Eni Begins Gas Production at Merakes East Gas Field in Indonesia

Eni SpA E, the Italian energy giant, has announced the initiation of gas production from the Merakes East field in the East Sepinggan block, located offshore Indonesia in the Kutei Basin. The development marks a milestone in Eni’s strategy to strengthen its foothold in Southeast Asia's energy market, particularly in Indonesia’s growing gas sector.The Merakes East field, operated by Eni with an 85% stake, will add up to 100 million standard cubic feet per day (MMSCFD) of gas, equivalent to approximately 18,000 barrels of oil equivalent per day (boepd), to the company’s production. The project is situated in deep water, around 1,600 meters below sea level and 10 kilometers east of the existing Merakes field.E Advances Fast-track Development to Boost LNGIn line with Eni’s fast-track development strategy, Merakes East was brought online just two years after its final investment decision (FID). The field is tied back to the Jangkrik Floating Production Unit (FPU) via subsea connection. Following initial processing at the Jangkrik FPU, the gas is sent via pipeline to the Bontang liquefaction plant to supply the domestic market.This strategic integration enables Eni to optimize existing infrastructure while also supporting domestic energy needs and boosting LNG exports. The increased utilization of the Bontang LNG plant is expected to benefit significantly from the additional volumes coming online.Kutei Basin Expansion Anchors Eni’s Regional LeadershipMerakes East is part of a broader expansion plan by Eni in Indonesia, where the company has become the leading operator in the prolific Kutei Basin. It follows the development of the Maha field and the recent approval of Plans of Development for the Northern Hub and Gendalo-Gendang projects. Collectively, these developments position Eni to produce up to 2 billion cubic feet per day (BCFD) of gas and 90,000 barrels per day of condensates once all fields are online.The success of these projects is largely attributed to the strong collaboration between Eni and SKK Migas, Indonesia’s upstream regulator. The partnership aims to boost local content, maximize domestic energy supply, and enhance the efficiency of LNG production and export.In addition to expanding production, Eni is pursuing further growth in Southeast Asia through a proposed joint venture with Malaysia’s PETRONAS. The planned holding company would oversee select upstream assets in Indonesia and Malaysia, consolidating approximately 3 billion barrels of oil equivalent in reserves and an additional 10 billion boe of exploration upside. The move is part of Eni’s ambition to emerge as a major LNG player in the region.E Builds on Two Decades of Investment in IndonesiaHaving operated in Indonesia since 2001, Eni currently manages a broad portfolio of exploration, development and production assets. Its operations in East Kalimantan now produce about 700 MMSCFD of gas, and with Merakes East coming online, that number is set to rise significantly.The latest development underlines Eni’s long-term commitment to Indonesia and its role in supporting the country’s energy security while leveraging global LNG demand.E’s Zacks Rank & Key PicksE currently has a Zack Rank #5 (Strong Sell).Investors interested in the energy sector may look at some better-ranked stocks like Diversified Energy Company plc DEC, Comstock Resources, Inc. CRK and RPC Inc. RES, each carrying a Zacks Rank #2 (Buy) at present. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.Diversified Energy Company is an independent oil and natural gas producer in the United States. The company is primarily engaged in the production, transportation, and marketing of natural gas and natural gas liquids. The rising demand for natural gas as a cleaner-burning fuel and an uptick in the commodity’s prices are expected to positively impact DEC’s bottom line.Comstock Resources is a leading independent natural gas producer with core operations in the Haynesville and Bossier shale formations of North Louisiana and East Texas. The company benefits from direct access to Gulf Coast markets and the LNG corridor. It maintains one of the industry’s lowest operating cost structures and has significantly reduced its leverage. With over 1,600 high-return drilling locations offering more than 25 years of inventory, strong free cash flow supports Comstock’s growing financial strength.RPC derives strong and stable revenues via diverse oilfield services, which include pressure pumping, coiled tubing and rental tools. The company is strongly committed to returning value to shareholders through consistent dividends and share buybacks. RPC’s current dividend yield is higher than that of the composite stocks belonging to the industry. Its new Tier IV dual-fuel fleet has boosted profits, with plans for further expansion of high-efficiency equipment to enhance operational capabilities. Zacks' Research Chief Names "Stock Most Likely to Double"Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.This top pick is among the most innovative financial firms. With a fast-growing customer base (already 50+ million) and a diverse set of cutting edge solutions, this stock is poised for big gains. Of course, all our elite picks aren’t winners but this one could far surpass earlier Zacks’ Stocks Set to Double like Nano-X Imaging which shot up +129.6% in little more than 9 months.Free: See Our Top Stock And 4 Runners UpWant the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Comstock Resources, Inc. (CRK): Free Stock Analysis Report Eni SpA (E): Free Stock Analysis Report Diversified Energy Company PLC (DEC): Free Stock Analysis Report RPC, Inc. (RES): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks