With an investment value of approximately 20.9 billion US dollars, the Abadi Masela LNG project is expected to have a capacity of 9.5 million tons of LNG per year, strengthening national energy security.

Jakarta (Indonesia Window) – Indonesia’s President Prabowo Subianto conducted the groundbreaking ceremony for the Abadi Masela National Strategic Project on Thursday (July 16).

The event was held in a hybrid video conference from the Merdeka Palace in Capital Jakarta and the groundbreaking was located in Indonesia’s District of Tanimbar Islands, Maluku Province.

In his report, the Minister of Energy and Mineral Resources), Bahlil Lahadalia, stated that the event marked an important milestone for the Abadi Masela Liquefied Natural Gas (LNG) project.

Bahlil stated that the groundbreaking ceremony showed the government's commitment to strengthening energy independence as a strategic pillar of national development.

"Thanks to the direction and support of the president, and the synergy of all stakeholders, the Abadi Masela LNG project has reached an important milestone today (July 16)," the minister said.

The development of the project includes the construction of integrated upstream and downstream facilities.

With an investment value of approximately 20.9 billion US dollars, the minister noted that the project is expected to have a capacity of 9.5 million tons of LNG per year, which would strengthen national energy security.

"This will produce 9.5 million tons of LNG per year, or the equivalent of 120 million barrels of LNG and 35,000 barrels of condensate per day. This is to increase our lifting capacity. And I think this is the gas that we have already used, at least 60 percent to meet domestic needs and a maximum of 40 percent for exports," he explained.  

Meanwhile, in his remarks, President Prabowo pointed out that developing a nation is a hard work that requires the unity of all elements of the nation.

The president emphasized that the construction of the Abadi Masela LNG project, which has been waited for nearly three decades, must be completed immediately.

"Thank God, today we are starting construction, and construction must not be hampered; it must be completed as soon as possible," the president said.

For the government, the start of the Abadi Masela LNG project is not simply the start of a large-scale energy project, but also a symbol of accelerated downstreaming, strengthening energy security, increasing the added value of natural resources, and a commitment to providing greater economic benefits for Indonesia, particularly for the people of Maluku and eastern Indonesia.

Reporting by Indonesia Window