Saipem Wins FEED Contract For Abadi LNG Project FPSO Module In Indonesia

Wednesday, August 13, 2025

Saipem, through its subsidiary PT Saipem Indonesia, in its role as leader of the consortium which also includes PT Tripatra Engineers & Constructors, PT Tripatra Engineering, and PT McDermott Indonesia, has received formal notification of the award of a FEED (Front End Engineering Design) contract for the FPSO (Floating Production Storage and Offloading) module of the Abadi LNG project, located in the Masela Block, Indonesia. The contract was awarded by INPEX Masela, Ltd., the Indonesian subsidiary of INPEX Corporation, one of Japan’s largest energy development companies.

The contract was granted following a technical and commercial pre selection process. It now enters a competitive dual FEED phase, where two separate consortia will propose independent technical solutions. The consortium delivering the most technically and commercially compelling FEED proposal will be selected to execute the subsequent EPC (Engineering, Procurement and Construction) phase.

Saipem, together with the other companies in the consortium, will undertake the review and specification definition of the offshore production facilities.

The overall Abadi LNG Project plans for an annual natural gas production capacity of 10.5 million tons of gas equivalent, of which roughly 9.5 million tons in liquefied natural gas (LNG)—representing over 10% of Japan’s annual LNG imports—and the remainder delivered via pipeline for domestic use. Condensate production is expected to reach up to 35,000 barrels per day. All engineering packages, including FPSO, OLNG, SURF and GEP, are designed to integrate Carbon Capture and Storage (CCS) components.

The award of the dual FEED contract by INPEX is strategically relevant for Saipem: it reinforces the Company’s recognized global leadership in FLNG/FPSO projects and low carbon and CCUS engineering, as demonstrated by prior EPCI experience in Indonesia and elsewhere. Moreover, it offers a tangible opportunity to extend Saipem’s participation through the EPC stage, should the FEED solution proposed by the consortium including Saipem prove to be superior.

Categories: ROV & Dive Support Inspection & Repair & Maintenance Construction Vessel Contracts Energy Vessels Offshore Energy Drilling Industry News Activity FLNG Support Vessel Floating Production FPSO Deepwater Shallow Water

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