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Scarborough gasfield development, Australia

22nd January 2021

By: Sheila Barradas

Creamer Media Research Coordinator & Senior Deputy Editor

     

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Name of the Project
Scarborough gasfield development.

Location
In the Carnarvon basin, about 375 km west-north-west of the Burrup Peninsula, in Western Australia.

Project Owner/s
The project is a joint venture (JV) between Woodside and BHP. The JV partners Woodside and BHP reached an agreement in February this year to align their participating interests across the Scarborough and North Scarborough titles, resulting in Woodside holding a 73.5% interest and BHP holding the remaining 26.5% interest in both titles.

Project Description
Woodside is proposing to develop the Scarborough gas resource, which has a contingent resource of 11.1-trillion cubic feet and supports the recovery of volumes of more than 500-billion cubic feet per well.

The new offshore facilities will initially have seven high-rate, subsea gas wells tied back to a semisubmersible floating production unit moored in 900 m of water close to the Scarborough field. Gas will be transported by an estimated 430 km pipeline to onshore processing infrastructure on the Burrup peninsula.

Potential Job Creation
Not stated.

Capital Expenditure
$11.4-billion.

Planned Start/End Date
First production from the Scarborough gasfield has been targeted for 2026,

Latest Developments
Woodside has agreed to double its supply of liquefied natural gas to Uniper Global Commodities under amendments to a binding long-term sales and purchase agreement signed at the end of 2019.

Initial supply will start in 2021, with Woodside to supply up to one-million tonnes a year of LNG, increasing to two-million tonnes a year from 2026. The majority of the LNG supply from 2025 would be conditional upon a final investment decision on the development of the Scarborough gas resource.

The 13-year term of the Uniper offtake agreement will remain unchanged.

Woodside CEO Peter Coleman says that the expansion of the existing agreement with Uniper demonstrates further progress towards a final investment decision for Scarborough.

A final investment decision on Scarborough and the Pluto Train 2 is expected in the second half of 2021.

Coleman says Woodside has now secured long-term customers for more than 40% of its expected Scarborough equity production.

Key Contracts, Suppliers and Consultants
SNC Lavalin (engineering subdesign contract).

Contact Details for Project Information
Woodside, tel +61 8 9348 4000.

Edited by Creamer Media Reporter

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