Indonesia considers Russia’s offer to buy oil 30% below market price

The Indonesian government and energy companies are examining the benefits and potential impacts after Indonesia received an offer from Russia to buy crude oil at 30% below the market price.

Indonesian Minister Sandiaga Uno said, “Russia has made an offer to Indonesia to buy oil at 30% below the market price.”

Indonesian President Joko Widodo is considering such an offer, but many fear Indonesia could face U.S. sanctions if it accepts the Russian offer.

Some Indonesian lawmakers have called on the government to buy cheap oil from Russia.

Rising crude oil prices and growing demand for oil are expected to force the government to increase subsidies.

On the other hand, PT Kilang Pertamina International, an Indonesian energy company, is also considering the proposal. This includes the risks the company could face if it buys Russian oil.

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