Australia Pacific LNG Ships First Cargo from Curtis Island Export Facility

The LNG carrier Photo: Australia Pacific LNG
The LNG carrier Methane Spirit loads the the first LNG cargo from Australia Pacific LNG, January 9, 2016. Photo: Australia Pacific LNG

Australia Pacific LNG has shipped the first liquefied natural gas (LNG) cargo from its new LNG export facility on Curtis Island in Queensland, Eastern Australia.

The LNG carrier, the Methane Spirit, departed Australia Pacific LNG’s facility on Saturday, January 9.

Australia Pacific LNG CEO, Page Maxson, said the departure of the LNG vessel marks over four years of planning and construction since making the Final Investment Decision.

Construction of the APLNG facility began in 2011 and consists of two production units, each with the capacity to deliver 4.5 million tonnes per annum of LNG. Construction on the second production unit is nearing completion, with expected first LNG in the second half of 2016.

The project converts coal seam gas (CSG), a natural gas found in coal deposits, into LNG by cooling the gas into liquid form, making it easier to transport. The project made up of industry partners Origin (37.5%), ConocoPhillips (37.5%) and Sinopec (25%).

While Australia Pacific LNG is already the largest producer of CSG in Australia – supplying gas to power stations to supply major industrial customers, homes and businesses in South East Queensland – LNG export is a relatively young industry in Australia. By 2020, however, LNG is seen as overtaking iron ore as the main driver of Australia’s exports.

“With our domestic customer portfolio, the start of Train 1 and the first export of LNG, Australia Pacific LNG has become the largest producer of natural gas in Eastern Australia. This position will only be strengthened as we expect to reach full production from two LNG trains by the end of 2016, reflecting our industry-leading 2P reserves position,” said Maxson.