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Indonesia to start construction on Masela gas project in 2027, government accelerates investment

From Republika · () Indonesian

Translated from Indonesian, summarized and contextualized by DistantNews.

At a glance

News From a news agency New plan
  • Indonesia will begin construction of the giant Masela gas block in Maluku in 2027, a project delayed for decades.
  • The $20 billion project, a crucial National Strategic Project, aims for commercial production between 2029-2030.
  • The government is actively addressing investment and regulatory hurdles to accelerate the project's development, spurred by President Prabowo Subianto's visit to Japan.

Indonesia is set to commence construction of the massive Abadi Masela gas block in Maluku in 2027, marking a new phase for a megaproject that has faced decades of delays. The confirmation came from Minister of Energy and Mineral Resources Bahlil Lahadalia, signaling a significant step forward for one of Indonesia's most crucial National Strategic Projects.

With an investment value of $20 billion, the project operated by INPEX Corporation and its partners is targeted to begin commercial production between 2029 and 2030. Minister Bahlil described it as "one of the biggest giants in Indonesia," emphasizing its importance for the nation's future energy security. For years, the development of this largest natural gas field in Indonesia encountered persistent investment and regulatory obstacles, leading to continuous postponements.

This is one of the biggest giants in Indonesia.

— Bahlil LahadaliaDescribing the significance of the Masela gas block project.

To prevent further setbacks, the government is actively working to overcome various investment barriers and expedite the project's preparation stages. The Front-End Engineering and Design (FEED) phase has shown promising progress. "The Abadi Masela Block has been delayed for decades. It's still not finished. Now, after the necessary decisions and studies have been finalized, I have instructed INPEX to start work immediately," stated Bahlil.

The push to accelerate the project gained momentum during President Prabowo Subianto's state visit to Japan in March 2026. During the visit, President Prabowo directed officials to prioritize speeding up investments in the green energy transition and advancing the development of the Abadi Masela Block. Following these directives, Bahlil met with INPEX Corporation CEO Takayuki Ueda, who reaffirmed the company's commitment to expediting the project's development.

The Abadi Masela Block has been delayed for decades. It's still not finished. Now, after the necessary decisions and studies have been finalized, I have instructed INPEX to start work immediately.

— Bahlil LahadaliaExplaining the urgency and recent progress in moving the project forward.
DistantNews Editorial

Originally published by Republika in Indonesian. Translated, summarized, and contextualized by our editorial team with added local perspective. Read our editorial standards.

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