Toskiaki Kitamura
Photo by: APPEA
PERTH (miningweekly.com) – Japanese energy developer Inpex on Monday said that its Ichthys liquefied natural gas (LNG) project, offshore Western Australia, could deliver total revenues of more than A$250-billion over its 40-year project life.
The Ichthys LNG project is expected to produce 8.4-million tonnes of LNG and 1.6-million tonnes of liquid petroleum gas a year, along with about 100 000 barrels of condensate a day at peak. Production is expected to start by the end of 2016.
Speaking at the Australian Petroleum Production and Exploration Association conference, in Perth, Inpex president and CEO Toshiaki Kitamura said in making the final investment decision for Ichthys, Inpex had emerged as the biggest Japanese investor in Australia.
“Since the investment decision, we are making steady progress by achieving key milestones onshore and offshore. Work is now under way on all of the project’s major components, including the central processing facility, gas export pipeline, LNG plant modules and Blaydin Point onshore facilities,” Kitamura said.
“Later this year, we are planning to start the installation on the plant site of prefabricated LNG plant modules. We will additionally start pipe-laying operations and spud the first well of our development well drilling campaign.”
Project MD Louis Bon told delegates that the project was nearing its 50% completion mark.
“The Ichthys LNG project is fast approaching its scheduled production commencement target of late 2016. With little more than two years to go, our operations team is working hard to prepare,” Bon said.
About 70% of the contracted Ichthys LNG will go to Japanese utilities, some of which were now our new joint venture participants.
The remainder will go to Taiwan under the very first long-term LNG supply contract secured by an Australian project with CPC Corporation. Inpex and a Total affiliate will take a total of 1.8-million tonnes LNG a year.