CNA – Japanese oil and gas company Inpex corp is expected to submit a revised development plan for its Indonesia gas project by year-end to include carbon capture installation in their investment, the regulator said yesterday.
Inpex is leading the investment into Indonesia’s Abadi LNG project that had previously been expected to cost around USD20 billion.
The project has faced years of delay after various changes in planning, including to accommodate government’s request to move the project on-shore.
“Inpex as the leader of the consortium has decided that carbon capture, utilisation and storage will be included which means there will be additional capital expenditure there,” chairman of Indonesia upstream oil and gas regulator Dwi Soetjipto, said on the sidelines of an industry conference.
He said the inclusion was estimated to cost an extra USD1.4 billion.
The company is also expected to recalculate the project’s value due to rising price of gas, Dwi said, expecting the new plan of development to be submitted in December.
