Name and Location
Santos Gladstone liquefied natural gas (GLNG) project, Queensland, Australia.

Client
The Santos GLNG project is a joint venture between operator Santos (30%), Petronas (27.5%), Total (27.5%) and Korea Gas Corporation (15%).

Project Description
The Santos GLNG project is a pioneering venture to convert coal seam gas (CSG) to LNG for export to global markets.

It includes the development of CSG resources in the Bowen and Surat basins, in south-east Queensland; the construction of a 420 km underground gas transmission pipeline to Gladstone; and two LNG trains, with a combined nameplate capacity of 7.8-million tonnes a year, on Curtis Island.

Value
$18.5-billion.

Duration
The first LNG will be delivered in 2015 and it is expected that the LNG plant will reach plateau production of LNG in 2016 and maintain this for more than 20 years.

Latest Developments
The Queensland Coordinator-General has released the draft environmental-impact statement of the proposed expansion of the GLNG project for public comment.

The GLNG project is slated for first production in 2015 and will deliver about 7.8-million tonnes a year of gas.

The expansion of the GLNG project will involve the construction, operation, decommissioning and rehabilitation of additional production wells and associated infrastructure in tenures held by Santos in the Surat basin.

The expansion project is expected to extend the existing approved gasfield development activities of the GLNG project over the next 30 years, and will expand the GLNG’s gasfields from 6 887 km² to 10 676 km², and will develop up to 6 100 additional production wells beyond the currently authorised 2 650 production wells.

The Queensland government has pointed out that the expansion project could create an additional 1 900 jobs in the Surat and Bowen basin regions.

Deputy Premier and Minister for State Development, Infrastructure and Planning Jeff Seeney has said the expansion project entails the progressive development of 35 petroleum tenements covering around 11 000 km² in the south-west of the state. These tenements are located across areas in the vicinity of Roma, Wallumbilla, Miles, Surat, Wandoan, Taroom, Injune and Rolleston and could lead to about 6 000 production wells and necessary accompanying infrastructure being constructed progressively over the next 20 years.

“If the project goes ahead, it will provide considerable medium and long-term job opportunities for the region. However, its expansion must strike the right balance between the environment and existing land uses,” says Seeney.

The Coordinator-General is conducting a single assessment on behalf of the state and federal governments with consultation set to occur from November 10 to December 22.

Key Contracts and Suppliers
Fluor Corporation (engineering, procurement and construction services for upstream facilities); Saipem (construction of the gas transmission pipeline); Bechtel (construction of the LNG plant) and Theiss (tunnel).

On Budget and on Time?
The project is on budget and on track to deliver first LNG in 2015.

Contact Details for Project Information
Santos GLNG project, tel +61 07 3838 3000, fax +61 7 3862 3722 or email info@glng.com.au.