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Shell, BP gas stations run dry in Indonesia on import curbs

Eddie Spence / Bloomberg
Eddie Spence / Bloomberg • 1 min read
Shell, BP gas stations run dry in Indonesia on import curbs
While the country does produce some crude from local fields, it is a net oil importer. Photo: Bloomberg
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Shell- and BP-branded gas stations in Indonesia have run low on fuel as supplies are curbed by import restrictions.

The three brands of gasoline sold by Shell in the country are unavailable at some locations until further notice, according to a statement on its website. The company is coordinating with Indonesia’s Energy Ministry to ensure fuel availability, it said.

Imports of oil products into the Southeast Asian nation are regulated by government quotas. While the country does produce some crude from local fields, it is a net oil importer, and a lack of refining capacity means that some petroleum products are shipped in from overseas.

Energy Minister Bahlil Lahadalia said private companies had requested larger quotas, Kompas reported, citing an interview. He encouraged them to purchase supplies from state-owned PT Pertamina, which dominates the gasoline retail sector in Indonesia, according to the report.

BP-branded stations are also facing shortages of some products, the Jakarta Post reported, citing an executive from PT Aneka Petroindo Raya, which operates them.

Earlier this year, Shell agreed to sell its Indonesian gas stations and associated fuel distribution operations to a joint venture between Philippines-based Citadel Pacificand Sefas Group.

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