AWE receives five bids for Waitsia Stage 2 development
AWE Limited, the operator of the Waitsia gas project in Western Australia, said the front-end engineering process for the project’s second stage is nearing completion.
AWE noted that a total of five tender submissions have been received for the project, three reflecting traditional engineering procurement construction (EPC) approach, while two utilize a build, own, operate (BOO) delivery model.
AWE has commenced a process to evaluate and compare each submission, the statement reads, with the technology packages are being evaluated to optimise production and full life operational costs, with the overall submissions also reviewed for capital cost certainty and an efficient and cost-effective construction delivery method.
AWE’s CEO and managing director, David Biggs, said the comparison of the bids will run through December.
“The process will also provide the joint venture with capital cost certainty, which is a critical step towards establishing funding requirements and making a Final Investment Decision (FID),” Biggs concluded.
AWE’s joint venture partner in the project is Origin Energy with a 50 percent stake.
The northern Perth Basin has been one of Western Australia’s major gas producing regions for more than 50 years. Discovered in September 2014, the Waitsia field is regarded as the largest onshore conventional gas discovery in Australia for the last 40 years and has the capability to supply the domestic market with 100 TJ/d for at least 20 years from conventional reservoirs.