Neptune Energy recently announced that the Eni-operated Geng North-1, in the North Ganal PSC in Indonesian waters, is planned to start drilling in Q3 2023. The ultra deep-water well (around 2000 m), in the Kutei Basin, will target a large multi-TCF gas prospect, with standalone development potential in a success case. The well was originally planned to be drilled in late 2019/early 2020, but was delayed owing to the Covid-19 pandemic.
The East Kalimantan, 486 sq km North Ganal offshore block, awarded in 2011, is adjacent to the Ganal, West Ganal, Rapak and East Sepinggan blocks where there are significant gas fields.
In 2021, Eni and Neptune (with Pertamina) drilled a successful appraisal to the Maha gas field on West Ganal, in the mature Mahakam Delta within the Kutei Basin southwest of Geng North. The appraisal came 20 years after the discovery well. Eni drilled the well with partners Pertamina and Neptune Energy on the West Ganal block. Maha 2 recovered gas in deltaic clastics. The well tested 34 mmcfgd from 43 m net reservoir in Pliocene sands, and the development plan may utilise a subsea tie-back to the nearby Jangrik FPU.
Neptune Energy, backed by private equity global players Carlyle Group, CVC and CIC, entered this basin in 2019 as part of a multi-asset deal with Eni. Eni have been exploring and developing gas in the basin for decades, and the opportunity to revisit some of the early discoveries in the Ganal region has proven successful so far, with Maha expected to hold up to 600 bcf gas. Eni was awarded the North Ganal Block as operator in the 1st Indonesian International Bid Round 2011, with Niko Resources Ltd., Black Platinum Energy Ltd, Statoil and GDF SUEZ. The current operating group consists of Eni, Neptune and Agra Energi.
