Another two milestones for Santos GLNG

Santos GLNG has achieved two major milestones this month, ensuring that the pioneering project remains on track to deliver first LNG in 2015.

Santos has reported that two key components of the project have now been completed – the final module on its two LNG processing trains, as well as the first of three major gas processing hubs in its Queensland gas fields.

The last of the 111 modules used to build the two processing trains was installed last week at the Santos GLNG gas liquefaction plant on Curtis Island near Gladstone.

Essentially big refrigerators, the LNG trains will take natural gas piped from the project’s Queensland gas fields and condense it into liquid form for shipment.

Santos GLNG General Manager Downstream Operations Brenton Hawtin explained that once the massive pieces of infrastructure are in full production, they will produce up to 7.8 million tonnes of liquefied natural gas each year.

“Final pipework and cabling on the trains will now take place before commissioning of the plant begins later this year as we look towards first LNG in 2015,” Mr Hawtin said.

Just days prior to installing the final module on the processing trains, Santos announced the completion of its first gas processing hub in its Fairview field.

The hub is now fully operational, and commissioning is progressing on target at Santos GLNG’s two other major processing hubs – a second hub in Fairview field and a third one about 30 minutes’ drive north of Roma.

Santos Vice President Queensland Trevor Brown said the significant CSG-to-LNG industry investment now underway would drive the Queensland economy over the long-term.

“This is a great story for Queensland. Santos GLNG alone is projected to deliver ongoing investment in this state of an average of $1 billion a year from 2016-2020, and an average of half a billion dollars a year after that. This means long-term jobs for Queenslanders over the next 20-30 years,” Mr Brown said.

“This adds to the $6.2 billion we’ve invested with Queensland businesses in building our project to this point, and the $200 million invested in roads, hospitals, schools, weed management, and events.

“LNG is without doubt the new shining light of the Australian economy. In just a few short years, LNG will overtake coal and become Australia’s second-largest export behind iron ore – that is a staggering statistic that demonstrates the massive investment underway today.”

Santos GLNG is a joint venture between Santos, PETRONAS, Total and KOGAS to supply liquefied natural gas to global markets.

The announcement of the project’s two latest milestones this month follows delivery of first gas into the Santos GLNG pipeline last month and the completion of hydrotesting of the second LNG storage tank on Curtis Island.

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