Jakarta — Indonesia’s upstream oil and gas regulator SKK Migas expects Italy’s Eni to reach its final investment decision next month for the development of the Geng North and Gendalo-Gendang gas projects, its head Djoko Siswanto told reporters.
He said a new joint venture formed by Eni and Malaysian state energy firm Petroliam Nasional Bhd (Petronas) will manage the projects.
Eni did not immediately respond to a request for comment.
Djoko estimated that the investment value would reach $15 billion.
Indonesia gave the go-ahead for Eni to develop both Geng North and Gendalo-Gendang gas projects back in 2024, and expects both projects to serve as a model for future gas development.
Both projects are located offshore in Indonesia’s Kutei Basin, East Kalimantan province, within the Makassar Strait.
Indonesia has said that it expected the Geng North gas project to start production in late 2027.
Last year, Eni and Petronas signed an memorandum of understanding to create a joint venture to oversee some upstream assets in Indonesia and Malaysia, including Geng North and Gendalo-Gendang.
Reporting by Fransiska Nangoy, Ananda Teresia; Editing by David Stanway – Reuters
