New Regulation on the Management of Upstream Oil-and-Gas BMN

In an attempt to manage any Upstream Oil-and-Gas State Property (Barang Milik Negara Minyak dan Gas Bumi– “Oil-and-Gas BMN”) which originates from the implementation of upstream oil-and-gas cooperation contracts (“Cooperation Contracts”), as originally addressed under Regulation of the Minister No. 89/PMK.06/2019 (“Regulation 89/2019”),[1] the Minister of Finance (“Minister”) has now updated the Oil-and-Gas BMN framework through the issuance of Regulation No. 140/PMK.06/2020 on the Management of Upstream Oil-and-Gas State Property (“Regulation 140/2020”). In essence, Regulation 140/2020 sets out new arrangements and provisions for the management of Oil-and-Gas BMN. As a result, Regulation 89/2019 has now been repealed and replaced.[2]