nod for australia pacific lng

http://www.upstreamonline.com/live/article236121.ece

Australia Pacific LNG, a joint venture between Origin Energy and ConocoPhillips, has cleared another hurdle after receiving environmental approval for its coalbed methane (CBM) to liquefied natural gas project from the Government of Queensland.

Upstream staff 09 November 2010 01:59 GMT

Environmental approval has been granted for the development of the gas field occurring progressively over a 30 year period, a 450 kilometre transmission pipeline and an LNG facility on Curtis Island.

?The project will form part of a burgeoning world scale, long term industry in Queensland, utilising Australia Pacific LNG?s substantial coalbed methane (CBM) gas resources in the Surat and Bowen basins,? Australia Pacific LNG project director, Page Maxson, said today.

ConocoPhillips owns a 50% stake in Australia Pacific LNG, with Origin Energy owning the other 50%.

ConocoPhillips recently said it expects to meet another milestone, with a final investment decision for the project by the end of this year.

In its latest project guidance, the US energy giant said it plans to make an announcement on the sale of two trains of liquefied natural gas before the end of this year ?in support of moving to ?final investment decision?, but would not reveal any specifics on its sales strategy.

Origin has indicated the project?s proven and probable reserves are 9.5 trillion cubic feet of gas. The co-owners intend to build two LNG trains with production capacity of 9 million tonnes per annum.

Conoco Phillips added that next year it plans to invest between A$1 billion and A$1.5 billion (US$1 billion and US$1.5 billion) more than it spent this year.

The project?s main contractors are Bechtel on the onshore side, the Baulderstone Bilfinger Berger Services joint venture on the upstream side and an alliance between McConnell Dowell and Consolidated Contractors for the onshore export pipeline. Drilling services are being provided by Savanna Energy Services.

Published: 09 November 2010 01:59 GMT | Last updated: 09 November 2010 02:01 GMT