By OGJ editors
HOUSTON, July 27 -- Santos Ltd., Adelaide, has issued a contract to Fluor Corp. for the front-end engineering and design of Santos’s Gladstone LNG coalseam gas project in Queensland.
When completed, Gladstone LNG will produce 3-4 million tonnes/year of LNG from a gas supply of about 5.4-7 million cu m/year from Santos-operated coalseam gas fields in Queensland's Bowen and Surat basins. Santos currently produces about 25% of Australia's coalseam gas.
Fluor secured the contract for its second-quarter books. Its scope of work for this contract, according to a Fluor announcement, includes preparation of an execution plan and cost estimate for engineering, procurement, and construction of upstream facilities required to deliver coalseam gas from Santos-operated, coalseam gas fields in central Queensland to the proposed Gladstone liquefaction plant near Gladstone, also in Queensland. Fluor's project team will be led from the firm's Brisbane office.
As operator of Gladstone, Santos has a 60% share of the project. Malaysian state oil company Petronas holds 40% (OGJ Online, June 18, 2009). The joint venture will develop and operate the 435-km gas pipeline to Gladstone and the LNG liquefaction plant on Curtis Island at Gladstone.