ExxonMobil makes FID to develop West Barracouta gas project

ExxonMobil plans to produce natural gas for the Australian market by 2021 following a final investment decision to develop West Barracouta gas field in Bass Strait.

The project, on the VIC/L1 Block offshore Victoria, is part of the Esso-BHP Gippsland basin joint venture.

Front-end engineering design work has been completed, and contracts have been let to Subsea 7 and OneSubsea.

The project will be tied back to the existing systems of Barracouta field, the first offshore field ever discovered in Australia, the company said.

The Gippsland basin joint venture supplies about 40% of east coast Australian gas demand.

The new project builds on more than US$4 billion invested by the partnership in other recent projects in Victoria to supply Australian gas demand, including the Kipper Tuna Turrum offshore project and the Longford Gas Conditioning Plant.

ExxonMobil subsidiary Esso Australia Pty Ltd operates the joint venture on behalf of a 50-50 partnership with BHP Billiton Petroleum (Bass Strait) Pty Ltd.

Source: Oil & Gas Journal