Jakarta, Indonesia — Japanese energy major Inpex Corporation has officially commenced the tender process for a project management consultancy (PMC) contract related to its landmark Abadi LNG project, marking a major milestone in one of Southeast Asia’s most ambitious gas developments.
The PMC contract will play a crucial role in supporting the front-end engineering and design (FEED) work of the Abadi project, which is located offshore in the Masela Production Sharing Contract (PSC) area in eastern Indonesia. According to the company, this appointment will ensure robust technical oversight and seamless execution during the critical FEED stage.
A Strategic Energy Megaproject
The Abadi LNG development is designed to exploit the giant Abadi offshore gas field and deliver gas to an onshore liquefied natural gas (OLNG) processing facility with a planned nameplate capacity of 9.5 million tonnes per annum (mtpa). In addition to LNG production for export, the project will supply approximately 150 million standard cubic feet per day (mmscfd) of pipeline gas to Indonesia’s domestic market—supporting the country’s goals of enhancing energy security and promoting equitable regional development.
Commitment to National and Regional Development
The Abadi project is being jointly developed by Inpex (as operator) and Shell, although discussions have been ongoing regarding potential equity shifts. The project is part of the Indonesian government’s national strategic projects list and has received consistent backing from key agencies such as SKK Migas and the Ministry of Energy and Mineral Resources (ESDM).
It is seen as central to Indonesia’s broader strategy to attract investment in its underutilized eastern energy provinces, including Maluku and Papua, while aligning with global energy transition goals through the use of cleaner-burning natural gas.
PMC Role and Expectations
The PMC firm selected through this tender will oversee a wide array of engineering, design, procurement, and execution functions. Responsibilities will include:
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Ensuring quality assurance and control (QA/QC)
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Monitoring project timelines and milestones
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Managing contractor coordination
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Overseeing regulatory and environmental compliance
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Supporting risk mitigation and cost control measures
The PMC appointment will be a pivotal step in moving the Abadi LNG project toward a final investment decision (FID), expected later this decade. The FEED phase is considered one of the most complex and costly in the lifecycle of a megaproject of this scale, making the PMC’s role even more vital.
Global LNG Outlook and Regional Relevance
The announcement comes as the global LNG market braces for growing demand across Asia, particularly in countries seeking to phase out coal-fired power generation in favor of more flexible and lower-emission energy sources.
For Japan, Indonesia remains a key strategic partner in securing long-term energy supplies. The Abadi project would not only enhance bilateral energy ties but also strengthen regional supply chains for LNG across Asia-Pacific.
What’s Next?
With the tender process underway, Inpex is expected to shortlist PMC candidates in the coming months, with contract awards anticipated following completion of bid evaluations and regulatory approvals.
The development of the Abadi LNG megaproject is being closely watched by industry observers, governments, and energy investors alike. Its success could set a precedent for next-generation LNG infrastructure in Southeast Asia, combining export-scale production with strong domestic integration.