BAKU, Azerbaijan, November 3. Eni and PETRONAS have signed a binding agreement to create a jointly owned company (NewCo) that will combine their upstream assets in Indonesia and Malaysia, Trend reports.
The signing took place at ADIPEC in Abu Dhabi, attended by Eni CEO Claudio Descalzi and PETRONAS President and Group CEO Tengku Muhammad Taufik.
NewCo will manage 19 assets - 14 in Indonesia and five in Malaysia - and operate as a financially independent entity. The partners plan to invest over $15 billion in the next five years to develop new projects, drill exploration wells, and expand production from an initial 300,000 barrels of oil equivalent per day (boe/d) to more than 500,000 boe/d.
Eni CEO Claudio Descalzi described the partnership as “a transformational moment,” emphasizing that combining assets and expertise will generate synergies and accelerate project delivery across the region.
The venture aligns with Eni’s satellite model strategy, following similar joint ventures in Norway, Angola, and the UK. The transaction is expected to close in 2026, pending regulatory approvals in both countries.