QCG on track to produce first LNG in 2014

The start-up of QCG’s LNG plant is one step closer after the last piece of gas pipelined needed to transport CSG has been laid in Queensland.

The last of the pipe completes a two-year project for the gas giant which involved laying the longest large-diameter buried pipeline in Australia over 540km.

The final kilometre of the 1m-diameter pipeline has been laid in near Biloela, with QCG expecting integrity tests to commence in the coming weeks.

When commissioned later this year, the pipeline will move CSG from wells in the Surat Basin to the QCLNG plant on Curtis Island near Gladstone where it will be processed for export.

The pipeline comprises about 200km from Dalby to Wandoan and more than 340km from the gas fields to Curtis Island.

The company says facilities north of Miles and on Curtis Island are being finalised to regulate the flow of gas through the pipes.

QGC managing director Derek Fisher said the milestone represented a world-class engineering feat.

"This is a tremendous achievement, meaning we remain on track to start commissioning the world's first plant to convert natural gas from coal seams into liquefied natural gas next year," Fisher said.

"In the process we have set records for Australian pipeline construction, including the longest twin pipe-pull in Australia when The Narrows channel at Curtis Island was crossed earlier this year."

The two LNG production units on the island are each able to produce more than four million tonnes of LNG per year.

QCLNG is the most advanced of the three LNG projects on Curtis Island, with first gas expected in 2014.

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