Jakarta – Masela Block operator Inpex Masela Ltd, a subsidiary of Inpex Corporation, has officially received government approval to revise its Plan of Development (POD). With this approval, the Masela Block Abadi project can immediately resume its steps, focusing on implementing Carbon Capture Storage (CCS) technology.
Dwi Soetjipto, Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas), said that the second revision of POD I was approved on November 28. “The onstream target of the end of 2029 hopefully can still fill our long-term target,” he said in a written statement.
One of the main points of the revised Masela POD. He continued, focusing on the adoption of CCS technology. Soetjipto emphasised that the current investment of around USD 19.8 billion will also include the cost of carbon capture implementation.
Although this revision will increase investment, the government is committed to maintaining the project’s economics and ensuring that it will not impact the price of gas produced.
“From our side, we have to evaluate with the additional investment how we maintain the economics of the project while maintaining state revenues, and we are discussing what investments can be reduced,” Soetjipto said.
Abadi Field in the Masela Block is a deepwater gas field with the largest gas reserves in Indonesia. It is located about 160 kilometres off the coast of Yamdena Island in the Arafura Sea.
The project, which includes deepwater drilling, subsea facilities, FPSO, and an onshore LNG plant, is expected to produce 9.5 MMTPA (million metric tons per year) of LNG and 150 MMSCFD (million standard cubic feet per day) of pipeline gas. In addition, the Masela Abadi Field is expected to produce condensate production of 35,000 barrels/day. The development of this field also has the potential to create up to 10,000 jobs. (Hartatik)
