Investment opportunities

Oil and gas

Location: Northern Territory, Australia

Sector: Oil and gas

Investment type: Buy out of existing businesses; direct or passive equity investment; partnership - either financial or management; joint venture; establishment of new or branch operations

Estimated total project cost: Dependent on project scale and nature of the service or supply opportunity

Investment amount sought: Dependent upon opportunity

Project status: Conceptual

Project description

View from height of gas plant.Darwin is well positioned to capture a range of opportunities in the offshore sector. Currently, there is one Liquid Natural Gas (LNG) train operating in Darwin, the ConocoPhillips Darwin LNG liquefaction plant. By early 2018, Darwin will be supporting four LNG trains producing a combined total of 16.2 million tonnes of LNG.

  • Darwin LNG and the Bayu Undan offshore development managed by ConocoPhillips produces 3.7 million tonnes of LNG from a single train, and at peak production one million tonnes of LPG are produced offshore per annum, along with approximately 100, 000 barrels of condensate per day.
  • The INPEX operated Ichthys LNG will produce 8.9 million tonnes of LNG, 1.6 million tonnes of LPG and 100,000 barrels of condensate per day (85,000 offshore and 15,000 onshore) at peak production.
  • Prelude FLNG operated by Shell will annually produce 3.6 million tonnes of LNG, 0.4 million tonnes of LPG, and 1.3 million tonnes (approximately 26 000 bpd) of condensate from one FLNG train moored offshore in the Browse Basin off the Western Australian coast.

The need to support four LNG trains from Darwin creates substantial demand for operational and maintenance support.

This represents a significant opportunity for the growth of Darwin as a maintenance and operations hub for the petroleum industry in northern Australia.

Operations-focused opportunities will increasingly emerge from 2017 as the pending LNG trains start to transition towards production.

  • Darwin LNG is already operational and progressing options for a backfill source by 2023.
  • The Ichthys LNG project is expected to commence the export of LNG by March 2018.
  • The Prelude LNG project is expected to commence production from late 2017.

Importantly, ConocoPhillips’ Darwin LNG and INPEX’s Blaydin Point LNG have land available for five additional brownfields LNG facilities or trains.

The emergence of additional offshore facilities and the development of onshore projects will be determined by individual project proponents and emerging demand.

Darwin’s emergence as the resource industry operations and maintenance hub of northern Australia means that the range of industry support is gradually expanding as more firms establish a presence in Darwin.

The Northern Territory Department of Trade, Business and Innovation and the Industry Capability Network Northern Territory can provide advice on support services available in regional and major locations.

There also commercial opportunities available for repairs and maintenance, and operations, plus a range of pumps, instruments, valves, compressors, gas and steam turbines and other associated mechanical and process equipment to support the oil and gas industry.

Contact details

John McCue
Manager, Trade Services
Department of Trade, Business and Innovation

Phone: +61 8 8946 9533

Email: john.mccue@nt.gov.au

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Disclaimer: This web page includes information provided by third parties. The information is general in nature and is for information purposes only. The Northern Territory Government makes no representation about the veracity or accuracy of information provided by third parties. You must rely on your own due diligence before proceeding. You should consider seeking independent professional advice.

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investment@nt.gov.au

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