QCLNG second train operational

BG Group has begun commercial operations from the second train at its Queensland Curtis LNG (QCLNG) plant.

QGC, BG Group’s Australian subsidiary, has assumed control of Train 2 from Bechtel Australia, which built the facility. BG Group now has full control of both LNG trains and associated facilities at QCLNG.

Since becoming operational in December 2014, the QCLNG has shipped 71 cargoes. With the second train coming online, BG Group expects the facility to be producing enough LNG to load around 10 vessels per month combined, which is equivalent to exporting around eight million tonnes per year. The company expects the project to reach plateau production by mid-2016.

Helge Lund, BG Group’s chief executive, said “With both trains now fully operational, QCLNG adds significant volumes and flexibility to our LNG shipping and marketing portfolio.”

QGC announced on 17 November that it was undertaking a two year, AU$1.7 billion development of its natural gas tenements in the Surat Basin that will feed the QCLNG.

Referred to as the Charlie development, the project will involve 300-400 wells, a large field compression station, and associated pipelines and facilities. It will feed into existing gas processing and water infrastructure at the nearby Woleebee Creek.

Mr Lund said ”As we assume full control of the entire QCLNG plant, we remain focused on managing the facility safely and responsibly. The QGC and Bechtel team deserve great credit for the completion of the project, and I would also like to thank our partners, contractors, government authorities including the State of Queensland, together with the landholders and the communities from across the Surat Basin to Curtis Island for their support.

“They all helped us to not only connect QCLNG to more wells than any liquefaction plant in the world, but establish a new LNG industry based on natural gas in coal seams.”

The partners in Train 2 are BG Group (97.5 per cent) and Tokyo Gas (2.5 per cent), which is also a foundation customer. Tokyo Gas is also a joint venture partner in the Charlie development project, along with China National Offshore Oil Corporation.

BG Group is in the process of merging with Shell, having received unconditional merger clearance from the Australian Competition and Consumer Commission (ACCC).

 

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