Indonesia’s offshore energy sector just got a massive boost in its production potential. On 18th March 2026, Eni officially announced the Final Investment Decisions (FIDs) for two massive energy projects offshore Indonesia’s East Kalimantan, specifically the South Hub (Gendalo and Gandang fields) and the North Hub (Geng North and Gehem fields). These deepwater gas FIDS are designed to utilize existing infrastructure, such as the Jangkrik Floating Production Unit (FPU) and the Bontang liquefaction plant, to minimize costs and expedite market entry. This milestone highlights the strong collaboration between the Government of Indonesia, Eni and its co-venturers enabling the company to supply significant volumes of gas and LNG in support of long-term domestic and global energy security.
The North Hub development involves 16 producing wells in water depths reaching up to 2,000 meters, connected to a newly constructed FPSO with a storage capacity of 1.4 million barrels. Conversely, the South Hub will see seven wells drilled at depths between 1,000 and 1,800 meters, tied back to the Jangkrik FPU. Collectively, these projects represent nearly 10 trillion cubic feet (tcf) of gas initially in place (GIIP) and 550 million barrels of associated condensate. By 2029, Eni expects to reach a production plateau of 2 Billion Standard Cubic Feet per Day (bscfd) of gas and 90,000 bpd of condensate. This surge in output reinforces the importance of the deepwater gas FIDS for Indonesia’s long-term energy security.
Eni’s recent deepwater gas FIDS align with a broader industry trend of large-scale offshore investments, including Eni’s planned business combination with Petronas to create a company producing over 500 thousand barrels of oil equivalent per day by 2029.
Beyond Eni’s efforts, Indonesia’s offshore potential is further highlighted by the Abadi LNG Project in the Masela Block. Operated by INPEX Masela, Ltd., this massive project aims for a yearly LNG production of 9.5 million tons and started its Front End Engineering and Design (FEED) phase in August 2025.
Another significant offshore project is Tangguh LNG, which represents an integrated, unitized development comprising six gas fields situated across the Wiriagar, Berau, and Muturi Production Sharing Contracts (PSCs) in Bintuni Bay, Papua Barat.
Operations for these newest deepwater gas FIDS are slated to begin in 2028, which will work to strengthen Indonesia’s offshore energy sector and domestic energy security.
