Medco Energy (MEDC) Profit Plunges 81% in First Half of 2025

PT Medco Energi Internasional Tbk (MEDC) reported revenues of US$1.14 billion in the first half of 2025.

This figure represents a decrease of approximately 2% year-on-year (YoY).

In line with the revenue decline, MEDC's net profit in the first half of 2025 plummeted by 81.5% (YoY) to US$37.19 million.

As reported by Katadata.co.id, the decrease in Medco Energi's profit was influenced by lower oil prices, a negative contribution from PT Amman Mineral Internasional Tbk (AMMN), and dry hole costs of US$8.9 million.

The average realized oil price fell by 14% from US$81 to US$70 per barrel. Meanwhile, the average realized gas price remained stable at around US$7 per mmbtu.

AMMN, in which MEDC holds a significant stake, reported an operating loss of US$31 million in the first half of 2025. The loss was attributed to delays in the commissioning of a new smelter and precious metal refining facilities.

Net sales for this copper and gold mining company also dropped by 88.2% (YoY).

In the first half of 2025, MEDC recorded capital expenditure of US$193 million, the majority of which was allocated to drilling activities in Oman's Block 60, project development in the South Natuna Sea Block B and Corridor, and the completion of the first phase of the Ijen Geothermal Power Plant (PLTP) and the East Bali Solar Power Plant (PLTS) project through Medco Power.