INPEX CORPORATION (INPEX) announced that the Abadi LNG Project (hereinafter “project”) in the Masela Block in Indonesia has commenced Front End Engineering and Design (FEED) work for the project’s onshore LNG plant (OLNG) by awarding an OLNG contract package. This follows the project’s earlier FEED package awards* for floating production, storage and offloading (FPSO); subsea umbilicals, risers and flowlines (SURF); and the gas export pipeline (GEP). Consequently, the project has completed the awarding of all four FEED packages. The project is operated by INPEX Masela, Ltd., an INPEX subsidiary.

* Abadi LNG Project in Masela Block, Indonesia Commences FEED

The FEED work involves reviewing and defining the specifications of OLNG. The OLNG contract package consists of a “dual FEED” method involving two contractor consortiums that will work in parallel but separately to ensure a competitive environment is maintained. One consortium consists of PT JGC Indonesia (lead contractor) and PT Technip Engineering Indonesia, while the other consists of PT KBR Indonesia (lead contractor), Samsung E&A, Co. Ltd. and PT Adhi Karya (Persero) Tbk. In this method, FEED work and Engineering, Procurement and Construction (EPC) work will be awarded to the same contractor consortium, effectively assigning EPC work to the contractor consortium that delivers technically and commercially superior FEED services. The FEED work includes a scope related to carbon capture and storage (CCS).

The project’s annual LNG production volume is expected to reach 9.5 million tons, equivalent to more than 10 percent of Japan’s annual LNG imports. The project is expected to contribute to improving energy security in Indonesia, Japan and other Asian countries and generate a stable supply of low-carbon energy over the long term, based on its world-leading gas field properties and plentiful reserves enabling efficient development as well as the project’s CCS component.

INPEX expects the FEED work to contribute to the expansion of its natural gas and LNG business, and reduction of its own GHG emissions as outlined in INPEX Vision 2035 announced in February 2025. In addition, the project is expected to contribute significantly to the economic development of the eastern part of Indonesia in particular and help achieve Indonesia’s goal of reaching net zero CO2 emissions by 2060. INPEX is also committed to further strengthening its business in Indonesia and will continue to actively engage in this effort.

About the Abadi LNG Project

Term of PSC(1): Until November 15, 2055
Contract area: Approximately 2,503 square kilometers
Water depth: 400~800 meters
Block location: 170~180 km Southwest of Tanimbar Islands Regency
Production capacity:
Total natural gas output of 10.5 million tons per year (LNG equivalent) including:
   -Approximately 9.5 million tons of LNG per year
   -Local gas supply via pipeline
Up to approximately 35,000 barrels of condensate per day
Participating interest:
   -INPEX Masela Ltd.: 65% (operator)
   -PT Pertamina Hulu Energi Masela: 20%
   -PETRONAS Masela Sdn. Bhd.: 15%
Other:
Listed by the Indonesian government as a national strategic project in June 2017 and as a priority infrastructure project in September 2017.

(1) Production sharing contract

About INPEX

INPEX is Japan’s largest exploration and production (E&P) company, engaged in the development and operation of oil and gas projects worldwide. We are committed to contributing to a brighter future by delivering energy in a sustainable way. As part of this commitment, we are also engaging in lower-carbon solutions such as CCS, hydrogen and integrated power supply, while pursuing new opportunities in the evolving energy landscape.