Medco Energi Acquires 10% Stake in Four Indonesian Oil and Gas Blocks
Indonesian energy firm PT Medco Energi Internasional has agreed to acquire a 10% participating interest in four oil and gas blocks in the Kutai Basin of East Kalimantan from Italian energy company Eni.
The agreement, announced on Monday, covers the Muara Bakau, Ganal, West Ganal and East Ganal blocks, which are operated by Searah, a joint venture established by Eni and Malaysia’s Petroliam Nasional Bhd (PETRONAS).
The acquisition includes assets across production, development and exploration activities. Among them is the recently announced Geliga gas field, which is estimated to contain five trillion cubic feet of gas and 300 million barrels of condensate.
Medco Energi Chief Executive Officer Ronald Gunawan said the transaction would strengthen the company’s existing portfolio in Indonesia and expand its participation in an established liquefied natural gas (LNG) value chain.
In a separate development, Pertamina Hulu Energi, the upstream subsidiary of Indonesia’s state-owned energy company Pertamina, also announced an agreement with Eni in October to acquire interests in three oil and gas blocks in East Kalimantan.
Under the deal, Pertamina Hulu Energi will hold a 10% participating interest in the North Ganal and Rapak blocks, alongside a combined 25% interest in the East Sepinggan block.
The transactions highlight continued investment and partnerships in Indonesia’s oil and gas sector, particularly in exploration and the development of natural gas resources.
