P. 7 ~ Continued - OGJ Newsletter

Nov. 28, 2011

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Cooper basin Western Flank oil line back in service

Santos Ltd. has returned its Tantanna to Gidgealpa crude oil pipeline in Australia's Cooper basin to service at 5,500 b/d of throughput, reported Beach Energy Ltd., Adelaide.

The Beach-operated, 6,000 b/d PEL 92 crude oil pipeline from Callawonga field to Tantanna has remained fully operational while the Tantanna-Gidgealpa pipeline was out of service, Beach noted.

In addition to the Tantanna pipeline, Beach is considering trucking early in 2012 to maximize oil production from its Western Flank operations. This will be underpinned by completion of the Parsons-3, 4, 5, Butlers-2, 3, 4, Germein-1, and Elliston-1 wells in coming months and the new Butlers facility, expected to come on line in December.

The growth of oil production from the Western Flank of the Cooper Basin is a key focus for Beach. To this end, Beach is in the process of planning the construction of a 50-km, 8,000 b/d oil pipeline from Growler field, operated by Senex Energy Ltd. and in which Beach has 40% interest, to Lycium that will tie into a new 15,000 b/d trunk line from Lycium to Moomba.

Contract let for Sabine Pass LNG liquefaction trains

Cheniere Energy Partners LP selected Bechtel to provide engineering, procurement, and construction services for two liquefaction trains at the Sabine Pass LNG terminal in Cameron Parish, La. The project builds on Bechtel's previous work at Sabine Pass where the company designed, built, and expanded the LNG receiving facility.

Bechtel will design, construct, and commission the two liquefaction trains using ConocoPhillips's Optimized Cascade technology. The trains will be built next to the existing facilities at the Sabine Pass terminal, which include five tanks with storage capacity of 16.9 bcf, two docks that can handle vessels up to 265,000 cu m and vaporizers with regasification capacity of 4 bcfd. Bechtel expects to begin construction in 2012.

Cheniere signed its first LNG sale and purchase agreement for production from the Sabine Pass facility in October with BG Group (OGJ Online, Oct. 26, 2011).

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