CONOCOPHILLIPS Australia has awarded an Engineering, Procurement, Construction and Installation (EPCI) contract for the Barossa Floating Production, Storage and Offloading (FPSO) facility to MODEC International Inc.
Under the contract, MODEC will deliver a new build facility to be permanently located in the offshore development area 300km north of Darwin, Northern Territory.
The ship-shape hull facility will have capability to process dry lean gas for export via pipeline to Darwin and to store condensate for periodic offloading to tankers.
The FPSO will be approximately 354 metres in length and 64 metres in width.
Topsides weight will be approximately 34,400 tonnes with accommodation for up to 140 personnel.
Subject to commercial arrangements being agreed, the Barossa Project will provide a new source of gas to Darwin LNG when the current offshore gas supply from Bayu-Undan is exhausted.
Barossa’s offshore development concept includes the FPSO facility, subsea wells and subsea production system and a 260km gas export pipeline to a tie-in location on the existing Bayu-Darwin Pipeline, all located in Commonwealth waters.
This is the largest and most significant contract to be awarded for the Barossa Project and a significant milestone in moving closer to a final investment decision in early 2020,” said Chris Wilson, ConocoPhillips Australia-West president.
“It is a testament to the hard work by our project team and major contractors following the successful completion of the Front-End Engineering and Design effort.
“Final investment decision is progressing according to plan while we continue working collaboratively with Santos to finalise transitional arrangements and close the sale of our Australia-West assets.”
Santos Managing Director and Chief Executive Officer Kevin Gallagher said the contract award is our biggest step towards pushing the button on the development of Barossa.”
“The project is technically and commercially robust, and we are closing in on FID early in the new year, with contracts for the subsea umbilicals, flowlines and drilling of six subsea production wells to be awarded in the near future.”
In early 2019 ConocoPhillips announced it had entered a Sale & Purchase Agreement for the sale of ConocoPhillips Australia-West Business Unit to Santos.
This includes ConocoPhillips’ share of Darwin LNG, Bayu-Undan, Timor-Leste office and facilities, the Barossa Field and Project, the Caldita Field, and the Greater Poseidon Fields, along with operatorship of these assets and our interest in the Athena Field.
The sale does not include the Australia-East Business Unit and ConocoPhillips’ share of Australia Pacific LNG. ConocoPhillips will also continue to operate the Australia Pacific LNG plant on Curtis Island, and remains committed to these ongoing Australian operations.
Award of the FPSO contract follows the recent awards of the Gas Export Pipeline EPCI contract in September and Subsea Production System EPC in May.
Barossa will meet future global demand for natural gas and contribute significant income, employment and other benefits to the Northern Territory and Australia for a further 20 years.
