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 start of the Ichthys LNG project has been delayed, following delays in the installation of offshore production facilities.
The project had initially been slated to start production in the third quarter of 2017; however, Inpex has postponed this to before the end of March 2018.
The company has reported that the LNG project’s central processing facility has set sail from its construction site in South Korea, and is expected to reach offshore Western Australia within the next month-and-a-half, after which shipyard commissioning and preparation work will be completed.
The Ichthys floating production, storage and offloading facility is also scheduled to be towed to undergo hook-up.
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 Ichthys project has recently been hit by a number of setbacks, including contract disputes between its contractors and claims from construction company Laing O’Rourke that it has not been paid for work on the remote engineering project, prompting the company to withdraw about 600 workers.
Contact Details for Project Information
Inpex, tel +61 86 213 6000, fax +61 86 213 6455 or email enquiries@INPEX.com.au.