PNG LNG to Commence Shipment in Second Half of 2014

Santos on Thursday said that PNG LNG is over 90% complete and first LNG shipment to Asia will likely commence in second half of 2014.

“PNG LNG is over 90% complete and on track for first LNG in the second half of 2014, with commissioning gas from the Kutubu field introduced into the upstream Hides Gas Conditioning Plant in December. Commissioning is also ramping up at the LNG plant with gas circulating in train 1, the refrigeration compressors being test run, and the LNG loading jetty and both LNG tanks completed,” the company said while posting its fourth quarter activities report.

The Australian firm has a 13.5 percent interest in the PNG liquefied natural gas (LNG) project. The project is operated by ExxonMobil.

Talking about the GLNG project, Santos said it is over 72% complete and on track for first LNG in 2015, with over 230 CSG wells drilled for the year.

The Santos GLNG project is a venture to convert coal seam gas (CSG) to liquefied natural gas (LNG) for export to global markets.

“The GLNG project remains on track for first LNG in 2015, and we are confident that this year will see the project achieve a number of major milestones. The estimated capital cost for both the PNG LNG and GLNG projects is unchanged,” Santos Managing Director and Chief Executive Officer David Knox said.

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