INPEX Masela Selects JGC for FEED Work on Indonesia’s Onshore LNG Plant and Offshore Facility

INPEX Masela Selects JGC for FEED Work on Indonesia’s Onshore LNG Plant and Offshore Facility

William Faulkner 27-Aug-2025

JGC and Technip Energies win FEED contract for Abadi LNG Project, boosting sustainable LNG development with CCS technology in Indonesia.

JGC Holdings Corporation has announced that a consortium made up of its subsidiary JGC Indonesia and the Indonesian subsidiaries of Technip Energies has been awarded a major contract by INPEX Masela Ltd. The agreement covers front-end engineering and design (FEED) services and EPC cost estimation for an onshore liquefied natural gas (OLNG) plant and a floating production, storage, and offloading (FPSO) facility. Both are part of the Abadi LNG Project, located in the Masela Block of the Arafura Sea, Indonesia.

INPEX Masela Ltd., the project client, is a joint venture between Japan’s INPEX Corporation and the Japan Organization for Metals and Energy Security (JOGMEC). The development seeks to unlock the vast reserves of the Abadi Gas Field to provide a reliable supply of clean energy for regional and international markets.

The contract scope includes FEED and EPC estimation for an OLNG plant with a design capacity of 9.5 million tons of LNG per year, divided between two production trains, each capable of producing 4.75 million tons annually. It also covers FEED and EPCI estimation for the FPSO facility, designed to process and store natural gas, separate condensate, and handle offloading operations. The OLNG plant will be constructed on Yamdena Island in Maluku Province, while the FPSO will be stationed approximately 170 to 180 kilometers southwest of the Tanimbar Islands in the same province.

While the contract value has not been disclosed, the project follows a lump-sum contract structure. Once operational, annual LNG output of 9.5 million tons would exceed 10 percent of Japan’s current LNG imports. INPEX plans to integrate carbon capture and storage (CCS) technology into the project, ensuring reduced emissions and contributing to long-term sustainability. The initiative is expected to improve energy security in Indonesia, Japan, and across Asia.

FEED activities will be divided into separate work packages covering the OLNG plant, the FPSO facility, subsea umbilicals, risers and flowlines (SURF), and the gas export pipeline (GEP). A dual FEED approach is being used for the OLNG and FPSO facilities, with competing contractors preparing parallel designs. The final choice will be based on technical quality and commercial competitiveness.

JGC’s extensive track record in LNG and FPSO projects was a decisive factor in securing the award. The company is currently engaged in several major LNG developments worldwide, including LNG Canada, the Ruwais LNG project in the UAE, and a nearshore FLNG project in Malaysia. It is also delivering FEED services for the Rovuma LNG project in Mozambique and the expansion of LNG Canada.

Shoji Yamada, President of JGC, emphasized the importance of the award, highlighting the project’s contribution to low-carbon energy solutions and Indonesia’s net-zero target for 2060. He also pointed out the positive impact on local economic growth and job creation. Marco Villa, Chief Business Officer of Technip Energies, noted that LNG is a key transitional fuel for energy security and stressed that the award reflects the consortium’s proven expertise and ability to deliver robust proposals to support INPEX’s investment decisions.

This award marks an important milestone for the Abadi LNG Project, which is positioned to become one of Asia’s most significant clean energy initiatives.

Tags:

Natural Gas

We use cookies to deliver the best possible experience on our website. To learn more, visit our Privacy Policy. By continuing to use this site or by closing this box, you consent to our use of cookies. More info.