Indonesia’s state-owned energy company Pertamina will sign a memorandum of understanding (MoU) with the National Iranian Oil Company (NIOC) in August. The MoU will allow Pertamina to evaluate and assess up to four Iranian oil blocks, which will be in line with the company’s strategic plan to boost its oil output by 2030 through new acquisitions abroad, Jakarta Globe reported.

According to the company’s Upstream Director, Syamsu Alam, Pertamina is considering the acquisition of a 100 % stake in the blocks and operating them, yet the agreement between Indonesia and Iran is still in its developing stage.

“We hope we can sign the MoU with the NIOC sometime in the middle of this month [August] so we can study two to four oil and gas blocks [in Iran],” added Pertamina President, Dwi Soetjipto.

A meeting was held early August between Iran’s Chamber of Commerce Industries Mines and Agriculture (ICCIMA), and the Indonesian Ambassador to Tehran, at which they discussed the expansion of bilateral trade ties between the two countries, according to MEHR News Agency.

ICCIMA highlighted the importance of Indonesia for Iranian traders as it is an OPEC state and called for improving trade volume of the two countries to more than $2b a year. An ICCIMA official said that “having in mind the capacities of Indonesia, as a big producer of oil in Southeast Asia, the ground for exporting technical and engineering services to Indonesia’s energy sector is promising.”