Name of the Project
Ichthys liquefied natural gas (LNG) project.

Location
Australia.

Client
The project is a joint venture between the Inpex group companies (the operator), major partner Total, CPC Corporation Taiwan and the Australian subsidiaries of Tokyo Gas, Osaka Gas, Kansai Electric Power, Chubu Electric Power and Toho Gas.

Project Description
The Ichthys LNG project is ranked among the most significant oil and gas projects in the world.

The project’s central processing facility (CPF) — which is the world’s largest semisubmersible platform — will support hydrocarbon processing systems, utilities and living quarters for workers.

After initial processing, most of the condensate will be transferred to the nearby floating production, storage and offloading  (FPSO) facility for offshore processing. The 336-m-long ship-shaped, weather-vaning vessel has been designed to hold more than one-million barrels of condensate.

Once built, the FPSO facility will be towed about 6 000 km to the Ichthys field, in the Browse basin, off the shore of Western Australia. It will be permanently moored near the field for the life of the project by 28 mooring lines, representing more than 25 000 t of anchor chain.

One of the world’s longest subsea gas export pipelines (GEPs) will deliver the natural gas and some condensate from the CPF, located off the Western Australian coast, to the onshore processing facilities near Darwin, in the Northern Territory of Australia, so that these can be prepared for export. The 42" pipeline will span 890 km, about the distance from Sydney to Melbourne.

The onshore processing facilities at Bladin Point, near Darwin, will cool the gas delivered through the pipeline and then transform it into liquid to reduce its volume for transport. Purpose-built, state-of-the-art onshore facilities will include two LNG trains, liquefied petroleum gas and condensate plants, product storage tanks, administration facilities, utilities, a materials off-loading facility and a jetty.

The project is expected to produce 8.9-million tonnes of LNG and 1.6-million tonnes of liquefied petroleum gas a year, along with more than 100 000 bbl/d of condensate at peak.

Jobs to be created
Not stated.

Value
The project is estimated at $34-billion.

Duration
First production is scheduled to start towards the end of September 2017.

Latest Developments
The Ichthys LNG project was 90% complete as at September 2016.

Inpex has brushed off concerns about delays to the Ichthys LNG project, following the termination of UGL’s construction and commissioning contract of the combined-cycle power plant project (CCPP), in Darwin.

The termination of the contract is the result of a spat between UGL, which was recently bought by Cimic, and main contractor JKC Australia, reportedly over project delays and cost blow-outs. The cancellation of the contract resulted in 300 people losing their jobs.

Inpex has said in a statement to Mining Weekly Online that outstanding works to complete the remaining CCPP scopes are not on the critical path for the start of production. The company has said that its target remains to start production in the third quarter of 2017.

JKC for its part said that it was disappointed that UGL had taken this action, saying that construction of the CCPP had been temporarily halted.

“The CCPP is approximately 89% complete, and JKC remains committed to delivering its scope of work and the overall Ichthys project onshore LNG facilities,” the contractor has said.

Key Contracts and Suppliers
JKC Australia LNG (lead onshore contractor); Samsung Heavy Industries (CPF); Daewoo Shipbuilding & Marine Engineering (FPSO) facilities; Saipem (engineering, procurement, construction and installation contractor for the GEP).

On Budget and on Time?
The start date of the project was postponed from December 2016 to the third quarter of 2017, owing to the company’s decision to increase the expected production capacity from the originally planned 8.4-million tonnes a year to 8.9-million tonnes a year.

Contact Details for Project Information
Inpex, tel +61 86 213 6000, fax +61 86 213 6455 or email enquiries@INPEX.com.au.