19/07/2026
Searah Begins Operations in Malaysia, Marking a New Chapter in Regional Energy Development
Searah Ltd, the 50:50 upstream joint venture between Malaysia's PETRONAS and Italy's global energy company Eni, has officially commenced operations in Malaysia, marking a significant milestone in Southeast Asia's oil and gas industry.
The launch of Searah represents a strategic collaboration between two internationally recognised energy companies, combining PETRONAS' extensive experience in Malaysia with Eni's global expertise in exploration and production. The new company has been established to unlock greater value from upstream assets while driving long-term growth across Malaysia and Indonesia.
Effective 1 July, Searah (Malaysia) Sdn Bhd officially assumed operatorship of five upstream oil and gas assets previously managed by PETRONAS Carigali Sdn Bhd, following the successful completion of all regulatory and operational transfer requirements. This transition signals the beginning of Searah's role as an independent upstream operator in Malaysia.
Searah's regional portfolio currently consists of 19 producing and development assets, including five in Malaysia and 14 in Indonesia. Together, these assets provide an initial production capacity of approximately 300,000 barrels of oil equivalent per day (boepd). The company has set an ambitious target of increasing production to more than 500,000 boepd within the next three years, positioning Searah among the region's leading independent upstream energy companies.
To support its expansion, PETRONAS and Eni have previously announced plans to evaluate investments of up to US$20 billion (approximately RM81.4 billion) over the next five years. The venture is further strengthened by a US$6 billion credit facility, providing the financial flexibility required to accelerate exploration, field development, and production optimisation.
Beyond its existing production, Searah possesses a substantial resource base exceeding three billion barrels of oil equivalent in discovered reserves, together with significant exploration opportunities across Malaysia and Indonesia. These resources provide a strong platform for sustainable growth while supporting regional energy security for decades to come.
Searah (Malaysia) Chief Executive Officer Mohd Johan Ariff Mohd Supian emphasised that the company's immediate priority is to ensure the safe, reliable, and efficient operation of its newly acquired assets. At the same time, the company aims to create long-term value for stakeholders by improving operational excellence, investing in its workforce, and establishing a solid foundation for future expansion.
One of Searah's defining characteristics is its "satellite model" corporate structure. Under this model, the joint venture operates independently from its parent companies while continuing to benefit from their technical expertise and strategic support. This independence enables Searah to access external financing, make agile business decisions, and pursue its own investment and development strategies, allowing it to respond more effectively to evolving market opportunities.
The establishment of Searah reflects the shared vision of PETRONAS and Eni to strengthen their upstream presence in Southeast Asia through innovation, operational excellence, and strategic investment. As the company expands its production capacity and develops new energy resources, Searah is expected to play an increasingly important role in supporting regional energy demand, enhancing economic growth, and reinforcing Malaysia's position as a leading energy producer in Asia.
