The Kuwait Foreign Petroleum Exploration Company (KUFPEC) has received official approval to proceed with the development of the Anambas gas block in Indonesia, with plans to expand its footprint in the country, officials confirmed Thursday.
According to Indonesia’s upstream oil and gas regulator SKK Migas, KUFPEC will invest approximately $1.54 billion to develop the block, aiming to produce 55 million standard cubic feet of gas per day, with an estimated total sales volume of 185 billion cubic feet.
KUFPEC aims to reach a final investment decision (FID) by early 2026, with gas production expected to commence in 2028, said country manager Sara Al-Baker.
“Indonesia is a strategic location for our global expansion,” noted KUFPEC CEO Eisa Al-Maraghi. “We are working with local partners to explore further asset acquisitions,” he added, without disclosing specifics.
The Anambas development will involve the installation of subsea pipelines connecting the field to existing infrastructure within the West Natuna Transportation System. Gas produced from the project will supply both domestic and regional markets.
This marks KUFPEC’s second project in the gas-rich Natuna Sea. The company already holds a 33% stake in Natuna Block A, which supplies gas to Singapore.
KUFPEC has been actively increasing its presence in Indonesia. It is part of two consortia awarded exploration rights in the Melati and Amanah blocks last year. Additionally, the company has completed a joint study of the Natuna D-Alpha block—one of the world’s largest untapped gas reserves, though challenged by high CO₂ content—and is currently evaluating the results.
Once a member of OPEC, Indonesia is now a net oil importer due to aging infrastructure and underinvestment. President Prabowo Subianto’s administration is focused on revitalizing the sector and reducing dependency on energy imports.