ASIATODAY.ID, JAKARTA – During his visit to London, England, the President of the Republic of Indonesia Prabowo Subianto pocketed the final investment decision on the Tangguh Ubadari, Carbon Capture Utilization & Storage/CCUS, and Compression (UCC) project of around US$7 billion.
This decision was conveyed by BP Chief Executive Office (CEO) Murray Auchincloss, representing Tangguh’s collaboration partners, in front of President Prabowo at the CEO Roundtable Forum in London, Thursday, November 21 2024.
“I met with leaders of large companies, there are 19 figures here. They have committed to investing US$8.5 billion. This shows their optimism for our economy,” said President Prabowo in his statement after the event.
On a separate occasion, the Indonesian Minister of Energy and Mineral Resources, Bahlil Lahadalia, said that the investment decision was made after evaluating BP together with the Government through the Special Task Force for Upstream Oil and Gas Business Activities (SKK Migas).
The government appreciates and fully supports BP’s oil and gas investment in Indonesia. This investment indicates that the oil and gas business climate in Indonesia is still attractive.
“We appreciate the investment decision of BP and partners on the Tangguh UCC project. The final investment decision on the UCC project is proof that the oil and gas industry in Indonesia is still promising and can attract investment from abroad. This investment of around US$ 7 billion is very large, and “contributes to supporting national oil and gas production, and most importantly increasing added value for the region. Increasing regional income, a positive multiplier effect for the region,” said Bahlil in Jakarta, Monday, November 25 2024.
Through the UCC Tangguh project, the Government will focus more on increasing oil and gas production, supporting President Prabowo’s vision and mission in achieving energy security and sovereignty.
“In accordance with President Prabowo’s direction, to increase oil and gas production and lifting. With the BP Tangguh project, the Government will focus more on efforts to increase oil and gas production,” added Bahlil.
As is known, the gas reserves from the UCC Project are around 3 trillion cubic feet (TCF) and are planned to be onstream in 2028. The UCC Project includes the development of the Ubadari gas field, increasing gas recovery (EGR) through Carbon capture, utilization and storage (CCUS) in Vorwata field, as well as installing compressors on land, expanding and utilizing existing infrastructure at the Tangguh LNG facility in West Papua, Indonesia.
This CCUS project is the most advanced large-scale CCUS project and has the potential to become the first CCS Hub in Indonesia, with a potential CO2 storage capacity of around 1.8 Gigatons and in the initial phase it will inject around 15 million tons of CO2 from Tangguh LNG operational facility emissions.
The Tangguh LNG project also supports the capability of the national operational workforce. In fact, 70% of them are workers from Papua, and the target is to increase to 85% by 2029. (AT Network)
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