QGC invests AU$1.7bn in Surat Basin project

QGC has announced a two-year, AU$1.7 billion development of its natural gas tenements in the Surat Basin to support gas production and, according to QGC’s managing director, ensures security of the area’s natural gas industry.

The company’s MD, Tony Nunan said the investment acts as 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.”

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.

QGC, which has appointed Leighton Contractors as the main works contractor, will commence development and construction immediately. Major infrastructure will be built on QGC property.

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.

The QCLNG plant has delivered 62 cargoes since first LNG production in December 2014, when the project was first preparing for export the BG Group had planned to produce up to 210,000 barrels of oil equivalent per day (boe/d) net from the first two trains.

Mr Nunan added: “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.”

The investment follows approval from the Commonwealth and State Government as well as QGC’s parent company BG Group and the joint venture partners, China National Offshore Oil Corporation and Tokyo Gas.

 

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