Industry News

Monadelphous Group Limited today announced it has been awarded a major, long-term offshore maintenance services contract for INPEX Operations Australia associated with the Ichthys LNG Project.

The contract is for an initial period of six years with a further two 2-year extension option and is located in the Browse Basin, approximately 450 kilometres from Broome, Western Australia. Monadelphous has been engaged to deliver operational, campaign and shutdown maintenance services and brownfield projects implementation associated with the Ichthys Central Processing Facility ‘Ichthys Explorer’ (CPF) and Floating Production Storage and Offloading facility ‘Ichthys Venturer’ (FPSO). 

The Ichthys LNG Project is ranked among the most significant oil and gas projects in the world, involving some of the largest offshore facilities in the industry, including the ‘Ichthys Explorer’, the world’s largest semi-submersible central processing facility. Commenting on the new contract, Monadelphous Managing Director Rob Velletri said “We are delighted to be awarded such a significant maintenance contract by INPEX Operations Australia for the world-class Ichthys LNG Project. The contract continues to strengthen our position as a major service provider of offshore maintenance services.” “We look forward to further strengthening our relationship with INPEX Operations Australia and working together to create sustainable economic and social development opportunities for local people, businesses and communities.”

Origin Energy Limited (Origin) today announced it had increased to 70 per cent its share in the Beetaloo Joint Venture* after acquiring Sasol Petroleum Australia Limited’s (Sasol) 35 per cent share. 

Origin CEO, Frank Calabria said, “Having recently announced the discovery of a material shale gas resource in the Beetaloo Basin, Origin has seized the opportunity to increase its interest in the Beetaloo Joint Venture by acquiring Sasol’s 35 per cent share.

“Origin would like to recognise Sasol’s contribution to the Beetaloo Joint Venture to date, as it departs the Joint Venture to focus its capital investment on its African and North American footprint.

“The Beetaloo Basin is the Northern Territory’s most prospective onshore basin for shale gas and our test results estimate the joint venture’s contingent resource at a substantial 6.6 TCF of natural gas.

“Along with joint venture partner Falcon Oil & Gas Australia, we look forward to progressing our understanding of the play and maturing the contingent resources to reserves over time, subject to the outcome of the Northern Territory’s inquiry into hydraulic fracturing.

“Recent events have demonstrated how crucial it is for Australia to continue to develop its abundant natural gas resources, in order to provide access to sufficient, affordable gas supply for businesses and homes across the nation.

“As one of the largest natural gas producers on the east coast, Origin will continue to look at opportunities to invest in the safe and responsible development of natural gas resources, such as those in the Beetaloo Basin. Gas will play an important role in the transition to a secure, affordable and cleaner supply of energy for Australia,” Mr Calabria said.

The transaction is subject to the satisfaction of certain conditions. It is not expected to impact on Origin’s short term focus on debt reduction as there are no immediate capital requirements in the Beetaloo.

Located about 500 kilometres south-east of Darwin, the three Beetaloo Joint Venture permits cover an area of more than 18,500 km2 within the Beetaloo Basin.

* BEETALOO JOINT VENTURE

Origin Energy Limited (Operator) **: 70%

Falcon Oil & Gas Australia Limited:    30%

** Via a wholly owned subsidiary

www.originenergy.com.au

JKC Australia LNG, the EPC contractor for the Inpex-led Ichthys LNG project’s onshore facilities, awarded the first commissioning subcontract to EnerMech.

The scope of work will include nitrogen/helium leak testing of the piping systems, cooling water system passivation and degreasing of the acid gas removal units.

EnerMech was selected as the preferred tenderer for the multi-million dollar specialist commissioning activities package.

The Ichthys project was due to start LNG exports in the third quarter of 2017, but cited delays in the installation of offshore production facilities for the revised schedule.

Production of LNG, condensate and LPG are now expected to begin by the end of March 2018 according to INPEX.

NT Resources week will be held in Darwin this year from 16-17 August.

The current line up of speaker for the oil and gas stream of SEAOOC looks strong bringing some influential business leaders to the Territory. Check out the speaker list here: www.ntresourcesweek.com.au/seaaoc/speakers/

PCNT is proud to be a supporting sponsor of the 2017 SEAOOC Conference.

NT backs study into multi-billion dollar Darwin LNG expansion
Article by Angela Macdonald-Smith

The prospect of a multi-billion dollar expansion of ConocoPhillips' Darwin LNG project has leapt back onto the table just as resentment builds on the east coast over LNG exports from Queensland driving up local gas prices.

In a surprise announcement on Wednesday, Northern Territory's Labor government said it would put $250,000 towards a study into the feasibility of adding a second production unit at the 3.6 million tonnes a year plant.

The $625,000 study is also backed by a range of companies holding offshore gas fields, including Santos, Origin Energy, Shell and South Korea's SK Corporation, that could in theory provide gas for the second unit.

The expansion would create "thousands of jobs" in the NT, said Chief Minister Michael Gunner, noting that the initial project to build the first LNG "train" at Wickham Point created about 2500 jobs during construction.

Read more: http://www.afr.com/business/energy/gas/nt-backs-study-into-multibillion-dollar-darwin-lng-expansion-20170419-gvnk11#ixzz4gdQX3DZ8 
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MMA Brewster’s Darwin Naming Ceremony 

A custom-built platform supply vessel constructed by MMA Offshore will be a regular visitor to Darwin Port over the next 10 years, as one of the primary vessels providing drilling, commissioning and operational support to INPEX’s offshore facilities in the Ichthys Field. The vessel was officially named “MMA Brewster” at a ceremony on 6 April 2017. 

MMA Managing Director Jeff Weber said the MMA Brewster was a state-of-the art platform supply vessel, featuring advanced engineering and design. It had significant specialist capabilities that suited the unique demands of the Ichthys LNG Project offshore facilities. “The MMA Brewster joins our fleet of more than 40 vessels in Australian and international waters, and will operate from Darwin Port to support and supply INPEX’s operations in the Ichthys field, he said. 

Read the full press release here.

Offshore drilling contractor Noble Corporation has been awarded a contract by PTTEP for redeployment of the rig Tom Prosser in Australia for a single new production well at Montara.

The 2014-built jack up rig, which had been warm stacked in the United Arab Emirates since last October on expiry of its drilling contract with Quadrant Energy, will be deployed for two months from early September to late October 2017 at a day rate of US$130,000.

It will be involved in work for PTTEP in the Bonaparte Basin in which the Montara oil project is located as well as the undeveloped Cash-Maple complex in AC/P54. The field are located 700km west of Darwin and 200km southwest of the Bayun Undan field. The Noble Tom Prosser was designed to drill to depths of 10,000m in water depths of 121m.

Noble also revealed that a customer has exercised one 30-day priced option for the 2013-built jack-up rig Noble Regina Allen, which is providing accommodation services for an unnamed client in the UK.

The Supply Chain Facilitation Programme is an engagement between AusIndustry, INPEX and Jemena and local supply chain businesses. AusIndustry will assist eligible businesses to identify their greatest supply chain opportunities, and work through any challenges they may face.

Key skills the programme aims to offer, including:

• How to get a competitive advantage when tendering as suppliers to Prime Contractors
• Insight into the Prime Contractor procurement challenges
• Opportunities to invest in areas of your business that addresses the concern and gives you greater commercial advantages
• Be seen as actively engaging in meeting supplier challenges
• Understand general areas that may knock you out from standard tender processes.

Katherine Regional Mining and Exploration Forum

As an endorser of the Katherine Regional Mining & Exploration Forum, Petroleum Club NT have secured a 15% discount for all our members to attend. If you are an NT business, this discount will also apply to the Special NT Business Rate.

Simply log in to the members portal and visit the member benefits page or contact the office for more information on accessing the discount.

The Katherine Conference is a collegial event that brings together key industry leaders with major and local businesses to further develop collaboration strategies and partnerships. The event provides a key platform to promote Katherine’s suite of product and capabilities servicing the mining, exploration and oil & gas industries, as well as the construction and agriculture sectors.

The event has become the annual economic development forum for the region businesses and major project leaders with discussions around current and future developments, employment & training, business capabilities, and issues and challenges impacting the region.