Faced with developments in the Strait of Hormuz and many countries around the world facing difficulties in ensuring oil supply, about 1.2 million barrels of oil are lying motionless off the coast of Singapore.
The Arman 114 - a super oil tanker flying the Iranian flag seized by Indonesia since 2023 - is currently anchored near Batam, about 15 nautical miles from Singapore.
The amount of crude oil on this super ship is not enough to solve the energy demand of Southeast Asia's largest economy, but when world oil prices fluctuated around 100 USD/barrel, the value of the shipment on the Arman 114 ship increased sharply.
Indonesian authorities arrested Arman 114 nearly 3 years ago after discovering that this ship illegally transferred oil to another ship in the country's waters.
In July 2024, an Indonesian court convicted the captain of the Arman 114 ship of violating environmental protection regulations, sentenced him to 7 years in prison and ordered the confiscation of this oil tanker as well as confiscation of all the oil on board.
However, the captain of this super oil tanker disappeared before the final verdict was announced and has not been arrested to date.
After 2 unsuccessful auctions, the super ship and oil block are still anchored in Batam - a tourist island cum industrial park, about 1 hour by ferry from Singapore.
The first auction took place in December 2025 with a starting price of about 70 million USD but no participants.
The second auction in January 2026 also failed because interested parties could not meet the licensing requirements.
At that time, the offering price was much lower than the estimated value of the oil on the ship, because the oil had been idle for many years and could have deteriorated in quality.
If applying a similar price reduction according to the current price, the new starting price could be up to nearly 100 million USD.
Although 1.2 million barrels of oil is only enough to meet Indonesia's demand for less than a day, but in the context of high oil prices, the country's authorities may have more reason to reconsider the auction.
The Indonesian Attorney General's Office - the agency responsible for implementing the decision to confiscate and handle related legal procedures - has not yet responded to the request to comment on the fate of this crude oil block.
