Ichthys LNG project gets final investment decision

INPEX Corp. and Total S.A. have told a joint venture formed by KBR, JGC Corp., and Chiyoda Corp. that the Final Investment Decision (FID) for the Ichthys LNG project has been achieved.

INPEX Corp. and Total S.A. have told a joint venture formed by KBR, JGC Corp., and Chiyoda Corp. that the Final Investment Decision (FID) for the Ichthys LNG project has been achieved. The total project investment is set at $34 billion.

INPEX and Total, as Ichthys’ owners, also have awarded engineering, procurement, and construction for the LNG project to the joint venture.

Feed gas from the Ichthys field, in the Browse basin offshore Western Australia, will be exported to the onshore LNG processing facilities in Darwin via an 889-km (552-mi) pipeline.

“We are pleased to have received notice the FID has been achieved for the Ichthys LNG project and that the JKC JV has received the notice of award of the EPC contract. We have already started initial engineering, procurement and construction activities and look forward to completing the formal EPC contract in the coming weeks,” said Mitch Dauzat, KBR president, Gas Monetization.

Total holds a 24% interest in the project which will develop approximately 3 Bboe including around 500 MMbbl of condensate. First production is expected at the end of 2016.

The offshore facilities will consist of a subsea well development connected to a central processing facility for gas treatment and a floating processing, storage and offloading vessel for condensates.

The plans for development and operation of the Ichthys project have been approved by Australian authorities, and construction will commence in 2Q 2012.

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