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Santos GLNG completes Fairview gas processing hub

4 Nov 2014

Santos GLNG has continued to make strong progress towards first LNG in 2015, completing the first of its three major gas processing hubs in its Queensland gas fields.

The hub, located in the Fairview field north of Roma, is now fully operational, with commissioning progressing well at Santos GLNG’s two other major processing hubs.

The milestone 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.

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.

“Looking further ahead, our business is expected to contribute billions of dollars in royalties and taxes over many years – that’s money that can be spent on Queensland’s schools, hospitals and roads.

“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.

“We’re making excellent progress at Santos GLNG. First gas is scheduled to arrive at our plant on Curtis Island later this year, we’re approaching 90% complete, we’re on budget and on track to deliver first LNG in 2015,” Mr Brown said.

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

Background information

- Santos GLNG has three major gas processing hubs – two in the Fairview field about two hours’ drive north of Roma, and one about 30 minutes’ drive north of Roma.

- Natural gas and water from surrounding coal seams is piped to the three hubs via gathering networks.

- The water is removed and treated to be re-used, and the gas is compressed and sent on to the pipeline compressor station where it is fed into the 420-kilometre gas transmission pipeline to Curtis Island, near Gladstone.

- The three hubs service an area of approximately 7,000 square kilometres.

- Santos GLNG clocked up 17.6 million man hours in its gas fields to July this year.

- The largest of the three hubs (Fairview 4) includes:
  - 1,250 tonnes of steel.
  - 9,500 cubic metres of concrete.
  - 440 kilometres of cabling.
  - 40 kilometres of pipework (underground and aboveground).

- At peak capacity, the hubs will be able to process 555 terajoules (TJ) of gas per day, which is the equivalent daily consumption of over 9 million homes or over 30 million people. [Source: IPART, NSW].