Eni Announces ‘Significant’ Find Offshore Indonesia

Eni announced, in a statement sent to Rigzone recently, a “significant gas discovery” in the Konta-1 exploration well off the coast of East Kalimantan in Indonesia.

“Estimates indicate 600 billion cubic feet of gas initially in place (GIIP) with a potential upside beyond one trillion cubic feet,” Eni said in the statement.

The Konta-1 discovery is situated in the Muara Bakau PSC, Eni highlighted in the statement, pointing out that this is operated by the company with an 88.334 percent participating interest. Saka Energi holds the remaining 11.666 percent stake.

“Konta-1 was drilled to a depth of 4,575 meters [15,009 feet] in 570 meters [1,870 feet] water depth, encountering gas in four separate sandstone reservoirs of Miocene age with good petrophysical properties that have been subject to an extensive data acquisition campaign,” Eni said in the statement.

“A well production test (DST) has been successfully performed in one of the reservoirs and it flowed up to 31 million standard cubic feet per day of gas and approximately 700 barrels per day of condensate,” Eni added.

“Based on the DST results the well has an estimated potential for a multi-pool gas rate of up to 80 million standard cubic feet per day of gas and about 1,600 barrels per day of condensate,” it continued.

Eni noted in the statement that preliminary estimates indicate a discovered volume of 600 billion cubic feet of gas in place in the four reservoirs hit by the well trajectory.

“Additional reservoir segments in the Konta Prospect area, not penetrated by the well, but with similar gas signature, may bring the overall volumes beyond one trillion cubic feet GIIP,” it added.

Eni highlighted in the statement that the Konta discovery is sitting nearby existing facilities and adjacent to existing discoveries, “providing significant synergies for the development”. The company said options for a fast-track development are already under study.

“The discovery also provides additional confidence for the continuation of the planned exploration drilling campaign, which envisages the drilling of additional four wells in 2026 in the Kutei Basin,” Eni revealed.

“The discovery confirms the effectiveness of Eni’s near-field exploration strategy in the Kutei Basin, aimed at creating value through its deep knowledge of geological plays and the application of advanced geophysical technologies, while exploiting the synergies with existing projects and facilities,” it said.

In the statement, Eni noted that Muara Bakau is part of the 19 blocks that will be managed by an equally owned company established by Eni and Petronas.

This company “will combine complementary portfolios, technical and financial strengths, and regional expertise to deliver long-term value creation, operational excellence, and leadership in the energy transition across the Southeast Asia region, planning to invest in excess of $15 billion over the next five years,” Eni said in the statement.

“This investment will support the development of at least eight new projects and the drilling of 15 exploration wells, with the aim of developing approximately three billion barrels of oil equivalent of discovered reserves and unlock an estimated 10 billion barrels of oil equivalent of unrisked exploration potential,” it added, noting that “closing is expected within 2026”.

Eni highlighted in its statement that it has been operating in Indonesia since 2001 and said it “currently has a large portfolio of assets in exploration, development, and production phases with a current equity production of approximately 90,000 barrels of oil equivalent from the Jangkrik and Merakes fields in East Kalimantan”.

In a statement posted on its website on November 3, Eni announced a binding agreement between the company and Petronas “to establish an independent company (NewCo) under equal ownership, by combining their respective upstream assets in Indonesia and Malaysia”.

“The agreement follows the framework agreement signed by the two companies on 17 June 2025 and establishes a new entity that will manage 19 assets: 14 in Indonesia and five in Malaysia – representing significant enterprise value,” it added.

Eni CEO Claudio Descalzi said in this statement, “this is another significant step towards the new company that Eni and Petronas have agreed to create across Indonesia and Malaysia, generating synergy in terms of assets, expertise and financial capabilities, in a transformational model that further strengthens the huge potential of the two countries”.

“The new company will have a strong regional impact on gas production, bringing additional energy, infrastructures and employment for the benefit of both Indonesia and Malaysia,” he added.

“The new company will also have the opportunity to further build on an amazing, combined portfolio of more than 50 trillion cubic feet of additional, low risk exploration potential,” he continued.

In a statement posted on its website on November 3, Petronas announced that it and Eni, through their respective subsidiaries, signed an investment agreement to establish a regional upstream joint venture company.

“This milestone marks a major step forward for Petronas’ first venture into a satellite business model to accelerate upstream development in Malaysia and Indonesia,” Petronas said in that statement.

President and Group Chief Executive Officer of Petronas Tan Sri Tengku Muhammad Taufik said in this statement, “this historic partnership between Petronas and Eni is envisaged to set a new benchmark for more efficient, cost-effective and responsible upstream development”.

“Adopting this innovative and proven business model reinforces Petronas’ firm commitment to support national and regional energy aspirations, as it paves the way for us to deliver greater and more sustainable value to our customers, host nations, the greater upstream sector, as well as our stakeholders,” the Petronas President and Group CEO added.

To contact the author, email andreas.exarheas@rigzone.com