Squire Patton Boggs has advised PT Pertamina Hulu Energi (PHE), the upstream subholding of Indonesia’s national energy company Pertamina, on the signing of an agreement to acquire Eni’s participating interests in three offshore oil and gas blocks in East Kalimantan, Indonesia.
Under the agreement, Pertamina will acquire a 10% participating interest in each of the North Ganal and Rapak blocks and increase its interest in the East Sepinggan block from 15% to 25%.
The transaction involves significant producing and development-stage gas assets and will strengthen Pertamina’s participation in the Kutei North Hub Project, a designated National Strategic Project. It will also support Indonesia’s long-term energy security objectives and the development of its domestic gas resources and LNG infrastructure.
The transaction forms part of a wider sale process involving Eni’s interests in seven upstream blocks in East Kalimantan, with separate agreements signed with Pertamina and Medco Energi. The assets have attracted considerable international interest given their substantial gas resources, development potential and proximity to established LNG infrastructure.
The Squire Patton Boggs team was led by Singapore-based partner Lian Yok Tan, with support from partner Ruaridh Guy, of counsel Aigul Aitzhanova, and associates Benjamin Myburgh, Domenico Rotondo, Thulasy Packianathan, Aigerim Assil, Amanda Tey, Alyssa Davies, Kyle Forbes, Olivia Canessa Davies, Thijs van der Vegt and Angel Manzano Del Cerro.
Lian commented: “We are delighted to have supported Pertamina on this important strategic acquisition. With energy security increasingly at the forefront of national priorities, investments in high-quality gas assets are becoming ever more significant. This has been a complex and demanding transaction, and it has been a privilege to work closely with Pertamina’s in-house legal and commercial teams throughout the process. We look forward to continuing to support Pertamina as it advances its upstream investment strategy.”
Completion of the transaction is subject to applicable approvals and other closing conditions.
