Woodside Gives Nod for Browse FLNG

Australia’s Woodside has decided to recommend the Browse Joint Venture participants use floating LNG (FLNG) technology as the development concept to commercialise the three Browse gas fields Brecknock, Calliance and Torosa, located 425 km north of Broome off the Kimberley coast.

This concept would involve using Shell’s FLNG technology and Woodside’s offshore development expertise for the Browse LNG Development.
The selection of FLNG as the development concept requires the approval of the Browse Joint Venture participants before progressing through to the Basis of Design phase.

Other development concepts considered included a pipeline to existing facilities in the Pilbara and a modified option in the Kimberley.
Woodside CEO Peter Coleman said it was pleasing that Woodside had been able to complete the evaluation of alternative development concepts quickly.
“Through this review, a compelling case has emerged for floating LNG as the best option for early commercialisation of the world-class Browse resource,”  Coleman said.

To remind, on April 12, Woodside announced it was not going ahead with the proposed onshore development of Browse LNG at James Price Point near Broome, saying that the development concept does not meet the company’s commercial requirements for a positive final investment decision.

Premier of Western Australia, Colin Barnett, greeted the news that Woodside would not proceed with the James Price Point option with disappointment.

“While I acknowledge that this was a commercial decision by Woodside and its joint venture partners, I am bitterly disappointed,” Barnett said.

“Developing this huge natural resource, which is owned by all Australians, offshore is not in the best interests of the nation or the people of WA,” he said.

While FLNG will deliver royalty income and there will be some jobs for WA in servicing the project, there is no doubt this is a missed opportunity to secure thousands of jobs in construction and in the operation of a gas precinct and to secure gas for our domestic economy,” he said.

 

Offshore Energy Today Staff, August 20, 2013

 

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