UK energy giant BP has initiated the tender for a critical contract tied to its ambitious $7 billion Tangguh UCC (Ubadari, Carbon Capture & Compression) project, an integrated development poised to transform Indonesia’s energy landscape. Located offshore West Papua, the project has the potential to unlock an impressive 3 trillion cubic feet of additional gas resources, with the bulk destined to fuel the 11.4 million tonnes per annum (mtpa) Tangguh LNG facility.

This project isn’t just about expanding energy production — it represents a bold leap toward sustainability. The Tangguh UCC initiative includes the development of the Ubadari gas field, enhanced gas recovery (EGR) techniques, and cutting-edge carbon capture, utilization, and storage (CCUS) technology to reduce emissions and boost efficiency.

BP made the final investment decision (FID) on this landmark venture in November, signaling its commitment to delivering energy solutions that align with Indonesia’s growing domestic demand while advancing its climate goals.

As part of the project’s forward momentum, BP is now prequalifying companies for a pivotal contract to provide wells engineering and project management services for the well operations segment of the UCC project. Notably, the contract includes a stringent requirement for a minimum local content (TKDN) of 80%, ensuring significant participation from Indonesian businesses and fostering local expertise in advanced energy technologies.

The Tangguh UCC project not only underscores BP’s confidence in Indonesia’s resource potential but also exemplifies its strategy of combining innovation with sustainability to meet global energy demands. With this groundbreaking initiative, BP is setting the stage for the future of low-carbon energy production in the Asia-Pacific region.