Indonesia's Crude Oil Price Drops in October 2025

OPEC+ Supply Decision Impacts Global Oil Prices

The Indonesian government's recent decision sets the country's crude oil price (ICP) for October 2025 at US$ 63.62 per barrel, representing a significant decrease of US$ 3.19 per barrel from the previous month's US$ 66.81 per barrel. This change was formalized through the Minister of Energy and Mineral Resources' Decree No. 351.K/MG.01/MEM.M/2025 dated November 10, 2025.

The primary factors contributing to this price reduction include the OPEC+ agreement to increase oil supply by 137,000 barrels per day in November 2025. Additionally, the easing of geopolitical tensions in the Middle East following a ceasefire between Israel and Hamas has reduced market concerns about potential supply disruptions from the region. According to the Director General of Oil and Gas at the Ministry of Energy and Mineral Resources, Laode Sulaeman, these developments have collectively contributed to the downward pressure on global crude oil prices.

The OPEC report indicates that global crude oil production in September increased by 630,000 barrels per day compared to the previous month, reaching an average of 43.05 million barrels per day. This surge in production further supports the downward trend in oil prices observed during October 2025.