Top End to continue meeting global LNG demand

A proposed offshore gas project in the Top End is gearing up to ensure continued global gas supply for decades to come, while contributing significant income and employment opportunities.

The Barossa offshore gas and light condensate project is proposing to provide a new source of gas to the Darwin LNG facility from 2023, when the existing offshore gas supply from the Bayu-Undan offshore field is expected to be exhausted.

Darwin LNG (DLNG) was built by ConocoPhillips Australia in 2006 and was only the second onshore LNG facility in Australia.

The offshore project is being progressed by the Barossa Joint Venture comprising ConocoPhillips Australia Barossa Pty Ltd as Operator (ConocoPhillips Australia), Santos Offshore Pty Ltd and SK E&S Australia Pty Ltd.

During winter, ICN hosted supplier briefings in both Perth and Darwin to raise awareness of the project and educate local businesses about possible opportunities to get involved as a supplier.

ICN NT consultant Elena Tsangari, who presented at the briefings, said procurement for major scopes, would be through a combination of Engineering, Procurement and Construction/Installation (EPC/I), leasing or direct contracting and procurement by ConocoPhillips Australia. 

ConocoPhillips Australia has partnered with Industry Capability Network NT to assist with Australian vendor identification and to raise awareness and communicate opportunities to provide goods and services to the project.

ICN Gateway will list work packages and expressions of interest as they become available, and companies are encouraged to register for general updates.

‘You must communicate effectively with ICN so ICN can communicate effectively with you,’ Elena told attendees at the supplier briefings.

Earlier this year, Barossa entered the front-end engineering and design (FEED) phase of development.

The project development concept includes a Floating Production Storage and Offloading (FPSO) facility, subsea production system, supporting in-field subsea infrastructure and a gas export pipeline. The FPSO facility will separate the natural gas and condensate extracted from the field with the dry gas transported via the export pipeline for onshore processing. The condensate will be exported directly from the FPSO to offtake tankers.

The proposed new gas export pipeline will be about 260 kms long and would connect to the existing Bayu-Undan to Darwin pipeline about 100 kms offshore.  

In a press release, Chris Wilson, president, ConocoPhillips Australia West said Barossa would meet future global demand for natural gas and contribute significant income, employment and other benefits to the Australia through continued operation of the DLNG facility for at least 20 more years.

‘During the FEED phase the costs and technical definition for Barossa will be matured, access arrangements negotiated with the owners of the Darwin LNG facility and Bayu-Undan to Darwin pipeline, and LNG sales agreements negotiated and finalised,’ he said.

‘The primary goal of FEED is to provide sufficient certainty of cost, schedule and execution planning to support FID.’

More information on the project can be found on the ConocoPhillips Australia website. To register for updates, go the Barossa Offshore page on ICN Gateway.