Inpex officially begins initial design phase of Abadi Masela LNG Project

  • Published on 10/04/2025 GMT+7

  • Reading time 3 minutes

  • Author: Renold Rinaldi

  • Editor: Imanuddin Razak

The Abadi LNG Project management consortium consisting of Japanese Oil and Gas Explorer Inpex Masela, Ltd. (Inpex), State energy E&P Pertamina Hulu Energi Masela (PHE Masela), and Malaysian Petronas Masela Sdn. Bhd. (Petronas Masela) has officially begun the initial design phase of the project or Onshore LNG Front-End Engineering Design (OLNG-FEED). 

This initiation is a crucial progress in the development of one of the largest gas projects in Indonesia. As the main operator, INPEX holds a 65 percent participation in this project, followed by PHE Masela with 20 percent and Petronas Masela with 15 percent.

The OLNG-FEED phase will focus on the selection of liquefaction licensor technology and an efficient gas turbine system. These two components are important foundations in accelerating the entire initial engineering design (FEED) process and ensuring the project's readiness for the next stage.

"The results of this phase will be the technical and commercial basis for the implementation of advanced FEED, as well as ensuring the integration of advanced liquefaction technology to optimize project performance and reliability," Head of the Usptream Oil and Gas Regulatory Task Force (SKK Migas), Djoko Siswanto, said on Thursday, April 10, 2025.

He praised the initiation of FEED as a strong signal for the continuation of the development of the Abadi Field, which has been designated as one of the National Strategic Projects (PSN) because of its vital role in supporting national energy security.

"This stage is important to ensure the suitability of the technical design to commercial and environmental needs, as well as being the first step to accelerate the overall FEED schedule," Djoko said.

He added that this initiation stage is expected to be a solid foundation for the immediate agreement of the Gas Sales and Purchase Agreement (PJBG) and the making of the final investment decision or Final Investment Decision (FID) in 2026. This project is targeted to start operating (onstream) in 2030.

INPEX Corporation CEO, Takayuki Ueda, said that the FEED initiation is a significant achievement that shows the continuous progress of the Abadi Masela Project.

"This project will make a major contribution to strengthening Indonesia's national energy security," Ueda told a press conference on the Initiation ONLG FEED of the Abadi Masela Project at the Fairmont Hotel, Jakarta, on Wednesday, April 9, 2025.

INPEX is targeting the implementation of the full FEED stage in mid-2025, with the FID planned before entering the engineering, procurement, construction, and installation (EPCI) phase.

"We are committed to ensuring that this project runs on time according to the expectations of the Indonesian government," Ueda said.

The Abadi LNG project is designed to produce 9.5 million metric tons per annum (MMTPA) of liquefied natural gas, distribute 150 million standard cubic feet per day (MMSCFD) of pipeline gas for domestic needs, and produce up to 35,000 barrels per day (BCPD) of condensate.

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