Shell's Australian FLNG timed for 2016 start-up

Rick Wilkinson
OGJ Correspondent

MELBOURNE, Oct. 14 -- Royal Dutch Shell PLC does not expect to start production from its proposed floating LNG (FLNG) project in the Browse basin off Western Australia until at least 2016, according to the company’s draft environmental impact statement.

Although the front-end engineering and design process (contracted to Technip SA of France and Samsung Heavy Industries of South Korea) has begun, Shell does not expect to make a final investment decision until early 2011.

The $5 billion, 600,000-tonne FLNG facility is expected to take 5 years to build.

Meanwhile, Shell intends to drill eight subsea production wells on its Prelude and Concerto gas discoveries in the Browse basin 475 km north-northeast of Broome. Development drilling is scheduled to begin in 2013 and take 2 years. The wells will be tied back to subsea manifolds before being connected to the FLNG vessel via flowlines and riser.

The vessel tow from the South Korea construction yard (Technip and Samsung also have the contract to build the FLNG), along with installation and hook up, will take about 6 months, with commissioning in the late 2015 before first production the following year.

Production is estimated to comprise 3.6 million tonnes/year of LNG, 1.3 million tpy of condensate, and 400,000 tpy of LPG.

Shell says the offshore project will have a low environmental footprint on its location away from migration paths for whales and turtles that seasonally pass up and down the Western Australian coast.

The FLNG project will come on stream after the company’s proposed onshore coal seam gas-LNG project at Gladstone, Queensland, in joint venture with Arrow Energy begins production in 2014.

Related Articles

House will vote on amended LNG export bill, Gardner says

06/23/2014 The US House will vote early the following week on HR 6, which is aimed at expediting US LNG exports, Rep. Cory Gardner (R-Colo.) announced on June...

LNG exports dominate Senate committee hearing on US gas potential

06/20/2014 Liquefied natural gas exports quickly took center stage at a June 19 US Senate Energy and Natural Resources Committee hearing to examine “how to ha...

Udall introduces updated bill to accelerate LNG export approvals

06/19/2014 US Sen. Mark Udall (D-Colo.) introduced an updated version of his earlier bill aimed at accelerating federal approvals of LNG export projects. The ...

FERC approves Cameron LNG liquefaction, export project

06/19/2014 The Federal Energy Regulatory Commission authorized Cameron LNG LLC’s plan to build and operate facilities to liquefy and export natural gas from i...

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