Tangguh LNG project partners ponder additional trains

Eric Watkins
Senior Correspondent

LOS ANGELES, Oct. 26 -- BP PLC subsidiary BP Berau Ltd., operator of the Tangguh LNG project, is considering construction of as many as eight additional LNG trains at the company's existing site in Papua.

The company has set up a special team to study the possibility of new trains at the existing plant. Two other LNG trains are nearing completion.

"We are concentrating on getting these [two trains] finished. We are also looking at further development and opportunities for building more trains," said David Clarkson, the project's executive vice-president.

BP began construction of the two trains in March 2005, with the first due to go online in January 2009 and the second in May 2009. The project is said to be 82% complete as of September.

Tangguh will sell LNG to four overseas buyers—China's Fujian (2.6 million tonnes/year), South Korean K-Power and Posco (1.11 million tpy each), and Sempra Energy (3.6 million tpy).

Energy and Mineral Resources Minister Purnomo Yusgiantoro said he would like BP to sell LNG from the trains under consideration as several domestic firms, including state-owned Perusahaan Listrik Negara (PLN) and Perusahaan Gas Negara (PGN), have shown interest in buying gas from Tangguh.

Kanematsu Corp. earlier announced plans to sell its 3.93% stake in the Tangguh LNG project in Indonesia to Mitsui & Co. Ltd., Mitsubishi Corp., Nippon Oil, and Inpex Holdings for 15 billion yen (OGJ Online, Oct. 2, 2007).

The share transfers, which were due for completion on Oct. 22, will see Nippon Oil raise its stake in the project to 13.45% from 12.23%. Mitsui and Mitsubishi will respectively increase their shares to 9.92% from 9.13% and INPEX will increase its stake to 7.79% from 7.17%.

Meanwhile, according to the most recent statement, BP has a 37.16% interest in Tangguh. Its partners include CNOOC Muturi Ltd. and CNOOC Wiriagar Overseas Ltd., 16.96%; MI Berau BV (held by Mitsubishi and Inpex), 16.3%; Nippon Oil Exploration (Berau) Ltd. (held by Nippon Oil Exploration Ltd. and Japan Oil, Gas & Metals National Corp.), 12.23%; KG Berau/KG Wiriagar (held by Kanematsu, Overseas Petroleum Corp., a subsidiary of Mitsui and JOGMNC) 10%; and LNG Japan Corp. (equally owned by Sumitomo Corp. and Sojitz Corp.), 7.35%.

Contact Eric Watkins at hippalus@yahoo.com.

Related Articles

PHMSA proposes pipeline accident notification regulations

07/02/2015 The US Pipeline and Hazardous Materials Safety Administration has proposed new federal oil and gas pipeline accident and notification regulations. ...

Quicksilver Canada gets LNG export approval

07/02/2015 Quicksilver Resources Canada Inc. has received approval from the National Energy Board of Canada to export 20 million tonnes/year of LNG from a pos...

Origin lets contract for Otway basin fields

07/02/2015 Origin Energy Ltd., Sydney, has let a $1.3 million (Aus.) contract to Wood Group Kenny for provision of a detailed engineering design for the onsho...

API to issue recommended practice to address pipeline safety

07/01/2015 The American Petroleum Institute expects to issue a new recommended practice in another few weeks that addresses pipeline safety issues, but the tr...

Shell Midstream Partners takes interest in Poseidon oil pipeline

07/01/2015 Shell Midstream Partners LP has completed its acquisition of 36% equity interest in Poseidon Oil Pipeline Co. LLC from Equilon Enterprises LLC, a s...

Shell makes FID on Appomattox deepwater development in Gulf of Mexico

07/01/2015 Royal Dutch Shell PLC has taken a final investment decision (FID) on the Appomattox deepwater development, authorizing construction and installatio...

Woodside-led Browse FLNG venture enters FEED phase

07/01/2015 The Woodside Petroleum Ltd.-led Browse LNG joint venture has entered the front-end engineering and design phase for a floating LNG (FLNG) developme...

Case for Keystone XL has grown stronger, TransCanada tells Kerry

06/30/2015 Canada is taking strong steps toward combating climate change, and the proposed Keystone XL pipeline crude oil pipeline remains in the US national ...

Lytle named to Canada’s National Energy Board

06/30/2015

Murray Lytle has been appointed as a full-time member of Canada’s National Energy Board for a term of 7 years, effective July 6.

White Papers

2015 Global Engineering Information Management Solutions Competitive Strategy Innovation and Leadership Award

The Frost & Sullivan Best Practices Awards recognise companies in a variety of regional and global...
Sponsored by

Three Tips to Improve Safety in the Oil Field

Working oil fields will always be tough work with inherent risks. There’s no getting around that. Ther...
Sponsored by

Pipeline Integrity: Best Practices to Prevent, Detect, and Mitigate Commodity Releases

Commodity releases can have catastrophic consequences, so ensuring pipeline integrity is crucial for p...
Sponsored by

AVEVA’s Digital Asset Approach - Defining a new era of collaboration in capital projects and asset operations

There is constant, intensive change in the capital projects and asset life cycle management. New chall...
Sponsored by

Transforming the Oil and Gas Industry with EPPM

With budgets in the billions, timelines spanning years, and life cycles extending over decades, oil an...
Sponsored by

Asset Decommissioning in Oil & Gas: Transforming Business

Asset intensive organizations like Oil and Gas have their own industry specific challenges when it com...
Sponsored by

Squeezing the Green: How to Cut Petroleum Downstream Costs and Optimize Processing Efficiencies with Enterprise Project Portfolio Management Solutions

As the downstream petroleum industry grapples with change in every sector and at every level, includin...
Sponsored by

7 Steps to Improve Oil & Gas Asset Decommissioning

Global competition and volatile markets are creating a challenging business climate for project based ...
Sponsored by
Available Webcasts


OGJ's Midyear Forecast 2015

When Fri, Jul 10, 2015

This webcast is to be presented by OGJ Editor Bob Tippee and Senior Economic Editor Conglin Xu.  They will summarize the Midyear Forecast projections in key categories, note important changes from January’s forecasts, and examine reasons for the adjustments.

register:WEBCAST


Predictive Analytics in your digital oilfield - Optimize Production Yield and Reduce Operational Costs

When Tue, Jul 7, 2015

Putting predictive analytics to work in your oilfield can help you anticipate failures, plan and schedule work in advance, eliminate emergency work and catastrophic failures, and at the same time you can optimize working capital and improve resource utilization.  When you apply analytic capabilities to critical production assets it is possible to reduce non-productive time and increase your yield.

Learn how IBM's analytics capabilities can be applied to critical production assets with the goal of reducing non-productive time, increasing yield and reducing operations costs.

register:WEBCAST



On Demand

Cognitive Solutions for Upstream Oil and Gas

Fri, Jun 12, 2015

The oil & gas sector is under pressure on all sides. Reserves are limited and it’s becoming increasingly expensive to find and extract new resources. Margins are already being squeezed in an industry where one wrong decision can cost millions. Analyzing data used in energy exploration can save millions of dollars as we develop ways to predict where and how to extract the world’s massive energy reserves.

This session with IBM Subject Matter Experts will discuss how IBM Cognitive Solutions contribute to the oil and gas industry using predictive analytics and cognitive computing, as well as real time streaming for exploration and drilling.

register:WEBCAST


The Alternative Fuel Movement: Four Need-to-Know Excise Tax Complexities

Thu, Jun 4, 2015

Discussion on how to approach, and ultimately embrace, the alternative fuel market by pulling back the veil on excise tax complexities. Taxes may be an aggravating part of daily operations, but their accuracy is crucial in your path towards business success.

register:WEBCAST


Emerson Micro Motion Videos

Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected