re: Ann: Second quarter report for period end... Woodside steps...

re: Ann: Second quarter report for period end... Woodside steps towards firing up Pluto 2
http://www.businessspectator.com.au/bs.nsf/Article/Woodside-steps-towards-firing-up-Pluto-2-pd20090725-U9QH5?

By a staff reporter

Woodside Petroleum Ltd appears to have taken a step towards inking a gas supply deal for the $5 billion second train, Pluto 2, for its liquified natural gas project (LNG) in Western Australia, after setting a tentative two-month timeline to award early design contracts.

In its June-quarter report on Friday, the oil and gas producer said it expects to award front-end engineering and design contracts to expand the Pluto project in the September quarter.

Woodside added that the decision was "subject to the progression of gas supply options".

A second train - which was part of Woodside's initial planning when the Pluto development was first given the green light in 2007 - is expected to make the site far more lucrative considering that most of the supporting infrastructure is in place.

The company is understood to be aiming to immediately transfer the Pluto 1 construction crew to develop a second processing train.

However, as Woodside pointed out, the project rests on securing gas supply, which has been difficult to date.

The company said in May that it was in talks with Apache Energy Ltd to buy gas to feed Pluto 2, but it did not provide an update.