The Browse Joint Venture participants have formally selected the use of floating LNG (FLNG) technology as the development concept to commercialise the three deepwater Browse gas fields offshore north-western Australia, as expected (see DI, 12 August 2013, page 9), after previously ditching plans as costs escalated for an onshore LNG plant.
The agreement will see the companies utilise Shell’s FLNG technology (see DI, 6 May 2013, page 8) and Woodside Petroleum’s offshore development expertise for the Browse LNG Development. The Browse JV participants have agreed to progress Basis of Design (BOD) work in relation to the concept.
The BOD phase will determine the major design parameters for Front End Engineering and Design (FEED) of the proposed subsea and FLNG facilities and associated infrastructure, said Woodside. The BOD phase will be executed by Woodside as operator of the Browse JV, with support from Shell as the FLNG technology provider, to enable the optimal development of the Browse resources.
Work will start immediately to undertake all of the necessary studies and work required to place the Browse JV participants in a position to consider the start of FEED for the selected development concept next year. The concept could see the use of potentially up to three separate FLNG units on the multi-phased project, linked to subsea production systems, similar to Shell’s development plan for its Prelude project offshore Australia, due onstream in 2017. These plans are replacing the previous major one, which had involved three deepwater Tension Leg Wellhead Platforms and a massive shallow-water central processing facility.
Despite the still very impressive scale of the now-revamped development plan for Browse, the total capital expenditure is likely to fall significantly, Woodside believes. Original figures for the initial scheme were heading above $30 billion. Using an FLNG solutions is estimated will save around 20% on Browse compared to the original onshore plant plan.
The project has fields located in the Browse Basin in leases WA-28-R, WA-29-R, WA-30-R, WA-31-R and WA-32-R.
Browse holds reserves of 15.5 Tcf (439.1 Bcm) of dry gas and 417 MMbbl of condensate, contained in the Torosa, Brecknock and Calliance fields.