LNG Limited and Jemena have made a pre-front-end engineering and design (FEED) study agreement to evaluate the potential for the QGP to transport gas for the “˜Fisherman’s Landing’ project from the Wallumbilla Gas Hub to the Callide Gas Hub in Gladstone.
LNG Limited recently received environmental approval for a 20 km gas pipeline from Callide to the Fisherman’s Landing project site. Jemena’s existing QGP currently operates from Wallumbilla to Gladstone, with its route running through the Callide Gas Hub.
“The QGP is currently operating at close to full capacity between Wallumbilla and Gladstone, but may be capable of expansion in order to transport up to 180 PJ/a of gas supply from Wallumbilla to the Callide Gas Hub, then connecting to the Gladstone “˜Fisherman’s Landing’ LNG Project’s planned 20 km gas pipeline,” LNG Limited said.
“The study is planned for completion in June 2011 and if satisfactory, and subject to agreement of acceptable terms with Jemena, it is proposed to progress to a full FEED study in parallel with ongoing discussion with potential gas suppliers for delivery of gas to either the Wallumbilla or Callide gas hubs.”
LNG Limited added that the QGP’s close proximity to several gas permit areas opened up the potential for several additional gas supply delivery points.
The Callide Gas Hub is the chosen location for four new pipelines from the Surat Basin. Two new pipelines from the Bowen Basin are planned to enter Gladstone in order to provide gas supply to various LNG projects proposed for Curtis Island.
In addition, Queensland Minister of Mines Stirling Hinchliffe has granted LNG Limited a petroleum facility licence for the Gladstone “˜Fisherman’s Landing’ LNG Project.
“The purpose of the licence is to ensure that acceptable and safe practices are adopted and complied with throughout the design, construction and operation of the project,” the company said.
The Gladstone “˜Fisherman’s Landing’ LNG Project will be designed to process 3 MMt/a of LNG. China Huanqiu Contracting & Engineering Corporation, a wholly-owned subsidiary of China National Petroleum Corporation, is considering purchasing the initial 3 MMt/a offtake from the project, and has been appointed as the project’s engineering, procurement, construction and commissioning contractor.
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