Arrow Energy to expand Surat coal seam gas project

Aug. 12, 2024
The Shell-PetroChina joint venture will expand its coal seam gas project in Queensland, Australia.

Arrow Energy Pty Ltd., a 50-50 incorporated joint venture between Shell and PetroChina, will expand its coal seam Surat Gas Project (SGP) in Queensland, Australia, through a second phase area northeast of Miles in Western Downs (SGP North).

Construction on SGP North, scheduled to begin later this year, is comprised of up to 450 production wells, a field compression station, 27 km of new pipeline, a low-pressure gas connection to QGC’s McNulty field compression station, water and brine infrastructure expansion and upgrades, and road upgrades over two phases.

The gas will flow to the Shell-operated QCLNG liquefied natural gas (LNG) plant on Curtis Island, near Gladstone, to meet long-term contracts and supply domestic customers as part of an existing 27-year gas sales agreement between Arrow Energy and QGC. The expansion is expected to contribute around 22,400 boe/d (130 MMcfd) at peak production. First gas is targeted for 2026.

About the Author

Alex Procyk | Upstream Editor

Alex Procyk is Upstream Editor at Oil & Gas Journal. He has also served as a principal technical professional at Halliburton and as a completion engineer at ConocoPhillips. He holds a BS in chemistry (1987) from Kent State University and a PhD in chemistry (1992) from Carnegie Mellon University. He is a member of the Society of Petroleum Engineers (SPE).