that follow the government tenders as the supporting oil and gas companies. The validity period of SKT Migas is three years, starting from the issuance date.

The process of registration certificate issuance consist of three activities. First is request for application, the second one is the preparation of necessary documents at the application time, and the third is the process of issuance of SKT Migas certification. The company (applicant) have to provide and submit some documents.

These documents are the company’s data that need to be attached to the SKT application, which include:

a. labor including technical personnel in sufficient numbers;

b. have the required tools;

c. have a mastery of technology;

d. have sufficient working capital; and

e. performance (performance) of the Company.

Finally, if the applicant has already gotten the SKT, then the applicant can continue to the next step, which is managing the construction business service (SIUJK).

Related article: Licensing Procedures for Imports and Exports of Oil, Gas and Other Fuels in Indonesia

As one of leading market entry and business consulting firms in Indonesia, Cekindo has extensive experience in assisting foreign companies and entities in obtaining SIUJK and Oil & Gas License.
You may consult with us whenever you face issues with Oil & Gas license in Indonesia. Our wide range of services help make your business in Indonesia hassle-free.

Pandu Biasramadhan

Senior Consulting Manager at InCorp Indonesia

An expert for more than 10 years, Pandu Biasramadhan, has an extensive background in providing top-quality and comprehensive business solutions for enterprises in Indonesia and managing regional partnership channels across Southeast Asia.

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Disclaimer: The information is provided by PT. Cekindo Business International (“InCorp Indonesia/ we”) for general purpose only and we make no representations or warranties of any kind.

We do not act as an authorized government or non-government provider for official documents and services, which is issued by the Government of the Republic of Indonesia or its appointed officials.

We do not promote any official government document or services of the Government of the Republic of Indonesia, including but not limited to, business identifiers, health and welfare assistance programs and benefits, unclaimed tax rebate, electronic travel visa and authorization, passports in this website.

Frequent Asked Questions

As their names suggest, the main differences between the three business kinds in Indonesia lie in the businesses and the purpose of their incorporation. Local company owners (PT) must be Indonesian citizens, as even 1 percent of foreign ownership is not allowed. This type of company is not limited to entering any business field, and restrictions on incorporation are not so tight. On the contrary, a foreign-owned company (PT PMA) is open to international investors, but the maximal percentage of foreign shares differs in various business sectors. Contact InCorp to get the most updated information on the Negative Investment List. International investors tend to open representative offices as a first step to understanding the Indonesian market before setting up a limited liability company. This type is used for marketing and promotion activities and needs the right to sell directly and receive income.

There are three things business owners need to consider before setting up a business in Indonesia: the type of business entity, capital requirements, and regulations.

Indonesian regulations separate local companies from foreign companies. Generally, foreign-owned companies (PT PMA) have more limitations than their local counterparts (Local PT). However, to pursue more foreign direct investment in the country, the government has taken several bold initiatives to increase the ease of doing business and provide numerous attractive incentives for foreign investors.

Yes, this mainly applies to import and export businesses. Instead of establishing a company, you can use an under-name import service, an importer of record.

It should take between 30 to 45 days.