GasOffshore

Shell greenlights Australian offshore gas project

Shell Australia and its joint venture partner, SGH Energy, have taken a final investment decision to approve the development of the Crux natural gas field, off the coast of Western Australia. 

Crux will provide further supplies of natural gas to the existing Prelude floating liquefied natural gas (FLNG) facility with up to 550 mmscfd.

“Natural gas from Crux will play a key role in helping Asian customers move from coal to gas as a cleaner-burning fuel. The project will help us to meet the increasing demand for LNG as the energy market transitions to a lower carbon future.The project will also boost our customers’ security of supply, which is becoming an ever more significant consideration for global consumers,” said Wael Sawan, integrated cas, renewables and energy solutions director at Shell. 

“Developing the Crux project reinforces our commitment to Australia, including boosting the regional economy, creating jobs and providing training opportunities,” added Shell Australia chair Tony Nunan. “The use of Prelude’s existing infrastructure enables significantly reduced development costs, making Crux competitive and commercially attractive.” 

The Crux field is in Commonwealth marine waters in the northern Browse Basin, 620 km north-east of Broome. The development will consist of a platform operated remotely from Prelude. Five wells will be drilled initially, and an export pipeline will connect the platform to Prelude, which is around 160 km to the south-west of Crux.

Shell said the construction will start this year, with first gas expected in 2027.

Adis Ajdin

Adis is an experienced news reporter with a background in finance, media and education. He has written across the spectrum of offshore energy and ocean industries for many years and is a member of International Federation of Journalists. Previously he had written for Navingo media group titles including Offshore Energy, Subsea World News and Marine Energy.
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