BP, together with its partners in the Tangguh Production Sharing Contract, has confirmed the investment of US$7 billion to develop the Tangguh UCC project in West Papua, Indonesia. This project will implement carbon capture, utilisation and storage ( CCUS ) with advanced gas compression techniques to maximise the recovery of energy resources.
The Tangguh UCC project
The announcement was made by Murray Auchincloss, CEO of BP, highlighting the importance of this development for the Asian energy market. Tangguh UCC has the potential to release approximately 3 trillion cubic feet of natural gas, strengthening the energy infrastructure in the region. Production from the Ubadari field is scheduled to begin in 2028.
The project includes the installation of three injection wells and an onshore compression plant to process the captured CO2, setting an important precedent in the adoption of low-carbon technologies in Indonesia. Tangguh UCC is estimated to capture 15 million tons of CO2 in its initial phase.
In addition to the environmental benefits, the project reinforces BP’s commitment to local development. Currently, 99% of Tangguh’s operational workforce is from Indonesia, with 70% made up of Papuan workers. This percentage will increase to 85% by 2029, strengthening the local economy. The Tangguh UCC project reflects BP’s focus on sustainable strategic investments and its commitment to Indonesia, where it has operated for more than five decades.
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Source and photo: BP