Indonesia opts for onshore LNG plant for Abadi gas field

Inpex Corp., Tokyo, said it received notification that the Indonesian government doesn’t want the Abadi LNG project to have a floating LNG (FLNG) plant. Inpex is operator for the development project in Abadi natural gas field on the Masela block in the Arafura Sea.

The government has instructed Inpex to “repropose a plan of development based on onshore LNG.”

Inpex said the notification is in response to the revised plan of development submitted to the Indonesian government last September (OGJ Online, Sept. 3, 2015). That plan envisioned the adoption of an FLNG plant with an LNG processing capacity of 7.5 million tonnes/year, and stemmed from confirmation of a greater volume of natural gas reserves.

The company said it will carefully examine the contents of the notification, and intends to work closely with the Indonesian government.