Conrad Asia Energy, through its majority-owned subsidiary West Natuna Exploration as operator, is progressing development of the Mako Gas Project offshore Indonesia, with first gas targeted in the fourth quarter of 2027.
The project partner, Empyrean Energy, informed that the development activities at the Duyung production sharing contract remain on track following the final investment decision (FID) announced in March 2026.
By the end of the first quarter, the operator had issued letters of award covering more than $280 million of capital contracts, representing over 80% of total project costs, Empyrean said.
Contracts have been awarded for drilling, subsea systems, conductor support frames and long-lead items, with milestone payments already made and costs remaining in line with guidance.
The project will initially comprise six development wells tied back to a mobile offshore production unit with a design capacity of 172 million standard cubic feet per day.
Gas will be transported via a 59-km pipeline to the Kakap production sharing contract before delivery to the Indonesian domestic market through the West Natuna Transportation System.
Total capital expenditure to first gas is estimated at $320 million on a 100% basis, and the project is fully funded, Empyrean said.
“Empyrean is pleased to note the rapid advancement in development activities at the Mako Gas Field, with significant procurement activity being undertaken during the March quarter, all fully funded under the previously announced Carry Loan Agreement. Importantly, first production from Mako remains on track commence late next year, a landmark milestone for all parties involved”, said Gaz Bisht, interim Chief Executive Officer of Empyrean.