Timor-Leste continued its push to pipe gas from the Greater Sunrise fields to an onshore liquefied natural gas plant near Dili, despite Australia’s Woodside Petroleum’s preference for a floating LNG solution.
Timor-Leste said in a statement it intends to present a A$3.8 billion (US$3.3 billion) proposal to the Sunrise partners at a meeting in August. As well as a pipeline from the Greater Sunrise fields to Timor, the plan includes proposals to develop the country's south coast, which Dili said would become an oil and gas hub.
It was not made clear in the statement exactly what development costs the A$3.8 billion would cover, however earlier this month Woodside claimed an onshore LNG plant would cost A$5 billion more than its FLNG solution.
Woodside told Upstream today it will still believed its FLNG solution was the best option to develop Greater Sunrise. The Australian giant intends to push ahead with its original development plan.
Dili has claimed in the past Woodside and its partners are pressing for a floating plant so they can develop new technology. Last month, Prime Minister Xanana Gusmao said Timor-Leste was prepared to block Woodside’s development of the field, adding he realised it could cost his nation billions of dollars in revenue.
The Greater Sunrise joint venture's economic modelling shows Timor-Leste stands to make $13 billion over the life of the project for its 18% share. At the same time, the Australian government stands to earn about $19 billion from its 82% share.
The Greater Sunrise fields lay in jointly-run waters between Timor-Leste and Australia and is believed to hold about 5.13 trillion cubic feet of gas, as well as 300 million barrels of condensate.
Woodside's partners at Sunrise are Shell, ConocoPhillips and Osaka Gas.
No comments:
Post a Comment