Mubadala Energy, the Abu Dhabi-headquartered international energy company, on Thursday announced the award of the Southwest Andaman exploration Production Sharing Contract (PSC) under Indonesia's Gross Split scheme. The block was awarded by Direktorat Jenderal Minyak dan Gas Bumi (DG MIGAS) as part of the Second Bid Round 2025. Geologically, Southwest Andaman represents a natural continuation of the proven Bampo DHI play that underpinned the company's recent Andaman drilling successes, including the landmark Layaran-1 and Tangkulo-1 discoveries in South Andaman. Mubadala Energy will hold a 100 percent participating interest and will operate the block. Situated immediately adjacent to Mubadala Energy's existing Andaman acreage, the Southwest Andaman block is a strategic addition to the company's Andaman position alongside its South Andaman, Central Andaman, and Andaman II blocks. The award was the result of a rigorous technical and commercial journey that began with the identification of the Southwest Andaman opportunity in 2022. "This award marks another important chapter in our Andaman story and reflects the trust that the Indonesian government continues to place in Mubadala Energy as a long-term, committed partner," said Abdulla Bu Ali, President Director of Mubadala Energy Indonesia. "The award of the Southwest Andaman block is a testament to our team's technical conviction, expertise in deep water exploration, and growth mindset," said Mansoor Mohamed Al Hamed, Managing Director and Chief Executive Officer of Mubadala Energy. "As we advance our work programme, we look forward to collaborating with DG MIGAS, SKK Migas, and all our stakeholders to realise the full potential of this block for Indonesia's energy future and the communities we serve." The first exploration well at Southwest Andaman is expected to be drilled in the second exploration phase (years four to six). "We have an unrivalled understanding of the Andaman basin, and this award builds on our existing multi-TCF strategic discoveries at Layaran and Tangkulo and Timpan. Southwest Andaman is a strategically significant addition to our core Andaman area, and we are excited about the prospectivity it brings. We are fully committed to unlocking the region's vast gas potential in line with our growth strategy and to support Indonesia's energy security priorities."
