Scarborough gasfield development, Australia – update
Name of the Project
Scarborough gasfield development.
Location
The project is located 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
A final investment decision on the Scarborough project is expected in the second half of 2021, Woodside has said.
The company has told shareholders that the joint venture (JV) has received offers for the grant of petroleum production licences for he Scarborough and North Scarborough titles from the Commonwealth and Western Australian Joint Authority.
Woodside CEO Peter Coleman has said that the JV intends to accept the production licences, demonstrating the strong commitment of the JV participants and the state and federal governments to advance the project.
“The impacts of Covid-19 and the ensuing volatility in market and investment conditions have provided us with an opportunity to review options for the Scarborough development, allowing us to improve execution certainty and increase the value of the world-class resource,” Coleman has said.
“With production licences and the offshore project proposal environmental approval in place, Woodside will have secured the key primary Commonwealth approvals required to support a final investment decision.”
The Scarborough JV will now advance its application for a pipeline licence and submission for the field development plan to the Joint Authority to make a final investment decision in the second half of next year.
Key Contracts, Suppliers and Consultants
SNC Lavalin (engineering subdesign contract).
Contact Details for Project Information
Woodside, tel +61 8 9348 4000.
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