(Alliance News) - Eni Spa and Petronas announced on Monday the official formation of Searah, an independent joint venture 50% owned by each group. The move comes seven months after the signing of the investment agreement in November 2025 and 16 months following the memorandum of understanding inked in February of the same year.
The new entity consolidates the gas assets of both partners in Indonesia and Malaysia, featuring a portfolio of 19 production and development assets, 14 of which are located in Indonesia and five in Malaysia.
Searah commences operations with production exceeding 300,000 barrels of oil equivalent per day and aims to surpass the 500,000 boe/d threshold within the next three years.
The joint venture has secured all necessary regulatory, governmental, and partner approvals in both countries.
To support its growth strategy, a USD6 billion revolving credit facility has also been secured. Searah plans to invest over USD20 billion over the next five years to develop more than 3 billion boe of already discovered resources and to unlock further exploration potential estimated at several billion boe.
According to Eni and Petronas, the new integrated operating model will generate synergies, particularly in the logistics and technology sectors, while strengthening environmental and sustainability targets and fostering local economic development.
Eni shares are up 1.1% at EUR23.80 per share.
By Antonio Di Giorgio, Alliance News reporter
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