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Inpex’s long-delayed Ichthys turns on the gas

Inpex has started producing gas at the $54 billion Ichthys liquefied natural gas project off northern Australia, a major milestone for the long-delayed project.

 

“The project expects to begin the shipment of products towards the end of the first half of the current fiscal year,” Inpex said.

 

Condensate will be shipped first, followed by LNG, Inpex said.

 

Japan’s biggest oil and gas producer had said late last month that commissioning of all onshore and offshore facilities was complete and that gas would start flowing within a week or two.

 

“There are various minor issues to address in the final safety checks ... but there are no major problems with the facilities,” Inpex chief executive Takayuki Ueda said.

 

The project, already hit by multiple delays, is a major test for Inpex as it marks the first time it has operated a major energy development on its own.

 

At full operation, Ichthys is expected to produce 8.9 million tonnes of LNG a year, along with about 1.7 million tonnes of liquefied petroleum gas and about 100,000 barrels a day of condensate.

Published: 30-07-2018

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