Minister Bahlil Signs US$20 Billion Investment Agreement and Accelerates Abadi Masela Block Project Completion

Jakarta – Energy and Mineral Resources Minister Bahlil Lahadalia is accelerating the completion of the Abadi natural gas field project in Masela Block, Maluku, following the achievement of an investment agreement for the mega-project valued at US$20 billion, or approximately IDR 339 trillion.

He stressed that the government is deeply committed to ensuring the Abadi Masela project proceeds after being delayed for decades. “We want this to move quickly so it doesn’t drag on any further. It’s already been 27 years—are we going to wait until I’m 60 before it’s done? Especially since it’s my mother’s hometown. So I think we can tender the EPC this year,” Bahlil said in a statement on Monday, 16 March 2026.

During his meeting with INPEX Corporation CEO Takayuki Ueda in Tokyo, Japan on Sunday, 15 March 2026, Bahlil stressed the need for the massive gas project in the Arafura Sea to quickly enter the final investment decision stage and to avoid further delays.

The meeting served as an important opportunity to drive acceleration of the US$20 billion project. Bahlil emphasised that the Masela project holds significant value as a new economic driver for eastern Indonesia and a major gas supply source for the nation’s future industries.

He also praised the project’s construction progress, which has now reached approximately 25 per cent. Consequently, Bahlil hopes the Abadi Masela project can advance the front end engineering and design (FEED) phase in the second quarter or, at the latest, the third quarter of 2026.

The objective is to enable the engineering, procurement and construction (EPC) tender to proceed in parallel. To achieve the FEED target, Bahlil offered INPEX the option of having Danantara, the state enterprise, purchase the Abadi field’s output of 9 million tonnes per annum (MTPA) if no serious international buyers emerge by end of April 2026, including to meet downstream industrialisation programme supply requirements.

“To ensure buyer certainty. I respect foreign buyers, but at this time, the Indonesian state must be present to work alongside INPEX to ensure operations. So we (Danantara) will be the buyers,” Bahlil said.

Responding to the Energy Minister’s statement, Takayuki Ueda conveyed his commitment to rapidly completing the Abadi Masela project.