Indonesia's national oil and gas producer PT Pertamina has announced that it has reached an agreement with Talisman Energy to work together to increase the output of the country's old wells using enhanced oil recovery technology (EOR).

Under the deal, it is hoped that the current 15 per cent annual decline being seen in the productivity of the country's wells could be cut to just seven per cent, thereby offering increased protection against soaring global oil costs.

According to Pertamina's vice president, Lin Arifin Takhyan, the agreement will also see Indonesia develop its EOR technological capabilities, with Talisman to offer ongoing training for state employees over the next few years.

Among the more common EOR technology techniques currently being used across the world is the pumping of carbon dioxide into wells in a bid to flush out more reserves, while chemicals are used to scrub oil from rocks, with shifting pressures and reserve movements tracked using 4D seismic scanning systems.