BAKU, Azerbaijan, October 12. Italian energy company Eni has signed two binding agreements to sell 10% interests in selected Indonesian upstream assets to state-owned Pertamina and regional energy company Medco, the company said.
Under the first agreement, Eni will sell its 10% stakes in the East Sepinggan, North Ganal and Rapak production-sharing contracts (PSCs) to Pertamina, Indonesia's national energy company and largest oil and gas producer.
The assets include the producing Merakes and East Merakes gas fields, as well as the Geng North–Gehem gas discoveries, which are being developed under the North Hub gas project designated as a National Strategic Project.
Under the second agreement, Eni will transfer its 10% interests in the West Ganal, East Ganal, Ganal and Muara Bakau PSCs to Medco. These assets include the producing Jangkrik field, the Maha, Gendalo and Gandang gas projects being developed under the South Hub project, and the recently announced Geliga gas discovery.
The transactions follow the launch of Searah, a 50/50 joint venture established by Eni and Malaysia's Petronas in June 2026. The companies aim to create value from their complementary upstream portfolios and technical capabilities in Indonesia and Malaysia.
Recent exploration successes in Indonesia's Kutei Basin, including the Geng North and Geliga discoveries, have identified more than 10 trillion cubic feet of gas and 650 million barrels of condensate, according to Eni. The company said the discoveries, together with final investment decisions for the North Hub and South Hub projects announced in March, had generated significant value and attracted strong industry interest in the assets.
Completion of both transactions is subject to customary government and regulatory approvals.
Eni has operated in Indonesia since 2001, with activities spanning exploration, development and production. The company directly operates the Peri-Mahakam and Makassar Strait production-sharing contracts, as well as the recently awarded Sapukala block.
Searah's portfolio comprises 19 producing and development gas assets, including 14 in Indonesia and five in Malaysia. The joint venture currently produces approximately 350,000 barrels of oil equivalent per day and aims to increase sustainable production to more than 500,000 barrels of oil equivalent per day by 2028.
