LNG Ltd. receives storage tank approval for CSG-LNG project

Rick Wilkinson
OGJ Correspondent

MELBOURNE, Aug. 5 -- Perth company Liquefied Natural Gas Ltd. (LNGL) received approval from Queensland authorities for its proposal to use a membrane storage tank for LNG produced from its coal seam gas-LNG project in Gladstone, Queensland.

The state authorities are satisfied a membrane tank will provide safety levels equal to a traditional full-containment LNG storage tank.

The approval is subject to a number of conditions that LNGL said are acceptable and in accordance with good engineering practice.

The company said the membrane tank will result in cost savings up to $100 million (Aus.) for the project as well as shaving 6 months from the schedule when compared to a traditional nickel-steel tank.

About 30 membrane tanks have already been built around the world, including the major LNG importing countries of Japan and Korea.

LNGL plans to build and operate an LNG facility with a 200,000 cu m capacity membrane tank at Fisherman’s Landing near the Port of Gladstone. Gas feedstock will come from Arrow Energy’s Surat and Bowen Basin coal seam gas fields in southeast Queensland, and the first LNG cargo is scheduled for late 2012.

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