Oz Decmil Signs New QGC Contract

Australian engineering firm Decmil Group has signed a new A$150mn (US$108mn) three-year agreement with Shell-lead QGC for works within the Surat Basin in the state of Queensland, it said September 13.  

The agreement will commence November 1, 2018 and the scope includes the provision of construction activities, logistics and maintenance services across a number of QGC’s upstream projects within the Surat Basin. Decmil has been working with QGC in the Surat Basin for over seven years providing services that include the installation of wellheads and various brownfield maintenance activities. The contract includes options to extend for up to two years beyond the initial three-year term, Decmil said.

Decmil CEO Scott Criddle said the company is expecting increased activity in the Australian coalbed methane (CBM) sector and its Queensland business unit over the next few years.

QGC venture is one of Australia's leading natural gas producers, focused on developing Queensland's onshore gas reserves. Shell is the operator and majority interest holder in the venture. Its partners in the LNG plant on Curtis Island are China’s Cnooc (50% equity in Train 1) and Tokyo Gas (2.5% equity in Train 2).