MedcoEnergi Sets Record Oil and Gas Output Target for 2026
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JAKARTA, Investortrust.id — PT Medco Energi Internasional Tbk or MEDC targets its highest oil and gas production on record in 2026 in Jakarta as the company strengthens its asset portfolio, boosts reserves, and expands renewable energy operations to support long term growth. The plan is aimed at sustaining production momentum while maintaining investor appeal amid volatile energy markets.
Chief executive officer Roberto Lorato said MedcoEnergi targets oil and gas production of 165 to 170 thousand barrels of oil equivalent per day in 2026. The guidance exceeds 2025 output of 156 thousand barrels of oil equivalent per day and remains within the company’s previously announced production range.
“As we enter 2026, we remain focused on creating sustainable value for stakeholders through growth, operational excellence, and disciplined capital management,” Lorato said on Wednesday, Jan 28, 2026.
Production performance in 2025 was supported by new projects at the B Natuna Block and a higher operating stake of 70% in the Corridor production sharing contract. Momentum strengthened in the fourth quarter of 2025, when output peaked at 178 thousand barrels of oil equivalent per day, averaging 176 thousand barrels of oil equivalent per day during the period.
Beyond upstream operations, MedcoEnergi’s power business also delivered solid growth. The company targets electricity sales of 4,550 gigawatt hours in 2026, with renewable energy contributing 24% of total sales.
In 2025, power subsidiary Medco Power recorded electricity sales of 4,371 gigawatt hours. Renewable energy sales rose 25%, driven mainly by new independent power producer projects in the Ijen area and East Bali.
MedcoEnergi’s upstream fundamentals were further strengthened by rising reserves and resources. Proven and probable reserves increased to 564 million barrels of oil equivalent at the end of 2025, up from 493 million barrels of oil equivalent a year earlier.
The increase lifted the company’s proven and probable reserve life index to 11.4 years from 10.4 years, enhancing long term production sustainability.
Contingent resources also posted a significant rise. MedcoEnergi’s 2C resources climbed to around 1 billion barrels of oil equivalent at the end of 2025, compared with 896 million barrels of oil equivalent in the previous year.
The stronger resource base underpins the company’s medium to long term production outlook, supporting both upstream expansion and energy transition investments.
From a shareholder perspective, MedcoEnergi delivered total shareholder returns of 27% in 2025. The company returned $110 million to shareholders through $80 million in dividends and $30 million in share buybacks.
Management said the combination of record production targets, growing reserves, and balanced capital returns positions MedcoEnergi to navigate commodity cycles while pursuing sustainable growth.