The government of Indonesia has granted environmental approval for the development of INPEX's Abadi LNG project (INPEX press release, 20/02/2026). The approval covers the core elements of the project from drilling operations to the construction and operation of production and processing facilities, as well as the natural gas liquefaction plant. The USD20bn project is currently under the front-end engineering and design (FEED) stage and once operational it is expected to produce 9.5 Mt/year of LNG, equivalent to more than 10% of Japan’s annual LNG imports. The project is being developed by INPEX (65%, operator), PT Pertamina (20%) and PETRONAS (15%).
The project is expected to contribute to improve energy security in the region and generate a stable supply of low-carbon energy over the long term thanks to its CCS component. The development is aligned with INPEX’s target to reduce its GHG emissions and Indonesia’s goal to reach net-zero CO2 emissions by 2060.