Signing of the Agreement, PGN is Ready to Receive LNG Supply from the Abadi LNG Project of Masela Block
PT Perusahaan Gas Negara (Persero) Tbk (PGAS) has agreed on the main commercial principles or agreements in principle with Inpex Corporation (Inpex) regarding the offtake plan (offtake) of LNG and natural gas from the Abadi LNG Project, Masela Block.
This strategic agreement was signed at the Indonesian Petroleum Association Convention and Exhibition (IPA Convex) 2026, Wednesday, May 20.
"This cooperation is part of PGN's real commitment to optimizing the use of domestic gas resources for customer needs, as well as part of the Pertamina Group in its role in meeting energy needs and the foundation of national energy resilience," said PGN President Director Arief K. Risdianto in a statement to the media, Thursday, May 21.
Through this agreement, PGN and Inpex as operators of the Masela Block together with its joint venture partners, PT Pertamina Hulu Energi (PHE) and PETRONAS Masela Sdn. Bhd., will follow up on this cooperation to the stage of a binding Sale and Purchase Agreement (SPA) for the supply of LNG and natural gas.
PGN's role as a domestic buyer not only accelerates the Abadi LNG project towards the Final Investment Decision, but also becomes a strong synergy within the Pertamina Group, where PHE acts on the upstream side (upstream) and PGN secures on the downstream side (downstream). This upstream-downstream synergy ensures that Indonesia's domestic energy sources can be enjoyed directly and optimally by the community and national industries.
This step is also in line with the Indonesian government's policy to maximize the utilization of domestic natural resources to support economic growth, as well as to respond to the energy transition challenge by utilizing natural gas as a more environmentally friendly transition energy.
With the very large volume of gas reserves of the Masela Block, this cooperation is projected to maintain the stability of clean energy supply in Indonesia in the long term, while strengthening the position of the Pertamina Group as a key pillar of national energy security.