Regional LNG: Asian markets to benefit from improved North West Shelf LNG reliability

Monday, 16 February 2004 -- Asian LNG customers will soon benefit from even greater reliability of LNG supply from the North West Shelf Venture, with first gas now flowing into the Venture?s second trunkline.

The trunkline has been constructed to meet expected additional LNG demand from Asia and other markets, and more than doubles the NWS Venture?s offshore production capacity.

The new A$800 million, 42-inch (1,067 millimetre) diameter trunkline, the second major line to feed gas into the Karratha plant, will undergo a proving period before gas is produced into LNG at the Venture?s onshore gas plant.

NWS Australia LNG President John Banner said the second trunkline provided Asian LNG buyers with another good reason to choose the NWS Venture as the LNG supplier of choice in the region.

?The North West Shelf Venture has an enviable track record of reliable LNG supply since deliveries to Japan started in 1989,? Mr Banner said.

?Last year we achieved our 1500th consecutive LNG delivery to Japan. This year we will complete the trunkline project, as well as commission the Venture?s fourth LNG processing train.

?This promises to be a very exciting year for the North West Shelf Venture and its valued customers.?

The new 130 kilometre trunkline complements the original 40-inch (1,016 millimetre) trunkline which has operating since 1984. Both trunklines link the Venture?s three offshore production facilities to the Venture?s onshore gas processing facilities on the Burrup Peninsula.

The new trunkline is the biggest installed in Australia and one of the biggest in the world.

It adds significant capacity for increased gas demand from LNG and domestic gas users. The trunkline doubles the Venture's offshore production capacity to its onshore facilities from 1,650 million standard cubic feet a day (46.7 million cubic metres a day) to 3,850 million standard cubic feet a day (110.7 million cubic metres a day).

The six equal participants in the North West Shelf Venture are: Woodside Energy Ltd (Operator); BHP Billiton Petroleum (North West Shelf) Pty Ltd; BP Developments Australia Pty Ltd; ChevronTexaco Australia Pty Ltd; Japan Australia LNG (MIMI) Pty Ltd; and Shell Development (Australia) Proprietary Limited.

Source: North West Shelf Australia LNG Pty Ltd