WOODSIDE has awarded a contract to Bechtel (Western Australia) Pty Ltd to undertake front-end engineering design (FEED) for its 100% owned Pluto Train 2 Project.
The FEED work includes activities required to finalise the costs and technical definition for the proposed second LNG train at the Pluto LNG facility.
The awarded contract also includes an option for Woodside to progress to a lump sum engineering, procurement and construction contract for execute phase activities. This option is subject to, among other conditions, a positive final investment decision (FID) being taken on the project.
Woodside CEO Peter Coleman said the decision to enter FEED for the Pluto Train 2 Project is a significant step towards progressing the Burrup Hub – a regional LNG production centre in northern Western Australia.
“Our Burrup Hub vision is taking shape as we work with Bechtel to progress the Pluto Train 2 Project, which will create a pathway for the globally cost-competitive development of Western Australian gas resources,” he said.
The Pluto Train 2 Project will underpin Woodside’s preferred concept for the development of the 7.3 Tcf (2C, 100%) Scarborough gas resource (Woodside 75%). The project will include a second LNG train at the Pluto site with a targeted capacity of 5 Mtpa and installation of domestic gas infrastructure.
Woodside is targeting FID for the Pluto Train 2 Project in 2020 and ready for start-up in 2024.
Achieving these milestones is subject to all necessary joint venture approvals, regulatory approvals and appropriate commercial arrangements being finalised.