Partners in the Tangguh production-sharing contract have taken a final investment decision (FID) for development of the Tangguh LNG expansion project in the Papua Barat province of Indonesia.
The BP PLC-led project will add a third LNG train, which will add 3.8 million tonnes/year of production capacity to the existing facility, bringing total plant capacity to 11.4 million tpy. The project also includes two offshore platforms, 13 production wells, an expanded LNG loading facility, and supporting systems.
This FID follows Indonesia’s approval of the Plan of Development II in late 2012, and environmental and social impact assessment in 2014 (OGJ Online, Nov. 5, 2012; Aug. 4, 2014). Front-end engineering and design contracts were let to two consortia in 2014 (OGJ Online, Oct. 22, 2014).
Awards for the project’s key engineering, procurement, and construction contracts are expected in the third quarter with construction to begin thereafter. Operation is expected in 2020.