Coal Seam Gas Project in QLD



Coal Seam Gas Project in QLD

Assignmmet 1: Project For Learning

Project Background

Project management is the art of directing and coordinating human and material resources throughout the life of a project by using modern management techniques to achieve predetermined objectives of scope, cost, time, quality and participation satisfaction

Queensland has abundant coal seam gas resources which have been developed to supply fuel for domestic power generation. With increasing reserves being proven the potential to supply gas to the export market in the form of Liquefied Natural Gas (LNG) has developed and a number of companies are examining the potential to liquefy coal seam gas for shipment overseas. (Baker 2009)

Queensland Gas Company Limited (QGC) is proposing to develop a Liquefied Natural Gas (LNG) export facility at Gladstone in Central Queensland, Australia. The facility will allow QCLNG to commercialise QGC's Surat Basin coal seam gas (CSG) resources. Phase 1 of the Project will construct a facility to produce three to four million tonnes per annum (Mtpa) of LNG, with the potential for future expansion to twelve Mtpa.

The facility will be developed on Curtis Island (in the North China Bay area) which lies within the Gladstone Ports limits. The North China Bay site is in close proximity to the industrial deepwater berths in the port of Gladstone1. The project will source gas from QGC's CSG fields around the Miles area of the Surat Basin, with gas being transported to the Curtis Island LNG facility via a subsurface 380 km gas transmission pipeline(s).

The project

The project is predicted to cost approximately A$8 billion for Phase 1 and to generate at the peak of the four year construction period approximately 3600 jobs and sustain around 820 jobs during operation. The project will consist of the following key components:

CSG field development-expansion of fields by two sets of around 1500 wells

gas transmission pipeline construction-a network in the Surat Basin, a collector pipeline to the Fairview area for a third train, and a transmission pipeline to Gladstone LNG liquefaction and export facility development for three trains on Curtis Island.

The QCLNG project will consist of:

• Project Infrastructure - to be developed by the proponent; and

• Ancillary Infrastructure - to be developed by other parties.

Project infrastructure is as follows with the EPBC referral numbers referenced;

QGC Limited owns and operates a number of CSG fields in the Miles area with a development program to have approximately 250 operating wells supplying the domestic market by 2010. These fields and further lateral extensions will be developed and expanded to provide sufficient gas supply to the LNG facility. To accommodate this gas demand, existing gas field activities will require significant expansion of well development, in-field compression, processing plant, associated water management, land access and ancillary infrastructure. Integral to this field development is the investigation of environmentally2, economically and socially responsible water processing and beneficial reuse options for the associated water. The project will require approximately 600 production wells by the end of 2013 and up to ...