Multi-billion dollar gas project goes ahead

The deal has been done. The future looks bright. The largest investment in the Northen Territory's history is under way with the long-awaited final decision for the AUD32 billion Ichthys gas project being given the green light.  It signals the start of one of the world's largest liquefied natural gas plants.

The Ichthys gas field is located off Western Australia, 820 kilometres southwest of Darwin. An 890 kilometre gas pipeline will be constructed to transport the LNG to an onshore processing plant at Blaydin Point, at Middle Arm.

The project will produce an estimated 8.4 million tonnes of gas a year with the first 15 years of annual production already sold. This not only secures a vital long-term energy supply to Japan, but will also deliver sustainable economic and social benefits across Australia.

Work at the Blaydin Point site will start within weeks and first production is expected at the end of 2016.

Meanwhile, construction of a 2,700-bed workers' village at Howard Springs is on the way and is expected to be completed by mid-2013. An agreement with the Northern Territory government has ensured many of the contracts being awarded to local companies.

The Northern Territory government had been chasing the project for four years –and it has been hailed to benefit the Territory for more than 40 years. It is expected to add almost 18 per cent to the Northern Territory's gross state product each year.

Prepared by Bob Woodward & Associates: offering you business consultancy, accounting, payroll administration and ancillary services in Darwin, the capital of Australia’s Northern Territory.
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