Indonesia's Energy and Mineral Resources Ministry and Italian energy group Eni have formalized their collaboration through the signing of a memorandum of understanding (MoU) aimed at expediting Indonesia's decarbonisation programs. The agreement encompasses the development of bio-feedstock for fuels, initiatives for energy transition, and exploration into potential carbon capture projects, according to an official statement released by the Indonesian ministry.
During the signing ceremony, Energy Minister Arifin Tasrif expressed optimism about the partnership, stating, “With this MoU, we hope that Eni can help with decarbonisation programs in Indonesia and strengthen the cooperation between Eni and Indonesia.”
In a separate statement, Eni disclosed that its Chief Executive, Claudio Descalzi, engaged in discussions with Indonesia's President Joko Widodo on the company's recent upstream discovery. Eni's notable gas find at Geng North-1, an exploration well drilled in the North Ganal off Indonesia, was announced last year.
Eni has been actively expanding its presence in Indonesia, having acquired the Indonesia Deepwater Development (IDD) assets from Chevron in July of the previous year. The company has recently concluded the acquisition of Neptune Energy, which holds strategic assets in the Asian country.
During the meeting on Friday, Eni's CEO presented development plans for the IDD assets and outlined the establishment of a new Geng North production hub in the East Kalimantan region. Eni highlighted that the proposed gas production hub in the northern Kutei basin, along with the extension of plateau facilities in the southern Kutei Basin, is poised to substantially increase Indonesia's gas production for both domestic consumption and export purposes.
With the discovery of the North Ganal gas block and the acquisition of the IDD project, Eni projects the potential to more than double its gas production in Indonesia. The collaborative efforts aim to contribute significantly to Indonesia's energy landscape and align with broader global decarbonisation initiatives.
