Inpex Masela, an affiliate of Japan-based Inpex, has awarded contracts for the front end engineering and design (FEED) of its floating LNG facility for the development of the Abadi LNG project in Indonesia.
Scope of the LNG FEED contract includes engineering work of a floating production facility, where natural gas is processed, liquefied, stored and offloaded.
The company has awarded the floating LNG FEED contract to two groups – one led by JGC/PT JGC Indonesia, and the other by PT Saipem Indonesia/Saipem.
The two engineering firms will conduct the floating LNG FEED in parallel under a design competition.
Inpex plans to award EPC phase work to one of the groups, which provides technical and commercial superiority based on its overall design solution for the floating LNG facility.
The company said it will seek support from the Indonesian government and other stakeholders to begin commercial production from the Abadi LNG project.
Inpex Masela will be the operator of the project with 60% interest, while Shell Upstream Overseas Services and PT EMP Energi Indonesia will hold 30% and 10% interests, respectively.