INPEX Corp. has reached agreement in principle (AiP) with PT Pupuk Indonesia (Persero) regarding pipeline natural gas supply from the Abadi LNG project.

INPEX has also reached AiP with bp, PT Perusahaan Gas Negara Tbk, PT PLN Energi Primer Indonesia, and Shell Eastern Trading (Pte) Ltd relating to LNG offtake from the Abadi LNG project in the Masela Block offshore Indonesia.

This development was announced at the Indonesian Petroleum Association Convention and Exhibition (IPA Convex) held near Jakarta, Indonesia in May 2026.

INPEX is currently advancing the large scale Abadi LNG project as operator through its subsidiary INPEX Masela, Ltd., in partnership with its joint venture partners PT Pertamina Hulu Energi and PETRONAS Masela Sdn. Bhd.

INPEX will now work with the prospective customers towards finalising sale and purchase agreements (SPAs) that collectively are expected to cover a significant portion of the project’s anticipated LNG production volume. The AiP relating to LNG offtake represent an important milestone for the project and contribute to steady progress towards a final investment decision. In addition, the AiP regarding pipeline natural gas supply is expected to lead to a gas sales agreement.

The discussions are also aligned with the Indonesian government’s focus on optimising domestic natural resource utilisation and are expected to support energy demand growth across the Asia-Pacific region.

The Abadi gas field, with its significant volume of resources, is expected to support efficient development and stable production of LNG and pipeline natural gas over the long term.

Read the article online at: https://www.lngindustry.com/liquid-natural-gas/22052026/inpex-advances-lng-and-pipeline-natural-gas-offtake-discussions-for-abadi-lng/

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