From initial advice statement to export – a 10 year retrospective of Queensland's liquefied natural gas industry

Abstract

A decade on from the submission of project initial advice statements to Queensland Government agencies in 2008, this paper provides a retrospective on the development journey of three integrated coal seam gas (CSG) to liquefied natural gas (LNG) mega-projects currently delivering domestic and international markets. The process from development concept to operating asset is considered from several perspectives including: project rationale, description and delivery, as well as regulatory approvals. Project delivery is further considered in terms of the upstream, midstream and downstream components. The delivery of world first CSG to LNG is discussed in the context of project execution during significant volatility in the global oil, gas and LNG markets. All three projects have successfully completed commissioning and start-up. Although all six trains have been performance tested at name-plate production capacity, current LNG production is below this level. This paper examines their evolution from the initial concepts through to delivery, including current gas reserves and those required to sustain gas supply over expected project life. The paper also considers how these projects and any future expansion of the Queensland LNG industry will be impacted upon by an evolving global LNG market.