A joint venture of Clough and Amec has secured a A$70m ($65m) front-end engineering design (FEED) contract for Arrow Energy’s proposed Bowen gas project in central Queensland, Australia.
Under the contract, the JV will provide front-end engineering to support the next phase of Arrow Energy’s work in developing and commercialising its Bowen Basin gas reserves.
The contract’s scope includes engineering, procurement and contracts award for the early works.
The project includes a staged expansion of Arrow’s existing domestic coal seam gas (CSG) production in the Bowen Basin, to deliver gas to the domestic market.
It will also be used for the production and export of liquefied natural gas.
Clough CEO and managing director Kevin Gallagher said: "This important contract will extend our presence across the Queensland coal seam gas sector and support the planned growth in our engineering division, while providing an excellent opportunity to showcase the benefits of value focused Australian engineering.
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By GlobalData"We will work closely with Arrow Energy and our long-term strategic partner AMEC to establish strong foundations for the successful delivery of the development in the long term."
Arrow Energy CEO Andrew Faulkner said: "This design stage represents an important step forward for Arrow’s Bowen Gas Project."
The Bowen gas project is adjacent to Arrow Energy’s existing Moranbah gas project, which has been producing CSG for the domestic market since 2004.
