Indonesia is set to commence construction on the Abadi Masela gas field project in Maluku in 2027, according to the country's Energy and Mineral Resources ministry.

The initiative represents a significant capital commitment, with total project costs estimated at US$20 billion.

This development follows earlier moves by state-owned PT Perusahaan Gas Negara (PGN) to secure additional supply from the Sengeti field, targeting 5 million standard cubic feet per day by late 2028.

The announcement underscores Jakarta's push to develop its domestic energy resources to meet growing regional demand.

The Abadi Masela field is expected to become a key contributor to Indonesia's natural gas output in the coming decade, potentially altering supply dynamics in Southeast Asia.

This development follows earlier moves by state-owned PT Perusahaan Gas Negara (PGN) to secure additional supply from the Sengeti field, targeting 5 million standard cubic feet per day by late 2028.

The Abadi Masela project adds another layer to Indonesia's strategy to bolster its gas infrastructure and export capacity.