Oil and gas giant Shell said it has shelved the $US 20 billion-plus Arrow LNG project in Australia in the wake of the oil price slump.
“ We have slowed down on new developments which for example means Arrow greenfield LNG is off the table, and Abadi FLNG and Browse FLNG have been re-phased to optimise the concept by the operator, ” Shell’s CEO Ben van Beurden said in a presentation for fourth-quarter results on Thursday.
According to van Beurden, Shell is currently prioritising LNG developments in North America and “ in that timeframe – LNG Canada and Elba LNG Canada alone is 13 mtpa, and 50% Shell .”
The Arrow LNG project, which Shell was developing with PetroChina, involved a liquefaction facility on Curtis Island able to produce up to 18 mtpa of LNG, and included the phased construction of up to four trains on its Curtis Island site.
Stage 1 included the construction of two trains of around 4 mtpa of LNG each on the Arrow site behind Boatshed Point.
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