Eni announced a significant natural‑gas discovery in the Kutei Basin, 50 km east of East Kalimantan on Indonesia’s Borneo island. The find came from the Konta‑1 exploration well, which was drilled to a depth of 4,575 meters in 570 meters of water. The well is projected to produce up to 80 million standard cubic feet of gas per day, with preliminary estimates of 600 billion cubic feet initially in place and a potential upside beyond 1 trillion cubic feet.
The discovery strengthens Eni’s upstream presence in Southeast Asia and supports its “satellite model” strategy, which seeks to build a portfolio of high‑grade assets that can be fast‑tracked into production. The Konta‑1 find sits within the NewCo joint venture that Eni and Petronas are forming to manage 19 assets across Indonesia and Malaysia. NewCo plans to invest more than $15 billion over the next five years, with the transaction expected to close in 2026. The proximity of the discovery to existing infrastructure and other gas discoveries in the basin offers significant synergies and a clear path to development.
Eni’s CEO Claudio Descalzi highlighted the strategic value of the find, noting that the joint venture “will bring additional energy, infrastructure and employment to Indonesia and Malaysia, while delivering over 500,000 barrels of oil equivalent per day in the mid‑term.” The company’s focus on natural gas aligns with its goal of raising the share of gas in upstream production to 60 % by 2030, and the new field is expected to contribute to that target while providing a hedge against price volatility in the global gas market.
The discovery also dovetails with Eni’s broader investment in the Kutei Basin, where four additional wells are planned for 2026. The company’s fast‑track development approach—leveraging existing facilities and expertise—positions it to bring the field online more quickly than competitors, potentially accelerating cash flow generation and supporting the company’s long‑term growth strategy.
Market data from December 9 shows a modest 0.2 % rise in Eni’s share price to EUR 16.10, reflecting investor interest in the new discovery and the broader joint‑venture strategy, though the movement is small and likely influenced by multiple factors.
The gas discovery represents a key milestone in Eni’s Southeast Asian expansion, reinforcing its commitment to high‑grade assets and a diversified upstream portfolio while positioning the company for future LNG and gas production growth.
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