To Accelerate Natural Gas Connectivity in Sumatra, the Directorate General of Oil and Gas Inaugurates the Delivery of the First Pipe for the Dusem Gas Transmission Project
GAS INDUSTRY NEWS
Migas ESDM Editorial Team
2/19/2026
The government, through the Directorate General of Oil and Gas (Ditjen Migas) of the Ministry of Energy and Mineral Resources (ESDM), remains committed to optimizing natural gas utilization to ensure energy security by accelerating the construction of the Dumai-Sei Mangkei (Dusem) Natural Gas Transmission Pipeline infrastructure. This gas pipeline construction is a National Strategic Project (PSN) aimed at integrating natural gas infrastructure across North Sumatra and Riau.
Director General of Oil and Gas, Laode Sulaeman, while opening the inaugural pipe delivery ceremony for the Dusem Gas Transmission Pipeline Construction Project at the PT Krakatau Pipe Industries (KPI) factory in Cilegon, Banten, on Thursday (February 19th), stated that the Dusem gas transmission pipeline construction is a manifestation of the government's policy of energy diversification and accelerating domestic natural gas utilization.
"The government is continuing its efforts to develop natural gas transmission pipeline infrastructure to ensure easier gas access across several regions in Indonesia. The construction of this natural gas transmission pipeline aims to provide energy access to the industrial, commercial, and public sectors," Laode explained.
The Dusem gas transmission pipeline project, totaling approximately 541.8 km, is divided into two main segments. Segment 1, from Belawan SKG to Labuhan Batu Station, spans 279.8 km, with the implementing contractor being PT Wijaya Karya (Persero) Tbk and PT Nindya Karya, with a contract value of IDR 3.6 trillion. Segment 2, from Labuhan Batu Station to Duri Facility, spans 262 km, with the implementing contractor being PT Remaja Bangun Kencana Kontraktor, PT Brantas Abipraya (Persero), PT Sumber Bangun Sentosa, and PT Singgar Mulia, with a contract value of IDR 2.8 trillion.
Based on project report data up to the 8th week, the implementation of the work shows very positive achievements and is above the set target, realization in EPC Segment 1 has reached 12.447% of the initial plan of 7.638%, while EPC Segment 2 has reached 12.061% of the initial plan of 10.295%. The pipes used in this project are also domestically produced, with a Domestic Component Level (TKDN) EPC commitment target of 60.9% for Segment 1 and 62.49% for Segment 2.
This accelerated physical progress is supported by smooth material distribution. Shipments of Batch 1 for Segment 1 began on February 14, 2026, totaling 1,900 pipes by sea using barges. This will be followed by shipments of Batch 1 for Segment 2, totaling 130 pipes per day, by land using lowbed trailers, on February 23, 2026.
On the same occasion, PT Krakatau Pipe Industries Commercial Director Rony Yanuardi also expressed his gratitude to the Government, particularly the Directorate General of Oil and Gas, for their trust in PT Krakatau Pipe Industries to participate in the Dusem Gas Transmission Pipeline Construction project.
"It's an honor for us to be trusted again to participate in this project. We also participated in Phases 1 and 2 of the Cirebon-Semarang project before. This is a major project, and without a good relationship and cooperation with the contractor, the work would have been difficult. However, with good teamwork, it shouldn't be impossible for us to complete it smoothly. We are ready to support and participate. We will definitely not waste the opportunity the trust has placed in us," Rony concluded.
Laode also expressed his gratitude and appreciation to all the teams involved in ensuring the Dusem Gas Transmission Pipeline Construction Project can proceed according to the planned timeline.
"We certainly express our deepest gratitude to all levels of both Krakatau Steel and Krakatau Pipe Industries for the swift and measured steps that have resulted in what we are implementing remaining within the timeline. Then we also express our gratitude to KSO 1 and KSO 2 who have also carried out very compact cooperation with Krakatau Steel and Krakatau Pipe and our team so that the process of this pipeline can proceed, I see the timeline is still very appropriate," he concluded.
This project, with a total investment of IDR 6.5 trillion, is designed to have a design volume of 109.2 MMSCFD. Construction, which began in December 2025 and is targeted for completion in December 2027, is expected to integrate the gas transmission pipeline network across Sumatra Island, supporting downstream industry and providing clean energy for the community.
Laode hopes that the pipeline delivery and construction work will proceed smoothly and be completed on time, ultimately providing the widest possible benefits to the community.
The government, through the Directorate General of Oil and Gas (Ditjen Migas) of the Ministry of Energy and Mineral Resources (ESDM), remains committed to optimizing natural gas utilization to ensure energy security by accelerating the construction of the Dumai-Sei Mangkei (Dusem) Natural Gas Transmission Pipeline infrastructure. This gas pipeline construction is a National Strategic Project (PSN) aimed at integrating natural gas infrastructure across North Sumatra and Riau.
Director General of Oil and Gas, Laode Sulaeman, while opening the inaugural pipe delivery ceremony for the Dusem Gas Transmission Pipeline Construction Project at the PT Krakatau Pipe Industries (KPI) factory in Cilegon, Banten, on Thursday (February 19th), stated that the Dusem gas transmission pipeline construction is a manifestation of the government's policy of energy diversification and accelerating domestic natural gas utilization.
"The government is continuing its efforts to develop natural gas transmission pipeline infrastructure to ensure easier gas access across several regions in Indonesia. The construction of this natural gas transmission pipeline aims to provide energy access to the industrial, commercial, and public sectors," Laode explained.
The Dusem gas transmission pipeline project, totaling approximately 541.8 km, is divided into two main segments. Segment 1, from Belawan SKG to Labuhan Batu Station, spans 279.8 km, with the implementing contractor being PT Wijaya Karya (Persero) Tbk and PT Nindya Karya, with a contract value of IDR 3.6 trillion. Segment 2, from Labuhan Batu Station to Duri Facility, spans 262 km, with the implementing contractor being PT Remaja Bangun Kencana Kontraktor, PT Brantas Abipraya (Persero), PT Sumber Bangun Sentosa, and PT Singgar Mulia, with a contract value of IDR 2.8 trillion.
Based on project report data up to the 8th week, the implementation of the work shows very positive achievements and is above the set target, realization in EPC Segment 1 has reached 12.447% of the initial plan of 7.638%, while EPC Segment 2 has reached 12.061% of the initial plan of 10.295%. The pipes used in this project are also domestically produced, with a Domestic Component Level (TKDN) EPC commitment target of 60.9% for Segment 1 and 62.49% for Segment 2.
This accelerated physical progress is supported by smooth material distribution. Shipments of Batch 1 for Segment 1 began on February 14, 2026, totaling 1,900 pipes by sea using barges. This will be followed by shipments of Batch 1 for Segment 2, totaling 130 pipes per day, by land using lowbed trailers, on February 23, 2026.
On the same occasion, PT Krakatau Pipe Industries Commercial Director Rony Yanuardi also expressed his gratitude to the Government, particularly the Directorate General of Oil and Gas, for their trust in PT Krakatau Pipe Industries to participate in the Dusem Gas Transmission Pipeline Construction project.
"It's an honor for us to be trusted again to participate in this project. We also participated in Phases 1 and 2 of the Cirebon-Semarang project before. This is a major project, and without a good relationship and cooperation with the contractor, the work would have been difficult. However, with good teamwork, it shouldn't be impossible for us to complete it smoothly. We are ready to support and participate. We will definitely not waste the opportunity the trust has placed in us," Rony concluded.
Laode also expressed his gratitude and appreciation to all the teams involved in ensuring the Dusem Gas Transmission Pipeline Construction Project can proceed according to the planned timeline.
"We certainly express our deepest gratitude to all levels of both Krakatau Steel and Krakatau Pipe Industries for the swift and measured steps that have resulted in what we are implementing remaining within the timeline. Then we also express our gratitude to KSO 1 and KSO 2 who have also carried out very compact cooperation with Krakatau Steel and Krakatau Pipe and our team so that the process of this pipeline can proceed, I see the timeline is still very appropriate," he concluded.
This project, with a total investment of IDR 6.5 trillion, is designed to have a design volume of 109.2 MMSCFD. Construction, which began in December 2025 and is targeted for completion in December 2027, is expected to integrate the gas transmission pipeline network across Sumatra Island, supporting downstream industry and providing clean energy for the community.
Laode hopes that the pipeline delivery and construction work will proceed smoothly and be completed on time, ultimately providing the widest possible benefits to the community.
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