Eni will make final investment decision on Indonesia gas projects in the next month, says regulator

Djoko Siswanto, the head of Indonesia's upstream gas and oil regulator SKK Migas, told reporters that the Italian company?Eni is expected to make a final investment decision next month regarding the development projects for Geng North as well as Gendalo - Gendang.

He said that a new joint venture, formed by Eni with Malaysian state energy firm Petroliam Nasional Bhd(Petronas), will manage the project.

Eni did not respond immediately to a comment request.

Djoko estimated that the value of investment would reach $15 billion.

Indonesia has given Eni the green light to develop the Geng North gas project and Gendalo Gendang in 2024. Both projects are expected to be a template for future 'gas development.

The two projects are located in Indonesia's Kutei Basin (East Kalimantan Province) within the Makassar Strait.

Indonesia said that it expects the Geng North project to begin production in late 2027.

Eni and Petronas have signed a memorandum to establish a joint venture that will?oversee certain upstream assets in Indonesia and Malaysia including Geng North, Gendalo-Gendang and Gendalo-Gendang.

(source: Reuters)