A head of agreement (HoA) has been signed by INPEX Corporation (INPEX) with Indonesian authorities regarding a revised plan of development (PoD) for the Abadi LNG project in the Masela Block located in the Arafura Sea, Indonesia. The construction of onshore LNG plant, as well as gas pipeline and offshore facilities, are included in the revised plan of development of the project.
The HoA execution marks the Abadi LNG project, by international standards, as an economically competitive project. The proactive intervention of the Indonesian government is appreciated by INPEX.
INPEX will work closely with Shell to make the necessary preparations. According to Shell, in the development of the Abadi project, the HoA is a significant milestone. Moreover, for Indonesia, it is an important economic opportunity.
For the first time, INPEX operates a large-scale integrated LNG development project in Indonesia. Approximately 9.5 million tonnes of LNG per year is expected to be produced by this project. Significant contributions to Indonesia is provided by the project. In addition, it brings multiplier effects, particularly to the eastern region of Indonesia.
