Samsung E&A announced on August 6 that it received a Letter of Award (LOA) from Inpex Masela Ltd., a subsidiary of Japan’s largest energy company, INPEX, for the Front-End Engineering Design (FEED) of the Indonesia Inpex Abadi Onshore LNG Project, as disclosed through a public notice.
The company will collaborate with KBR Indonesia and the state-owned construction firm Adhi Karya to complete the FEED and aims to transition into Engineering, Procurement, and Construction (EPC) following design completion. The contract is valued at approximately 36 billion KRW (26 million USD), with a duration of 13 months.
This project, located in the Saumlaki region of Maluku Province, Indonesia, involves receiving natural gas from the Abadi gas field, liquefying it, and producing about 9.5 million tons (t) of LNG annually, along with 35,000 barrels per day of condensate. The project also incorporates carbon capture and storage (CCS) technology, sequestering CO₂ emissions in nearby offshore reservoirs, designated as a strategic national project by Indonesia.
With this win, Samsung E&A anticipates strengthening its position not only in the growing LNG market—considered a bridge energy during the transition to renewable sources—but also in the emerging CCS sector, which is gaining importance for carbon neutrality efforts.
LNG’s environmentally friendly attributes—lower carbon emissions, reduced pollutants, and fine particulate matter—are increasingly valued amid rising global energy demands and technological advancements such as AI. CCS technology, which captures and permanently stores CO₂ emissions, is viewed as a core method for achieving carbon neutrality.
Drawing on extensive experience from over 20 local projects in Indonesia and leveraging its innovative modular and automated techniques under its long-term AHEAD (Achieve, Harness, Enhance, Deliver) strategy, Samsung E&A plans to execute the project successfully. The company emphasizes minimizing field operations and improving quality, especially given the remote location of the project.
Collaborating with KBR, a leader in the global LNG market, and maximizing local cooperation with Adhi Karya, Samsung E&A aims to augment its project execution capabilities.
A company spokesperson stated, “We aim to successfully deliver the FEED, leading to EPC orders, while solidifying our foothold in Southeast Asia’s LNG market and expanding our technological portfolio in LNG and CCS sectors.”
