Regional LNG: Woodside backs Crystal Energy?s US LNG terminal
Thursday, October 28 2004 - 01:02 AM WIB
Woodside (USA) is a wholly owned subsidiary of Woodside Energy Ltd., operator of Australia?s largest resource project, the US$10 billion North West Shelf LNG Venture in Western Australia.
Under a heads of agreement, Woodside will provide technical expertise and has agreed in principle to operate Clearwater Port in exchange for preferential access rights to the terminal.
Woodside will also provide funding to progress required project approvals through US state and federal agencies.
Woodside?s Chief Executive Officer, Don Voelte, said the two companies complemented each other perfectly.
?Woodside has substantial gas reserves and world-wide experience in LNG production and transportation while Crystal provides an ideal potential entry point to the world?s largest gas market,? Voelte said.
?Our involvement in Clearwater Port represents a further step in Woodside?s strategy of securing markets for our Australian gas reserves and assists California to secure a long-term, clean, and reliable energy source.?
Crystal has applied to the US Coast Guard for a deepwater port license for Clearwater Port, which involves conversion of the Grace oil and gas platform 21km off Ventura County in 97 meters of water. The proposal does not include offshore LNG storage as the gas will be directly transferred from tankers into pipelines that will be tied into onshore infrastructure using existing easements.
The terminal is being designed to accept a base capacity of about six million tonnes of LNG a year, or about 800 million standard cubic feet a day.
?The offshore location, the use of an existing platform and the project design will minimize environmental and social impact,? Voelte said.
?The project concept uses established technologies with low capital costs to present a competitive energy supply option for California.? (alex)