Australia Grants Major Project Status to AU$1.6 Billion FLNG

The Australian government has granted a AU$1.6 billion floating liquefied natural gas project (FLNG) major project status. The project, which is one of many is meant to strengthen the country’s reputation in the offshore gas sector.

“The Australian government is dedicated to ensuring Australia’s resource and energy sectors are globally competitive, innovative and continue to create jobs,” said Australian resources minister Matt Canavan.

As quoted in the press release:

Perth-based Transborders Energy is developing the small-scale FLNG venture, which will provide a solution for owners of gas offshore Australia. Transborders’ generic FLNG solution will aim to deliver a 1.2 million tonne a year (Mt/y) vessel with a package of streamlined processes and commercial agreements.

It will also facilitate the regulatory approvals that underpin the conversion of discovered but stranded gas resources into commercially viable reserves and the subsequent final investment decision.

The project is also expected to create employment opportunities, including an estimated 150 direct jobs during hook-up, commissioning and start-up of the initial FLNG vessel. Another 100 direct jobs and around 200 indirect skilled jobs are forecast over the life of the project.

Transborders managing director Daein Cha was pleased to receive the Major Project designation from the Australian Government.

“We look forward to working with the Australian Government to deliver our predetermined, low-cost FLNG Solution for monetizing a range of stranded gas resources in the Australian jurisdiction,” Cha said.

Transborders is working with partners Add Energy and TechnipFMC (NYSE:FTI) technical advisor MODEC (TSE:6269) and a major Asian LNG Buyer to progress development of the FLNG project.

The company will receive assistance from the Major Project Facilitation Agency to navigate the Commonwealth approvals process to develop the project.

Click here to read the full release