Monadelphous scores new LNG contracts

Australian engineering firm Monadelphous has secured contracts for Shell's Crux natural gas project offshore Western Australia and the Australia Pacific LNG project in Queensland.

According to a statement by Monadelphous, the contracts are worth more than A$100 million ($65.5 million).

Monadelphous has secured a contract with Technip Energies for the provision of multidisciplinary
services associated with the hook-up and commissioning of Shell’s Crux platform off the coast of
Western Australia.

The platform is located approximately 620 kilometres north-east of Broome, and is around 160 kilometres from Shell’s Prelude floating liquefied natural gas (FLNG) facility.

The Shell Crux facility forms part of the long-term backfill to Prelude.

Monadelphous expects to complete the work in late 2026.

In May 2022, Shell took the final investment decision on its Crux natural gas project, located about 190 km off the Kimberley coast of Western Australia and 620 km north-east of Broome.

Besides Shell Australia, SGH Energy, a unit of Seven Group Energy, is also part of the Crux joint venture.

The project will have the capacity to supply the Prelude FLNG facility with up to 550 million standard cubic feet of gas per day (mmscfd).

The 488-meter-long and 74-meter-wide FLNG shipped its first cargo in June 2019 after several start-up delays.

It can produce 3.6 mtpa of LNG, 1.3 mtpa of condensate, and 0.4 mtpa of LPG.

Shell operates the floating facility with a 67.5 percent stake. Japan’s Inpex holds a 17.5 percent stake, South Korea’s Kogas has 10 percent, and Taiwan’s CPC holds 5 percent.

APLNG

In addition to this contract, Inteforge, Monadelphous’ fabrication services business, has secured a two-year extension to its master goods agreement with Australia’s Origin Energy.

Under the contract, Interforge will continue supplying wellsite equipment for Australia Pacific LNG in Queensland.

Inteforge has been supplying packaged and modularised equipment to Origin Energy since 2015.

APLNG is a joint venture between US-based ConocoPhillips (47.5 percent), Origin Energy (27.5 percent), and China’s Sinopec (25 percent).

Origin operates APLNG’s gas fields, upstream exploration, production and pipeline system, while ConocoPhillips operates the downstream LNG export facility and the LNG export sales business.

There are two 20-year LNG export offtake agreements in place. One is for 7.6 mtpa to JV partner Sinopec, and the other is for 1 mtpa to Japan’s Kansai Electric.

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