Indonesia’s Minister of Energy and Mineral Resources announced that Italy-based energy company Eni plans to invest USD 10 billion (approximately IDR 150 trillion) in East Kalimantan, focusing on offshore natural gas production in the Makassar Strait’s Jangkrik and Merakes fields.
Eni, a Rome-based energy company founded in 1953, is one of Europe’s largest oil producers, operating in petroleum, natural gas, and petrochemicals across more than 70 countries. Specializing in the exploration, production, and development of onshore and offshore hydrocarbons, the company plans to invest approximately IDR 150 trillion in the region, with production expected to begin in 2027.
Global economic conditions remain sluggish, weighed down by political tensions stemming from conflicts in several regions, yet a European company’s decision to invest in Indonesia offers a positive boost that could help accelerate the region’s economic recovery.
The minister noted that global tensions are influencing economic and tariff disputes, including those initiated by the United States, and praised Prabowo’s success in reducing U.S.-imposed import tariffs from 32% to 19%.
The minister stated that Eni’s investment in the two nearby gas fields is expected to increase natural gas output to supply both domestic and export markets, stimulate regional economic growth, and create employment opportunities at local and national levels. He added that the government will also work to transfer part of the participating interest to East Kalimantan province to enhance its revenue share.
(Source: TEMPO)
