Japanese gas exploration firm Inpex (TYO:1605) is witnessing strong buyer interest in its Abadi liquefied natural gas (LNG) project in Indonesia as the potential risk of disruptions to the Strait of Hormuz raises concerns over energy supplies, Nikkei Asia reported Wednesday.

Inpex commenced full-scale design work on the project in 2025 and plans to make a final investment decision in mid-2027, the report cited President Takayuki Ueda on Tuesday.

The Abadi project is expected to produce 9.5 million metric tons of LNG on an annual basis, which is equivalent to more than 10% of Japan's annual LNG imports, it said.

Shares of Inpex rose nearly 3% in recent trade.

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