Indonesian Political, Business & Finance News

Bahlil: Masela Gas Project Construction to Begin in 2027

| | Source: MEDIA_INDONESIA Translated from Indonesian | Energy
Bahlil: Masela Gas Project Construction to Begin in 2027
Image: MEDIA_INDONESIA

The Minister of Energy and Mineral Resources (ESDM), Bahlil Lahadalia, has confirmed that the Abadi Masela gas field project in Maluku, which holds National Strategic Project (PSN) status, is targeted to enter the construction phase in 2027.

Bahlil stated that the project is a key government agenda to strengthen national energy security. After being delayed for decades, this large-scale gas project is now entering a new chapter.

“From 2029 to 2030, it can already be in production, and it is one of the largest giants in Indonesia,” Bahlil said in Jakarta on Thursday.

According to Bahlil, the government continues to push for the accelerated development of the Abadi Masela Block to ensure that previous investment hurdles do not recur. He noted that several crucial stages have shown positive progress, including the Front End Engineering and Design (FEED) process.

“The Abadi Masela Block has been delayed for decades and remained unfinished. However, after a decision and study have finally been reached, I have instructed Inpex to proceed immediately. Thankfully, it is now underway. Construction will begin in 2027,” Bahlil remarked.

Bahlil added that the Masela Block is one of Indonesia’s largest existing natural gas assets. The government aims for the project, operated by Inpex Corporation alongside its partners, to commence production during the 2029-2030 period.

The acceleration of the Abadi Masela project is also part of the government’s agenda to encourage investment in the energy sector. Previously, during a state visit to Japan with President Prabowo Subianto in March 2026, Bahlil received directives to accelerate two main agendas: energy transition investment and the completion of the Masela Block strategic project.

Following these directives, Bahlil invited the CEO of INPEX Corporation, Takayuki Ueda, to discuss the accelerated development of the Masela Block.

The project, valued at approximately US$20 billion (equivalent to IDR 339 trillion at an assumed exchange rate of IDR 16,900 per US dollar), is one of the largest energy projects being driven by the government.

During the meeting, Takayuki Ueda expressed INPEX’s commitment to accelerating the completion of the Abadi Masela Project.

The government has designated Abadi Masela as a strategic project because its gas potential is considered vital for meeting long-term national energy needs. With construction targeted for 2027 and production for 2029-2030, the project is expected to serve as a pillar for Indonesia’s natural gas supply.

Bahlil emphasised that the acceleration of this project must be maintained to prevent the Masela Block development from facing further delays. The government intends to ensure that both investment and technical stages proceed according to the target.

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