Australia: Osaka Gas Co. Takes 1.2 pct Ichthys Project Stake

Australia: Osaka Gas Co. Takes 1.2 pct Ichthys Project Interest

INPEX CORPORATION (INPEX) announced today that INPEX Ichthys Pty Ltd and other project partners have reached an agreement with Osaka Gas Co., Ltd. to transfer its 1.2% of Ichthys project equity interest(*).

Based on the agreement, Ichthys project equity interest will be as follows:

• INPEX – 74.8%

• TOTAL – 24%

• Osaka Gas – 1.2%

(*) Ichthys project equity interest includes the following elements:

1. Participating interest of WA-37-R (Ichthys gas-condensate field)

2. Participating interest of WA-285-P (exploration permit adjacent to WA-37-R)

3. Shares of Ichthys LNG Pty Ltd (natural gas liquefaction and LNG marketing company)

The Ichthys Project Joint Venture is seeking the continued support from the Australian Government, the Northern Territory Government and other stakeholders for early and optimal commercial gas production from the Ichthys Project.

INPEX recently announced that Ichthys Project has been steadily progressing towards the Final Investment Decision (FID) to be made by the end of this year, but admitted that the upcoming holiday season could delay the FID.

INPEX intends to install a floating central processing facility (CPF) to develop the Ichthys Offshore Field. The greater part of the condensate will be transferred from the field via a subsurface pipeline to a nearby floating production; storage and offtake (FPSO) facility where it will be treated and transferred to offtake tankers for export.

Natural gas from the field will be directed through an approximately 850km long gas export pipeline from the field to the onshore facilities in Darwin for processing into LNG and liquefied petroleum gas (LPG).

The resource estimates for the Ichthys Field are 12.8 trillion cubic feet of natural gas and 527 million barrels of condensate.

The Project is expected to produce more than 8 million tonnes of LNG and 1.6 million tonnes of LPG per year. It will also produce 100 000 barrels of condensate per day at peak.

Offshore Energy Today Staff, December 6, 2011; Image: INPEX