Australia: APLNG Contract Goes to Laing O’Rourke

Australia Pacific LNG has awarded Laing O’Rourke a major multi-million dollar contract to build gas processing plants and associated infrastructure as part of the first phase of development of its CSG to LNG Project.

The $650 million contract will create up to 600 jobs and involve construction of seven new gas processing plants at Condabri, Orana (east of Talinga), Reedy Creek, Combabula and Eurombah Creek.

Australia Pacific LNG Chief Executive Officer, Page Maxson said the contract represented a major milestone in the Project’s development.

“The gas processing plants are an integral part of the Australia Pacific LNG Project, processing the raw natural gas produced from the gas fields ready for delivery to the main transmission pipeline for export to domestic and global markets,” Mr Maxson said.

“The contract also represents a significant investment, generating jobs and considerable flow-on benefits throughout the Queensland economy.

“We will benefit from Laing O’Rourke’s experience in successfully delivering the workforce, skills and other resources required for large scale projects like this one,” Mr Maxson said.

Laing O’Rourke Chief Executive Officer, Steve Hollingshead said the company was excited by the opportunity to be involved in the delivery of such pivotal infrastructure.

“We’re very pleased to be joining a project with the potential for such positive economic and social outcomes,” said Mr Hollingshead.

“We are very familiar with this region having previously completed Origin Energy’s Darling Downs Power Station project, and we will continue to ensure that local communities throughout the gas fields benefit from employment and other opportunities a major contract like this presents.”

The contract involves construction of seven new gas processing plants, two permanent accommodation facilities at Condabri Central and Reedy Creek for 130 and 230 operational staff respectively, and support facilities including integrated operations centres, warehouses, workshops and internal roadways.

Construction on the three Condabri sites will commence in July 2012 with completion across all sites expected by the end of 2014.

The Australia Pacific LNG Project is an incorporated joint venture project between Origin, ConocoPhillips and Sinopec that includes development of existing coal seam gas fields in the Surat and Bowen basins and construction of a gas transmission pipeline from the gas fields to an LNG facility to be developed on Curtis Island in Gladstone.

The Project will create approximately 6,000 direct jobs during the peak construction phase which includes the gas fields, gas pipeline and LNG facility. It will also create 1,000 jobs during the operation of the Project.

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LNG World News Staff, July 16, 2012