Train 2: BG gas starts to flow from Surat Basin to China
GAS giant BG group has announced commercial operations have begun from the second train at its Queensland Curtis liquid natural gas plant.
That means gas is flowing from mines in the Surat Basin, north-west of Toowoomba, all the way to ships in Gladstone which are shipping the product around the world.
BG Group said it had full control of both LNG trains and associated facilities at the Curtis Island plant.
By mid-2016 the integrated project is expected to reach plateau production, producing enough LNG to load around ten vessels per month combined which is equivalent to exporting around eight million tonnes per year.
Since starting production in December last year, 71 cargoes have been shipped.
BG Group is the main group controlling Train 2 with a 97.5% stake and Tokyo Gas controls 2.5%, which is also a foundation customer.
BG Group's chief executive Helge Lund said: "As we assume full control of the entire QCLNG plant, we remain focused on managing the facility safely and responsibly.
He gave credit to gas company QGC and the team at construction giant Bechtel.
"I would also like to thank our partners, contractors, government authorities including the State of Queensland, together with the landholders and the communities from across the Surat Basin to Curtis Island for their support.
"They all helped us to not only connect QCLNG to more wells than any liquefaction plant in the world, but establish a new LNG industry based on natural gas in coal seams.
"With both trains now fully operational, QCLNG adds significant volumes and flexibility to our LNG shipping and marketing portfolio."
BG Group is the parent company of QGC, which recently announced it would invest $1.7 billion to develop of natural gas tenements in the Surat Basin.
The venture, which is located near Wandoan is known as Charlie1 and involves 300-400 wells, a large compression station and associated pipeline and facilities.
It will feed into the existing gas and water infrastructure at Woleebee Creek.
Premier Annastacia Palaszczuk has said the project could create 1600 jobs.