Industry News

Perth, Australia: The INPEX–operated Ichthys LNG Project is a step closer to becoming the world’s first liquefied natural gas (LNG) plant to use combined cycle technology, having successfully initiated the start-up of its gas turbine generators at its onshore power plant near Darwin, Northern Territory, Australia. 

The milestone is a significant step towards power generation at the Project’s onshore combined cycle power plant (CCPP). Ichthys Project Managing Director, Mr Louis Bon paid tribute to the ongoing focus of the team working on the delivery of the power plant. 

“Initiating the safe start-up of the gas turbine generators (GTG) illustrates the strong commitment of the onshore team to overcome challenges and achieve our targets,” Mr Bon announced. 

“The combined cycle power plant uses gas and steam turbines together to produce up to 50 per cent more electricity from the same amount of fuel compared with a traditional simple-cycle plant,” he advised. 

The waste heat from the gas turbines will be used to create steam for the nearby steam turbine system, which generates extra power. Power and Water Corporation in the Northern Territory provided the initial gas to fuel the GTG start-up process. 

Ultimately powered by natural gas from the Ichthys Field, the CCPP will use a mix of five gas and three steam turbine generators to supply all the electricity requirements for onshore processing of LNG. 

The power plant has capacity for up to 490 megawatts of electricity, which allows LNG processing trains to cool and liquefy natural gas. 

Read the full media release here.

The Northern Territory is unlikely to see any significant investment in onshore gas projects next year following a decision by the independent inquiry into hydraulic fracturing to delay its final report by three months.

APPEA NT Director Matthew Doman said the gas industry was surprised and disappointed by yesterday’s announcement that the Pepper Inquiry’s final report would not be completed until March.

“What was supposed to be a 12-month inquiry is now entering its second year,” Mr Doman said.

“The final report was promised by the end of this year. We now won’t see it until at least March next year. Even if the fracking moratorium is lifted after that, it is very hard to see any significant investment occurring in 2018.

“That means another year of lost opportunity for traditional owners and local businesses who stand to benefit as soon as this unnecessary moratorium ends.

“These further delays are damaging to the NT’s economic interests.

“It must be remembered that we have already had one independent inquiry into fracking in the NT which took nine months to conclude that any risks could be safely managed through robust regulation.

“Numerous other inquiries here in Australia and overseas have reached the same conclusion – fracking is safe when properly regulated.”

Media Contact:

Kieran Murphy
Mobile: 0408 151 922
Email: kmurphy@appea.com.au

Diversified Communications, the organiser of the 2018 Australasian Oil & Gas Exhibition & Conference (AOG 2018), is pleased to announce that registrations for Australia’s largest oil and gas industry event are now open.

With strong support from government and industry groups from around the globe and Principal Sponsors Woodside Energy, National Energy Resources Australia (NERA), the City of Perth and the Western Australian Department of Jobs, Tourism, Science and Innovation, Diversified is anticipating another world class event.

The three-day AOG 2018 gathering will be staged for the 37th time from the 14th to the 16th of March, almost a month later than normal, to provide for a smoother fit within the international oil and gas industry event calendar.

AOG 2018 will again feature a series of “free-to-attend” Industry Forums over the three days covering the topics of Collaboration, Subsea, and Knowledge, which will be staged on the Exhibition floor.

The 2018 event will also feature a full program of networking events that will fit the needs of all attendees.

AOG 2018 Event Director, Bill Hare, said with the Exhibition and Conference just over five months away, there was a strong “buzz” of anticipation building.

“We again expect to have the participation of large government and industry groups from the leading oil and gas producing countries participating in the exhibition, while the interest in providing content for our Industry Forums has been tremendous,” Mr Hare said.

For more information please go to: https://aogexpo.com.au/

The Scientific Inquiry into Hydraulic Fracturing in the Northern Territory (Inquiry) has released ACIL Allen Consulting Pty Ltd’s (ACIL Allen) independent economic impact assessment of a potential onshore unconventional shale gas industry in the Northern Territory (NT), The Economic Impacts of a Potential Shale Gas Development in the Northern Territory (report).

The report focuses on the potential direct and indirect economic benefits, impacts and risks of onshore shale gas development in the NT under the current regulatory regime, if the Northern Territory Government were to lift the moratorium.

The report consists of five scenarios over a 25-year time frame, namely:  

1. Baseline: the moratorium remains and nothing changes.
2. Shale calm: the moratorium is lifted, but only exploration and appraisal activity occur for a period of three years and development is found to be not commercially viable.  This requires two well pads and 16 wells to be built in the 2019 financial year with market testing to take place in 2020.
3.Shale breeze: the moratorium is lifted, exploration and appraisal activity occurs, and a small scale development 100 Terajoules per day (TJ/day) takes place resulting in 13 pads and 103 wells.
4. Shale wind: the moratorium is lifted and a moderate scale (400TJ/day) development occurs, with 34 pads and 267 wells.
5. Shale Gale: the moratorium is lifted and a larger scale (1000TJ/day) development occurs, with 84 pads and 670 wells.

To download the full report go to: NT Government Fracking Inquiry website

Shale gas development in the Northern Territory would deliver new jobs, local contracts and increased government revenue, an independent economic analysis has confirmed.

The report by ACIL Allen Consulting Services was commissioned by the Scientific Inquiry into Hydraulic Fracturing of Onshore Unconventional Reservoirs in the Northern Territory.

The analysis finds that shale gas development could create more than 500 new jobs sustained over 25 years, boost the NT economy by $5.8 billion and generate up to $3.7 billion in taxes and royalties for the Territory over the same period.

APPEA NT Director Matthew Doman the report was further evidence that the Territory stood to benefit significantly by lifting its moratorium on shale gas.

“The ACIL Allen analysis is a very conservative model which is at odds with the demonstrated experience of the gas industry in other states and uses smaller development scenarios than the industry believes are likely,” Mr Doman said.

“For example, initial developments envisaged by just three companies could exceed all of the gas production modelled in this report.

“As well, earlier economic modelling has shown the economic benefits would be even greater for the NT if shale gas was developed for export as well as domestic use.

“Regardless, the ACIL Allen report shows there will be more jobs, more revenues and a stronger economy if the Territory Government lifted its moratorium on hydraulic fracturing.”

Mr Doman said the ACIL Allen report also highlighted the gas industry’s very small environmental footprint with its largest development scenario suggesting land use covering less than 500 square kilometers, or less than 0.03 per cent of the Territory land mass.

“Evidence to this and numerous other inquiries and decades of practical experience clearly shows that hydraulic fracturing is safe when properly regulated,” Mr Doman said.

“Until exploration is allowed, we cannot be certain of the size and scale of the development that is most likely, and the benefits that will flow to Territorians.

“It’s vital that that Justice Pepper concludes her inquiry and that the Territory Government lift its moratorium.”

 

Media contact: Kieran Murphy – 0408 151 922 – kmurphy@appea.com.au

INPEX Tokyo has recently celebrated the completion of construction of the “Oceanic Breeze”. The “Oceanic Breeze” will transport LNG from the Ichthys LNG onshore processing facilities in Darwin to INPEX’s terminal in Naoetsu, Japan. 

This is a really great milestone and highlights yet another component of this huge Project. 

Download article here.

Media contact: Rebecca Cass

External Affairs Manager NT

Source: Energynewsbulletin.net

TAG subsidiary MPower has delivered two of ten remote renewable energy systems for Jemena’s Northern Gas Pipeline, the systems will work autonomously to support operations.

So far two of ten off-grid DC power systems have been arrived with the last planned for an early 2018 delivery.  

The systems feature PV arrays, battery energy storage and control systems which are designed to provide protection along the 632km pipeline.  

The remote location and the requirement for reliable and continuous power when there is no network access is a problem MPower says it experienced in solving.  

Tag CEO Nathan Wise said that his company was known for its ability in providing high-reliability power solutions for critical applications.  

"We have drawn on our vast experience in remote renewable power systems and integrated battery energy storage to design a sophisticated solution that meets the demanding requirements of the Northern Gas Pipeline," he said.  

Read more here.

Source: Ashley Manicaros NT News

THE constructors of the Northern Gas Pipeline have signed a deal which will see the 622km project extended through Central Queensland.

The NGP will transport Northern Territory gas from Tennant Creek to Mt Isa in Queenslaand. The $800 million project is underway.

Jemena announced on Tuesday it will now fast track plans to connect to the east-coast gas market after signing a binding agreement with Galilee Energy Limited to deliver a large new source of gas from the Glenaras Gas project in the Galilee Basin.

Jemena’s executive general manager of corporate development, Antoon Boey, said large new sources of gas need to be produced and delivered to the market as quickly as possible.

However, the earliest it could reach market is 2022.

“By undertaking the early planning works, both Jemena and Galilee Energy will be ready to proceed to front end engineering and design on both pipeline and field development in 2019 with the objective of first gas to market in 2022,” he said. ”

Mr Boey said the announcement marks another key step in Jemena’s plans to expand and extend its NGP.

Galilee Energy’s managing director, Peter Lansom said his company had one of the largest “uncontracted contingent gas resources” on the east coast.

“This partnership is all about working together to get this critical gas supply option to the domestic market as quickly as possible,” he said.

The NGP is expected to create around 900 jobs, with first gas through the pipeline expected to flow in late 2018.

Excess Power and Water gas from the Blacktip field will be the first product through with forecasts up to 100Tj a day will be shipped.

A 10-year deal has been signed with Incitec Pivot to take the first gas.

Read more here

Global engineering and maintenance services provider, EnerMech, has been awarded a five-year contract for hose and hose fittings supply and services for Shell’s Prelude FLNG Facility in Western Australia.

The Prelude FLNG contract will be administered from EnerMech’s Henderson base in Perth while engineering and service support will be provided from regional facilities across Australia, including Darwin in the Northern Territory.

EnerMech’s Regional Director Allan Hart said: “We are pleased to announce the appointment of EnerMech as the Hose Integrity Management and Supply contractor on the prestigious Prelude FLNG Facility.

“This latest award strengthens EnerMech’s reputation as a leading maintenance service provider with a willingness to adapt to the changing oil and gas environment.”

The Prelude FLNG facility recently arrived at its location 475km north east of Broome where the hook-up and commissioning phase of the project is underway.

http://www.enermech.com/news

Civmec Limited been awarded several contracts by Jemena for work on its Northern Gas Pipeline (NGP) near Tennant Creek in the Northern Territory.

The work includes camp setup, site civil, structural steel fabrication and the Structural, Mechanical, Piping, Electrical and Instrumentation (SMPEI) installation works at the Phillip Creek Compressor Station.

“This is a significant and strategic award for us and combined with the scope growth at the Ichthys Project in Darwin, it will see an enlargement of our on-site capabilities within our oil and gas division and an expansion of our brand in the Northern Territory,” said Civmec CEO Patrick Tallon.

“We are delighted to secure Jemena as a new client and are very focused on ensuring that together we deliver these contracts safely and effectively.”

With site civil works commenced and the SMPEI work scheduled to commence in late September 2017, the project will require more than 160 personnel to be employed at its peak, with completion scheduled for August 2018.

Including this project, the Civmec’s order book stands at approximately $640 million.

Source: The Australian Pipeliner