Woodside Energy has agreed to process the gas resources of Chevron’s Clio-Acme fields and the Woodside-led Browse joint venture at its North West Shelf (NWS) facilities on Burrup Peninsula in Western Australia.
The agreement is central to bringing the Burrup Hub concept to life, and will extend the operating life of the NWS project’s Karratha gas plant beyond 2025.
Gas from Clio-Acme will be processed at Karratha, after being brought through Woodside’s Pluto offshore infrastructure to the Burrup Hub and transported via the proposed Pluto-NWS interconnector pipeline.
Woodside chief executive Peter Coleman said, “Central to our vision for the Burrup Hub is the transition of the Karratha gas plant into a third-party tolling facility as the NWS joint venture fields reach the end of their lives.
“The Browse joint venture will be the anchor tenant underpinning that transition, and this preliminary agreement enables the participants to progress toward an earlier final investment decision to develop the gas resource, targeted for 2020.”
The agreements were executed last Tuesday in Perth, and will be followed by negotiations among the parties.
Coleman said, “The Burrup Hub will unlock the future value of the NWS and Pluto infrastructure by ensuring these world-class assets continue providing returns to the nation, state and local communities, and the participants’ shareholders, for many years to come.”