Barossa project to backfill Darwin liquefied natural gas plant, Australia

22nd June 2018 By: Sheila Barradas - Creamer Media Research Coordinator & Senior Deputy Editor

Barossa project to backfill Darwin liquefied natural gas plant, Australia

Name of the Project
Barossa project to backfill Darwin liquefied natural gas (DLNG) plant.

Location
The project is located 300 km north of Darwin, within Santos’ Northern Australia portfolio, one of the company’s core long-life, natural gas assets.

The project area encompasses petroleum permit NT/RL5 over the Barossa field and petroleum permit NT/RL6 to the south over the Caldita field to be developed as a potential future phase of the project.

Client
Santos holds a 25% interest in the Barossa Caldita joint venture (JV), along with operator ConocoPhillips (37.5%) and SK E&S (37.5%).

Project Description
The Barossa development comprises a floating production storage and offloading facility (FPSO), with six subsea production wells to be drilled in the initial phase, supporting in-field subsea infrastructure and a gas export pipeline tied into the existing pipeline between Bayu-Undan and Darwin.

The project aims to provide gas for the DLNG plant after the Bayu-Undan reservoir ceases production post 2022.

Barossa’s development will extend the operating life of the DLNG plant by more than 20 years.

Potential Job Creation
Not stated.

Value
Not stated.

Duration
A final investment decision is expected towards the end of 2019.

Latest Developments
Santos has awarded three major engineering contracts on the front-end engineering and design (FEED) phase of its Barossa offshore project.

Separate engineering contracts for the proposed FPSO have been awarded to MODEC and a consortium between TechnipFMC and Samsung Heavy Industries.

A design competition will be conducted between the two groups.

A third contract for the subsea infrastructure, including umbilicals, flowlines, risers and gas export pipeline, has been awarded to INTECSEA.

Santos MD and CEO Kevin Gallagher has told shareholders that the FPSO design competition between leading engineering contractors, with experience in the Australian market, will ensure a robust, cost-competitive package is delivered ahead of a final investment decision. 

Key Contracts and Suppliers
MODEC and a consortium between TechnipFMC and Samsung Heavy Industries (FPSO) and INTECSEA (subsea infrastructure).

On Budget and on Time?
Not stated.

Contact Details for Project Information
Santos media enquiries Joanna Vaughan, tel +61 2 9276 1134 or email joanna.vaughan@santos.com; or investor enquiries Andrew Nairn, tel +61 8 8116 5314 or email andrew.nairn@santos.com.