Designs for development approvals have neared completion for a floating LNG terminal planned for the Outer Harbor region of Port Adelaide in South Australia.

The first stage of the project, with an estimated capital cost around AUD$200m, is being developed by Venice Energy in partnership with the Australian arm of Dutch project giant Arcadis and will include two new wharfs, a 170,000 cbm Floating Storage and Regasification Unit (FSRU), LNG shipping facilities, a nitrogen injection plant and cryogenic pipeline connections into the state’s gas network. 

Venice Energy is finalising its development application and anticipates receiving all government and regulatory approvals before the end of 2019, with construction likely to commence in the first quarter of calendar year 2020 and commissioning by the end of that year. 

The terminal will be capable of delivering up to 120 Peta Joules (PJs) of gas into the local network on an annual basis and will allow foundation customers to reserve capacity and source their own LNG globally with the terminal operating as a tolling facility. 

“We think this will provide the most flexible and cost-effective way for our customers which will in turn provide cheaper sources of gas to industry, business and domestic customers,” said Venice Energy Managing Director Kym Winter-Dewhirst. 

“Our plan from day one was to find a way to deliver cheaper and more reliable sources of gas to South Australia and offer our foundation customers a cost-effective facility that allows them to service the local economy with more certainty and provide opportunities to send gas into Victoria and elsewhere,” he said.

The LNG terminal is part of an AUD$800m multi-stage project that will include a 500MW gasfired power station utilising fast-start aero derivative engines that will provide system security and support to the state’s renewable sector by offering firm, dispatchable power. Planning for that part of the project is already underway with approvals set for later next year and a fully operational facility expected to be completed by the end of 2022.

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1st March 2019