The Japanese company Inpex is implementing a major liquefied natural gas (LNG) project, Abadi, at the Masela field in Indonesia. The total cost of the project exceeds $20 billion.

Production Capacity and Infrastructure

The project plans to produce 9.5 million tons of LNG annually, as well as supply 150 million cubic feet of pipeline gas per day to the Indonesian domestic market. To achieve these goals, a large floating facility for extraction, storage, and shipment will be used, along with a 180-kilometer offshore export gas pipeline and a two-train onshore gas liquefaction plant.

Project Implementation Progress

On July 16, a groundbreaking ceremony for the Abadi LNG project was held in Indonesia, marking the formal start of construction activities, though not the official launch of full-scale construction. The final investment decision for the project is expected in 2027. After that, major construction work is planned to begin, with production scheduled to start in the early 2030s. Currently, preparations for project implementation are ongoing, including site preparation work.

Current Status and Design Stages

At present, the Abadi project is in the stage of parallel front-end engineering design (FEED) for key packages. Two major contracts for design, procurement, construction, and installation are at the tender stage. As of early July, FEED work was 79.56% complete.

Project Significance and Partner Participation

The Abadi project is considered a key element for Indonesia's energy security and economic development. The project is being implemented by Inpex (65%), Pertamina Hulu Energi (20%), and Petronas (15%).

Contribution to Regional Development

During the EPC (engineering, procurement, and construction) phase, which is planned to start next year, the share of local workers should be at least 20%. The project promotes cooperation between the Indonesian government, stakeholders, and Inpex in strengthening national security and advancing sustainable development.