Australia-based QGC, part of the international BG Group, has announced a two-year, A$1.7bn ($1.2bn) development of the Charlie tenements in Surat Basin in a bid to support gas production.
The company will carry out the development along with its joint venture partners China National Offshore Oil and Tokyo Gas.
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Prior to announcing the investment, QGC secured the Commonwealth and State Government environmental approvals for the development.
As part of the development, 300-400 wells and a field compression station will be constructed.
In addition, associated pipelines and facilities would be built which will feed into existing gas processing and water infrastructure at Woleebee Creek.
Queensland Resources Council chief executive Michael Roche said that the investment announced by the QGC consortium partners will see the Queensland gas export sector tap into the 160% growth in Asian gas demand out to 2040.
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By GlobalData"The industry is subjected to world-class regulation that ensures the interest of all parties, including landowners and local communities, are safeguarded."
QGC aims to sustain natural gas supply to domestic customers as well as the two-train Queensland Curtis LNG (QCLNG) liquefaction plant on Curtis Island, near Gladstone.
Leighton Contractors has been selected as the main works contractor by QGC, which plans to progress development and construction with immediate effect.
QGC managing director Tony Nunan said that the QCLNG plant has delivered 62 cargoes since first LNG production commenced in December 2014.
"The Charlie development will help to sustain the benefits of our investment in local communities and the state, including up to 1,600 construction jobs and business opportunities during the two-year project."
Image: QGC announces investment to develop the Charlie tenements west of Wandoan. Photo: © BG Group
