Report on Tangguh LNG: Big Project, Huge Risks for People and Planet

A report by Trend Asia and partners detailing the financial support provided by multilateral development banks (MDBs) to the Tangguh LNG project in Indonesia and the resulting environmental and social risks.

• Multilateral development banks (MDBs) have provided significant direct and indirect financing for Tangguh LNG since 2005. The Asian Development Bank (ADB) issued a $350m loan in 2005 for construction and a $400m loan in 2016 for the third LNG production facility (Train 3). Indirect financing was provided by the ADB and the International Finance Corporation (IFC) via Indonesia Infrastructure Finance, and by the Asian Infrastructure Investment Bank (AIIB) through Bayfront Infrastructure Capital IV.
• Tangguh LNG has contributed to fossil gas dependence in Indonesia by exporting gas and supplying fuel to existing and proposed gas-fired power plants. The project has caused the displacement of Indigenous communities, environmental destruction, and increased greenhouse gas emissions, while failing to meet social responsibility obligations according to local government officials.
• In February 2025, the Indonesian government proposed expanding Tangguh LNG to include a fourth production facility and a carbon capture utilisation and storage (CCUS) facility. The report argues that current MDB policies are insufficient to prevent further financing of this expansion.

APA

TrendAsia (2025). Report on Tangguh LNG: Big Project, Huge Risks for People and Planet. Trend Asia. https://trendasia.org/en/report-on-tangguh-lng-big-project-huge-risks-for-people-and-planet/

Chicago

TrendAsia. Report on Tangguh LNG: Big Project, Huge Risks for People and Planet. Trend Asia, 2025. https://trendasia.org/en/report-on-tangguh-lng-big-project-huge-risks-for-people-and-planet/.

Wikipedia

{{cite report |last1=TrendAsia |title=Report on Tangguh LNG: Big Project, Huge Risks for People and Planet |publisher=Trend Asia |date=30 September 2025 |url=https://trendasia.org/en/report-on-tangguh-lng-big-project-huge-risks-for-people-and-planet/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{trendasia2025report, author = {TrendAsia}, title = {{Report on Tangguh LNG: Big Project, Huge Risks for People and Planet}}, institution = {Trend Asia}, year = {2025}, month = sep, url = {https://trendasia.org/en/report-on-tangguh-lng-big-project-huge-risks-for-people-and-planet/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }