Eni and PETRONAS announce joint venture project to create a major player in Southeast Asia

Eni and PETRONAS partner to create a joint venture in the energy sector, combining their assets in Indonesia and Malaysia to form a strategic player with reserves estimated at 3 billion barrels of oil equivalent.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

Italian energy giant Eni and Malaysian national oil company PETRONAS announced on February 28, 2025, that they are in discussions to form a new joint venture aimed at merging certain assets in Southeast Asia. This partnership is expected to allow the future entity to become a major player in the region, with reserves estimated at 3 billion barrels of oil equivalent (boe) and a production target of 500,000 barrels of oil equivalent per day (boed) in the medium term.

The exact composition of the assets included in the joint venture has not yet been specified. However, according to Wood Mackenzie, it is anticipated that the company will combine production and exploration assets primarily from Indonesia, including Eni’s substantial stakes in the Kutei Basin. PETRONAS will also contribute by adding assets from its Malaysian portfolio, including its share in the Abadi LNG project and the SK316 block in Sarawak, one of its key producing assets.

A strategic partnership for a regional player

Andrew Harwood, Vice President of Asia-Pacific Research at Wood Mackenzie, highlighted that this partnership goes beyond industry expectations, with innovative scope and considerable potential. According to him, the joint venture will benefit from Eni’s cutting-edge exploration capabilities and PETRONAS’s strong regional presence, thus creating a powerful player in Southeast Asia. This new entity would be well-positioned to undertake gas supply and infrastructure projects while pursuing high-impact exploration opportunities in the region.

For Eni, this move fits into a series of similar successes in other regions, such as Angola (Azule Energy, in partnership with BP), Norway (Var Energi), and the United Kingdom (Ithaca). These previous joint ventures have allowed Eni to monetise non-strategic assets, but the current approach appears different due to the growth potential that Indonesia represents in the company’s global portfolio. By the early 2030s, Indonesia could become one of the largest producers for Eni.

Challenges and prospects for Southeast Asia

The primary reasons for this initiative lie in the management of capital commitments, unlocking new growth opportunities, and expanding strategic relationships. According to Harwood, this joint venture could be the necessary catalyst to unlock the untapped potential of the region, whose resources remain largely underdeveloped. As a capable and well-financed operator, this new entity could play a key role in the development of energy infrastructure and the exploration of new resources in Southeast Asia.

Maersk and CATL have signed a strategic memorandum of understanding to strengthen global logistics cooperation and develop large-scale electrification solutions across the supply chain.
ABB made several attempts to acquire Legrand, but the French government opposed the deal, citing strategic concerns linked to data centres.
Aramco becomes Petro Rabigh's majority shareholder after purchasing a 22.5% stake from Sumitomo, consolidating its downstream strategy and supporting the industrial transformation of the Saudi petrochemical complex.
Chevron India expands its capabilities with a 312,000 sq. ft. engineering centre in Bengaluru, designed to support its global operations through artificial intelligence and local technical expertise.
Amid rising energy costs and a surge in cheap imports, Ineos announces a 20% workforce reduction at its Hull acetyls site and urges urgent action against foreign competition.
Driven by growing demand for strategic metals, mining mergers and acquisitions in Africa are accelerating, consolidating local players while exposing them to a more complex legal and regulatory environment.
Ares Management has acquired a 49% stake in ten energy assets held by EDP Renováveis in the United States, with an enterprise value estimated at $2.9bn.
Ameresco secured a $197mn contract with the U.S. Naval Research Laboratory to upgrade its energy systems across two strategic sites, with projected savings of $362mn over 21 years.
Enerflex Ltd. announced it will release its financial results for Q3 2025 before markets open on November 6, alongside a conference call for investors and analysts.
Veolia and TotalEnergies formalise a strategic partnership focused on water management, methane emission reduction and industrial waste recovery, without direct financial transaction.
North Atlantic and ExxonMobil have signed an agreement for the sale of ExxonMobil’s stake in Esso S.A.F., a transaction subject to regulatory approvals and financing agreements to be finalised by the end of 2025.
The Canadian pension fund takes a strategic minority stake in AlphaGen, a 11 GW U.S. power portfolio, to address rising electricity demand from data centres and artificial intelligence.
Minnesota’s public regulator has approved the $6.2bn acquisition of energy group Allete by BlackRock and the Canada Pension Plan, following adjustments aimed at addressing rate concerns.
The Swiss chemical group faces two new lawsuits filed in Germany, bringing the total compensation claims from oil and chemical companies to over €3.5bn ($3.7bn) in the ethylene collusion case.
Statkraft continues its strategic shift by selling its district heating unit to Patrizia SE and Nordic Infrastructure AG for NOK3.6bn ($331mn). The deal will free up capital for hydropower, wind, solar and battery investments.
Petronas Gas restructures its operations by transferring regulated and non-regulated segments into separate subsidiaries, following government approval to improve transparency and optimise the group’s investment management.
Marubeni Corporation has formed a power trading unit in joint venture with UK-based SmartestEnergy, targeting expansion in Japan’s fast-changing deregulated market.
Exxon Mobil plans to reduce its Singapore workforce by 10% to 15% by 2027 and relocate its offices to the Jurong industrial site, as part of a strategic investment shift.
Phoenix Energy raised $54.08mn through a preferred stock offering now listed as PHXE.P on NYSE American, with an initial dividend scheduled for mid-October.
TotalEnergies plans to increase its energy production by 4% annually until 2030, while reducing global investments by $7.5bn amid what it describes as an uncertain economic environment.

All the latest energy news, all the time

Annual subscription

8.25€/month*

*billed annually at 99€/year for the first year then 149,00€/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2€/month*
then 14.90€ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.