Eni and PETRONAS Form JV in Indonesia and Malaysia

Investment and Asset Management

Eni and PETRONAS have signed a binding agreement to form a joint venture, NewCo, with equal ownership. This new entity will manage 19 upstream assets, 14 in Indonesia and five in Malaysia. The companies plan to invest over USD 15 billion in NewCo over the next five years, focusing on developing at least eight new projects and drilling 15 exploration wells.

Production and Exploration Goals

NewCo aims to develop approximately 3 billion barrels of oil equivalent (boe) of discovered reserves and unlock an estimated 10 billion boe of unrisked exploration potential. The initial production base is over 300,000 boe per day, with plans to increase to more than 500,000 boe per day in the medium term.

Operational Strategy

The creation of NewCo will enable Eni to accelerate project development cycles, optimize capital allocation, and achieve operational synergies in exploration, production, and asset management. The focus will be on capturing growth from both mature producing fields and high-opportunity exploration areas.

Regulatory Approvals

Following the signing, Eni and PETRONAS will work to secure all required regulatory, governmental, and partner approvals in both Malaysia and Indonesia. The deal is expected to close in 2026, following all customary and governmental approvals. Throughout this process, Eni remains committed to transparent engagement with all stakeholders, including employees, host authorities, joint venture partners, and local communities.