Eni’s newest discovery in Indonesia reinforces the Kutei Basin’s status as one of many hottest world exploration performs of current years.
That’s what Andrew Harwood, Wooden Mackenzie (WoodMac) Vice President, Company Analysis, stated in a press release despatched to Rigzone, including that the discover “will add to Indonesia’s gasoline sources when the nation more and more focuses on gasoline availability”.
“It supplies choices for Indonesia because the nation balances home demand wants with future export alternatives,” Harwood stated.
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Harwood famous that the Konta-1 discovery “provides momentum to Eni’s current plans to put money into and develop new gasoline sources for the at present underutilized Bontang LNG plant”.
“The Konta-1 discovery lies within the northern Muara Bakau space, near Eni’s pre-FID Kutei North Hub. It supplies future tie-back upside and presents Plan B for Eni if the un-appraised Geng North underperforms preliminary expectations,” he added.
Harwood additionally stated Eni’s newest discover encourages the corporate’s ongoing exploration marketing campaign, which he identified runs into 2026.
“Wooden Mackenzie’s choose of prospects in line for drilling is Geliga, which holds multi trillion cubic foot potential,” he acknowledged.
Harwood went on to notice that 2026 “seems thrilling for Eni’s Indonesian portfolio with a number of main milestones forward”.
“These embody exploration marketing campaign outcomes, a ultimate funding resolution on the Northern hub growth, and the launch of ‘NewCo’ – the strategic satellite tv for pc enterprise between Eni and Petronas,” he highlighted.
In a press release despatched to Rigzone not too long ago, Eni introduced a “important gasoline discovery” within the Konta-1 exploration effectively off the coast of East Kalimantan in Indonesia.
“Estimates point out 600 billion cubic toes of gasoline initially in place (GIIP) with a possible upside past one trillion cubic toes,” Eni stated within the assertion.
“Konta-1 was drilled to a depth of 4,575 meters [15,009 feet] in 570 meters [1,870 feet] water depth, encountering gasoline in 4 separate sandstone reservoirs of Miocene age with good petrophysical properties which have been topic to an intensive knowledge acquisition marketing campaign,” Eni stated within the assertion.
In a report despatched to Rigzone again in September by Natasha Kaneva, Head of International Commodities Technique at J.P. Morgan, analysts on the firm, together with Kaneva, stated “Indonesia’s deepwater manufacturing stays negligible right now” however added that the nation “is on the cusp of a serious transformation”.
“Important discoveries and revived growth plans are setting the stage for a brand new wave of offshore development, centered across the Kutei Basin in East Kalimantan,” the analysts acknowledged within the report.
“A key turning level got here in July 2023, when Eni acquired Neptune Power’s worldwide portfolio, together with its stakes in Indonesia and the North Ganal PSC,” the J.P. Morgan analysts identified.
“Just some months later, in October 2023, Eni introduced a serious discovery on the Geng North-1 exploration effectively, which encountered roughly 5 trillion cubic toes of gasoline and 400 million barrels of condensate in high-quality Miocene sandstone,” they stated.
“In response to the dimensions and high quality of the useful resource, Eni fast-tracked growth, securing Plan of Growth (POD) approval by August 2024. A ultimate funding resolution is predicted by the tip of 2025, with first manufacturing anticipated in late 2028,” they continued.
The J.P. Morgan analysts acknowledged in that report that, “since Geng North is a gas-condensate subject, liquids output will primarily come from condensate, contributing round 35,000 barrels per day”.
They added that, “in parallel, the Gendalo, Gehem, and Gandang fields – additionally positioned within the Kutei Basin – have gained renewed momentum”.
“Their joint POD was permitted on the identical day as Geng North’s, and so they kind a part of the bigger Northern Hub growth idea,” they stated.
“Below present plans, Gendalo and Gandang will probably be tied again to the present Jangkrik floating manufacturing unit (FPU), whereas the Gehem subject will probably be developed by way of the brand new Geng North FPSO,” they famous.
The J.P. Morgan analysts went on to state that, collectively, the Gendalo and Gehem initiatives “might add one other 20,000 barrels per day of condensate, pushing complete Indonesian deepwater liquids manufacturing previous 50,000 barrels per day by 2030”.
“Whereas modest in world phrases, this may mark a dramatic shift for Indonesia’s deepwater sector and set up a brand new basis for sustained offshore development. The success of those initiatives can even broaden deepwater growth potential throughout Southeast Asia,” the analysts added.
To contact the creator, e mail andreas.exarheas@rigzone.com
