Oct. 20 (Bloomberg) -- Eni SpA, Italy's biggest energy company, may build a floating liquefied natural gas plant in Indonesia, the Southeast Asian nation's Energy Minister Purnomo Yusgiantoro said.

Eni plans to develop the Bukat area bordering Malaysia to supply the LNG plant, Purnomo told reporters without giving details of costs or financing. It has ``big'' oil and gas reserves, he said.

The block, 76 kilometers (47 miles) offshore East Kalimantan province, is near the Ambalat area that's claimed by Malaysia and Indonesia in a territorial dispute. The Indonesian government wants the gas to be developed as demand for the alternative fuel increases within the country and abroad because of higher crude prices.

Eni Chief Executive Officer Paolo Scaroni met Purnomo today, a company spokesman said without providing details. Eni asked for government ``support on security,'' Purnomo said. He declined to say how Indonesia plans to resolve the dispute with Malaysia.

Eni owns 66.25 percent of Bukat area while Anadarko Petroleum Corp. holds the rest, according to data from the energy ministry.

To contact the reporters on this story: Leony Aurora in Jakarta at laurora@bloomberg.net

Last Updated: October 20, 2008 07:18 EDT