The Upper Miocene–Pliocene Kampungbaru Formation crops out in the easternmost part of the Lower Kutai Basin, Indonesia. The sedimentological analysis of seven outcrops was carried out, and a total of twenty-five samples from these outcrops was analyzed for bulk geochemistry, organic petrography, and bulk and clay mineralogy to assess the effect of the climate and depositional environment on organic matter enrichment. The Kampungbaru Formation consists of interbedded sandstone, siltstone, claystone, and thick coal beds, which were classified into eleven lithofacies. Subsequently, seven facies associations were identified, namely the fluvial-dominated distributary channel, sheet-like sandstone, tide-influenced distributary channel, mouth bar, crevasse splay, delta plain, and delta front. The coal facies generally have a high amount of total organic carbon (TOC, 5.1–16.9; avg. 10.11 wt.%), and non-coal layers range from 0.03 to 4.22 wt.% (avg. 1.54 wt.%). The dominant maceral is vitrinite, while liptinite occurs only rarely in the samples. Organic matter is inferred to have originated from terrestrial plants growing in mangrove swamps. Identified clay minerals include varying proportions of kaolinite, illite, chlorite, and mixed layer illite/smectite (I/S). Kaolinite, which commonly constitutes up to 30% of the clay volume, indicates intensive chemical weathering during a warm and humid climate. In accordance with the Köppen climate classification, the paleoclimate during the deposition of the Kampungbaru Formation is classified as type Af, which is a tropical rainforest. Tropical climate was favorable for the growth of higher plants and deposition of organic matter under anoxic conditions and led to higher amounts of TOC in the Kampungbaru Formation.