JAKARTA - Head of the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas) Dwi Soetjipto asked Inpex Corporation and Shell Upstream Overseas Ltd not to 'float' the Abadi Masela project.

Dwi revealed that until now Inpex and Shell are still in the process of revising the Plan of Development (POD) and have not yet finished talks on their participation rights.

"We continue to force Inpex and Shell not to take this project hostage. Do not take this project hostage because of the strategy of each corporation," he said in a Hearing Meeting with Commission VII DPR RI, Wednesday, November 16.

Dwi explained that his party continues to hold weekly meetings with SHell and Inpex and it is hoped that in December both of them will have included the results of the POD revision to SKK Migas. He also hopes that later when submitting the revised results of POD, Shell and Inpex also submit the name of the replacement partner.

"December they promised to include the revised POD. In line with that, it is hoped that new partners will also appear. Because Inpex is impossible to convey the revised POD without knowing who the new partner is," continued Dwi.

Dwi further added that the POD revision must be carried out because there are demands by the operator to install Carbon Capture Storage (CCS) which is expected to produce Blue LNG products to support the net zero emission (NZE) target.

The CCS study has now been completed. "With this CCS, of course it affects POD," concluded Dwi.

Just so you know, at the initial POD, Masela's investment value was estimated at 19.8 billion US dollars with an LNG facility capacity of 9.5 Metric Tons Per Annum (MTPA) or the equivalent of 1,600 million cubic feet per day (MMscfd) and piped gas reaching 150 MMscfd.

In addition, the Masela Block is projected to generate a condensate of 35,000 barrels per day.


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