Italian energy firm Eni has signed agreements with Pertamina and Medco to sell stakes in upstream assets in Indonesia.
Eni announced the sale of the assets, operated by its 50/50 joint venture with Petronas Searah, in a statement on Monday, without revealing the pricing details.
Under the first agreement, Eni will sell its 10 percent interest in the East Sepinggan, North Ganal, and Rapak PSCs to Pertamina, Indonesia’s national energy company and the country’s largest oil and gas producer.
These assets include the producing Merakes and East Merakes gas fields, as well as Geng North–Gehem gas discoveries, which are currently being developed through the North Hub gas project, designated as a national strategic project.
Moreover, Eni will sell its 10 percent interest in the West Ganal, East Ganal, Ganal and Muara Bakau PSCs to Medco, a Southeast Asian energy and natural resources company.
These assets include the producing Jangkrik field; the Maha, Gendalo, and Gandang gas projects being executed as part of the South Hub project; and the recently announced Geliga gas discovery.
Eni noted that the transactions follow the recent start-up of Searah and reflect the “strong value growth” that Eni has generated across the Kutei Basin in recent years through its exploration and development capabilities.
Recent exploration successes at Geng North and Geliga have identified more than 10 Tcf of gas and 650 million barrels of condensate.
Together with the final investment decisions announced last March for the North Hub and South Hub projects, these results have created “significant value for Eni and attracted strong industry interest in the assets.”
Eni added that completion of both transactions is subject to customary governmental and regulatory approvals.