Shell's in the Timor Sea
9 Aug 2001
Shell Development Australia (SDA) is proposing to use the world's first floating liquefied natural gas (FLNG) technology to develop the Greater Sunrise gas fields in the Timor Sea.
The new generation facility would be located offshore on a barge, close to the proposed Sunrise drilling platform.
As well as manufacturing LNG, the barge offers the option of compressing gas for delivery by pipeline to Darwin, which would support the development of new industries in the area and provide for the longer-term supply of gas to customers in the eastern states of Australia.
SDA outlined the proposal to the joint venturers in the Sunrise gas fields, who will compare its merits with an onshore LNG development proposal made earlier this year by Phillips Petroleum.
The FLNG barge can be delivered within the overall schedule for development of Sunrise.
'The Floating LNG approach to development of Sunrise offers cost reductions over construction of an onshore plant and thus generates commercial returns for shareholders in Sunrise, and substantial tax revenues which will deliver benefits for the people of Australia and East Timor,' said Chief Executive Officer of SDA, Dr. Alan Parsley.
'Sunrise developed with FLNG also delivers superior environmental performance, with reduced greenhouse gas emissions,' he added.
