THE Australia Pacific LNG partners recently celebrated another significant milestone for the Queensland CSG to LNG project with the start-up of production from the project’s second LNG train
Australia Pacific LNG CEO, Page Maxson, said the start of operations from the second train Facility on Curtis Island near Gladstone, marks the final major construction milestone on Australia Pacific LNG’s journey to become one of Australia’s leading domestic and international energy suppliers.
“The second train is up and running, enabling our LNG Facility on Curtis Island to deliver commercial quantities of LNG at sustained output from both trains,” Mr Maxon said.
“With our strong reserves position we are looking forward to working with our key customers here in Australia and overseas to help meet their energy needs today and in the decades ahead.”
“As the largest producer of natural gas in eastern Australia, we are underpinned by a world-class coal seam gas resources position.
We currently provide approximately 25% of domestic gas to the east coast market, with sufficient reserves to meet both LNG and domestic demand,” Mr Maxson said.
With the commencement of train two operations, approximately 200TJ/day of equity gas that was previously directed to the QGC sales contract will become available to Australia Pacific LNG.
LNG production from Australia Pacific LNG’s first train began in December 2015 and the first LNG cargo was exported in January 2016. To date Australia Pacific LNG has loaded a total of 47 cargoes.
The start-up of production from the second train was heralded by industry and government.
The Australian Petroleum Production and Exploration Association (APPEA) described it as another significant milestone for an industry that didn’t exist just seven years ago.
“Australia Pacific LNG, all its employees and contractors are to be congratulated on delivering a first class world project professionally and safely,” APPEA chief executive Dr Malcolm Roberts said.
“Six trains are now fully operational on Curtis Island off Gladstone following unprecedented investment in world-first projects that are exporting a cleaner energy source to the world.
“They form part of a bigger $200 billion investment in new LNG projects which will soon see Australia become the world’s leading exporter of LNG.”
The Minister for Resources and Northern Australia Matt Canavan said the major milestone provides an important boost to Australia’s export capacity and sets the country on track to become the world’s largest exporter of LNG.
“It will also deliver a sustained and reliable energy source to domestic and key international markets like Japan and China,” Minister Canavan said.
“As the third Queensland LNG project to begin production from a second train, the $25 billion APLNG project demonstrates the extent to which the Australian resources sector underpins the national economy and drives growth.
“The Queensland LNG industry exceeds $1 billion in production value a year and has created around 20 000 long term jobs.
“It has also provided an economic boost for regional communities in the Surat and Bowen Basins, as well as Gladstone.
“Queensland is a powerhouse for natural gas and LNG. In the five years to 2015, the CSG industry has directly contributed $10.6 billion to the state’s economy.
“Nationally, the oil and gas industry contributes around two per cent of GDP and the sector’s economic contribution is expected grow to $70 billion by 2020.
“Recent forecasts estimate the value of Australia’s LNG exports will increase by 41% to $23 billion in 2016–17, supported by higher LNG prices and export volumes.
“The Australian Government will continue to put in place policies that drive our prosperity and encourage ongoing investment and jobs growth in this sector,” the Minister said.