central's helium story, page-20

NIGEL ADLAM

March 3rd, 2010
The $49 million BOC helium plant - an Australian first - at Wickham Point opens this morning

AUSTRALIA'S first helium plant will open in Darwin this morning - raising hopes of more downstream gas industries for the Northern Territory.

The $49 million BOC complex at Wickham Point has been made possible by the ConocoPhillips LNG gas plant nearby.

About 900 tonnes of helium a year will be produced - about 2 per cent of world demand.

One quarter will be used in Australia, with the rest for export.

BOC's process operations boss Peter Re said the helium was contained in natural gas piped to Darwin from the Bayu Undan field in the Timor Sea.

The natural gas is liquefied and shipped to Tokyo but the helium will be extracted, purified and liquefied locally.

"We're fortunate that the gas coming to Darwin has helium in a commercially viable quantity," Mr Re said.

Helium is used in three main ways:

IN medicine, such as MRI scanning, because of its super conductivity.

IN carrying gases and for leak detection because it is such a small molecule that it is considered "slippery". IN balloons because it is lighter than air.

Worldwide demand for helium fell during the global financial crisis, but is picking up again.

BOC may one day consider expanding its operation to include liquid nitrogen production.

Mr Re said liquid nitrogen came from air separation: "You mine the air."

The helium plant, which will be opened by Chief Minister Paul Henderson and federal Resources Minister Martin Ferguson, could be followed by other gas-related industry.

United States-based Dow Chemicals, which is run by Darwin-born Andrew Liveris, has said it will consider the Top End as a site for a multibillion-dollar chemical plant if it could be guaranteed a supply of gas.