Eni’s deepwater exploration success in recent years has been an important contributor to anticipated 2026–2027 rig demand, progressing as expected and expanding further scope following the Geliga-1 discovery in Indonesia.

Following last month’s FID on its Kutei Basin discoveries — which already supported demand for 2 rigs on multiyear term — Eni’s subsequent Geliga-1 discovery added 5 TCF of gas and 300 MMbbl of condensate in-place, comparable to the 2023 Geng North find. The discovery supports a potential third production hub that could in-part leverage existing Bontang LNG capacity, though older units would require reactivation.

7G drillship Deep Value Driller, having just drilled Geliga-1, is already on location and a logical candidate for one of the two demanded rigs. Saipem held a purchase option on the vessel at $300mm but offered only $275mm, allowing Eldorado to acquire it at the full $300mm in a surprise transaction. With debt financing needed to complete the Eldorado’s purchase, securing a contract takes priority over maximizing dayrate, likely pressuring any awarded dayrate.

Eni’s balance sheet is smaller than its IOC peers, requiring creative financing for its Indonesia program. The company has structured a JV with Petronas, to be named ‘Searah’, in which Petronas contributes existing cash-flowing assets, allowing the venture to be substantially self-funding, with Eni’s discoveries effectively serving as the currency.

Eni’s Baleine Phase 3 in Côte d’Ivoire is a further 2027+ demand driver progressing as anticipated, with Saipem’s 7G Santorini — driller of Phases 1 and 2 — the likely candidate for an upcoming development award. Eni has also expanded its Côte d’Ivoire position with the Calao discovery, adding 1.4B boe in-place (gas and condensate) alongside the existing Baleine oil development.