QGC, Partners Invest $1.2B to Boost Gas Output in Australia's QCLNG Project
QGC Pty Limited, along with joint venture partners China National Offshore Oil Corporation and Tokyo Gas, reported Monday a two-year, $1.2 billion (AUD 1.7 billion) development of its natural gas tenements west of Wandoan to support gas production for the Queensland Curtis liquefied natural gas (LNG) project in Australia.
The investment, which follows receipt of Commonwealth and State Government environmental approvals, has been approved by QGC’s parent company BG Group and the joint venture partners.
BG Group’s share of the investment is within the Group's previously disclosed capital expenditure program. QGC has a 73.75 percent interest in the relevant natural gas tenements.
The development, known as Charlie, involves the construction of 300-400 wells, a large field compression station and associated pipelines and facilities which will feed into existing gas processing and water infrastructure at Woleebee Creek.
The works are part of the continuous development of QGC’s tenements in the Surat Basin to sustain natural gas supply to both domestic customers and the two-train Queensland Curtis LNG (QCLNG) liquefaction plant on Curtis Island, near Gladstone.
QGC, which has appointed Leighton Contractors Pty Limited as the main works contractor, will progress development and construction immediately. Major infrastructure will be built on QGC property.
Managing Director Tony Nunan said this was an important investment in the future of QGC’s operations and built on the success of the world-first production of liquefied natural gas from coal seams in the past year. The QCLNG plant has delivered 62 cargoes since first LNG production in December 2014.
“This is a vote of confidence in the secure, long-term future of Queensland’s natural gas industry, which will employ Queenslanders for many years to come,” Nunan said.
“The Charlie development will help to sustain the benefits of our investment in local communities and the state, including up to 1,600 construction jobs and business opportunities during the two-year project.”
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- Shell Mulls LNG-Hub Network as Use by Ships and Trucks Expands (Jul 11)
- Tanzania Laws Would Allow Govt to Tear Up Mining, Energy Deals (Jun 29)
- Despite Cuts, Big Oil to Expand Production into the 2020s (Sep 05)
Company: CNOOC more info
- ExxonMobil Reports More Offshore Guyana Success (Jan 05)
- CNOOC 3Q Revenue Rises; Only Halfway To 2017 Spending Goal (Oct 25)
- CNOOC Completes Test Runs at Huizhou Refinery in Guangdong - Report (Oct 09)
Company: Tokyo Gas more info
- Tokyo Gas Gets Bangladesh LNG Terminal Feasibility Study Contract (Jul 27)
- PetroVietnam Gas, Tokyo Gas May Establish LNG JV in Vietnam (Jul 11)
- Tokyo Gas Buys Eagle Ford Shale Stake, Despite Loss from Prior US Purchase (Jun 21)
Company: QGC Pty Ltd. more info
- Decmil Bags Framework Deal with QGC for Brownfield Projects in Surat Basin (May 24)
- Decmil Clinches Extension to QCLNG Wellsite Contract in Australia from QGC (Jan 12)
- SPIE Bags $13M Maintenance Services Contract for Australia's QCLNG Project (Dec 01)