RRI.CO.ID, Jakarta - The Masela Block in Tanimbar Islands Regency, Maluku, is set to become one of the largest energy industrial centers in eastern Indonesia, with significant liquefied natural gas (LNG) production potential.

The development of this oil and gas block is expected to enhance national energy security while driving regional economic growth through investment, job creation, and industry support.

The Abadi Masela LNG National Strategic Project was inaugurated by President Prabowo Subianto during a virtual groundbreaking ceremony held at the Merdeka Palace in Jakarta on Thursday, July 16, 2026.

“By beginning with bismillahirrahmanirrahim, today I announce that the groundbreaking for the Abadi Masela Liquefied Natural Gas National Strategic Project has officially begun,” President Prabowo said, as reported by Antara.

The Masela Block is one of Indonesia’s largest oil and gas projects, managed by INPEX Masela Ltd. in collaboration with Pertamina and Petronas, with a total investment of about USD 20.9 billion.

The project is designed to produce 9.5 million tons of LNG per year (MTPA), supply 150 million standard cubic feet per day (MMSCFD) of gas for domestic consumption, and generate around 35,000 barrels of condensate per day.

The government expects the Masela Block to become a pillar of the national energy supply and strengthen Indonesia’s position as a regional LNG producer.

Beyond energy production, the project is projected to accelerate the growth of supporting industries, expand opportunities for MSMEs, and create jobs, prioritizing local workers from Maluku, especially the Tanimbar Islands.

The Abadi Masela LNG Project has been under development for nearly three decades, since the initial contract was signed in 1998.

It has now entered the construction phase, with Front End Engineering Design (FEED) progress reaching 79.56 percent, while strategic permits continue to be finalized ahead of the Final Investment Decision (FID) at the end of 2026.

The Masela Block is also the first LNG project in Indonesia to integrate Carbon Capture and Storage (CCS) technology during development. This innovation is expected to reduce carbon emissions and support Indonesia’s energy transition toward a more environmentally sustainable oil and gas industry. ***