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. The project is operated by INPEX Masela, Ltd., an INPEX subsidiary.

he FEED work involves reviewing and defining the specifications of the facilities that will produce and process hydrocarbons from the Abadi Gas Field, as well as the onshore LNG plant (OLNG). The FEED work will consist of four packages: OLNG; floating production, storage and offloading (FPSO); subsea umbilicals, risers and flowlines (SURF); and gas export pipeline (GEP). Each package includes a scope related to carbon capture and storage (CCS). INPEX has at this time awarded the FPSO, SURF and GEP contract packages.

The FPSO 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. 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. INPEX also plans to employ the dual FEED method for the OLNG contract package and will select the contractor and conclude the contract in due course.

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 Production sharing contract: Until November 15, 2055
   -Contract area Approximately: 2,503 square kilometers
   -Water depth: 400~800 meters
   -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.

About the FEED contracts

   -FPSO (dual FEED): Contractors:
    1. PT Technip Engineering Indonesia (lead contractor), PT Technip Indonesia, PT JGC Indonesia (consortium)
    2. PT Saipem Indonesia (lead contractor), PT Tripatra Engineers & Constructors, PT Tripatra Engineering, PT McDermott Indonesia (consortium) Scope of work: Reviewing and defining the specifications of offshore production facilities
Scope of work: Reviewing and defining the specifications of offshore production facilities
   -GEP:
Contractor: PT Worley SEA Indonesia
Scope of work: Reviewing and defining the specifications of GEP from FPSO to OLNG
   -SURF:
Contractor: PT Worley SEA Indonesia
Scope of work: Reviewing and defining the specifications of SURF

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.