positive shell ok to prelude timor sea today

In breaking news ...really excellant positive here for MEO.

Timor Sea LNG development....but also this massive project supports concept of "standed" off shore development.

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Shell to give FID nod to Prelude project


May 20, 2011 - 12:04PM .



AAP

Energy giant Royal Dutch Shell is expected to make a positive final investment decision (FID) for the world's first floating liquefied natural gas (LNG) project, offshore from Western Australia.

Shell is due to hold a press conference on Friday with Shell Australia chair Ann Pickard, Shell executive director for upstream international Malcolm Brinded, Federal Resources and Energy Minister Martin Ferguson and WA Premier Colin Barnett.

The company is expected to announce it will proceed with the Prelude project in the Timor Sea, near the Ichthys LNG project planned by Japan's Inpex and France's Total S.A.


The Prelude project is seen as a testing ground for cutting-edge, vessel-based gas processing technology that promises swifter, cheaper development of remote fields once considered "stranded".

According to Shell's website, the floating facility will be about 480 metres long and 75 metres wide, and will be moored in water around 250 metres deep at the gas field during production, even during cyclones.

The vessel will be capable of producing about 3.5 million tonnes of LNG per year as well as liquid petroleum gas and condensate for export.

Shell's vice-president of projects and technology, Marjan van Loon, recently reiterated the company's intention to spend between $30 billion and $50 billion on Australian LNG projects over the next decade.

This includes the Chevron-led Wheatstone and Gorgon projects and the Woodside Petroleum Ltd-led Browse project, all in WA.

Shell's investment in Australian LNG over the next 10 years would add 11 million tonnes per annum of LNG to its output, she also said.