An oil and gas producer has received the nod to proceed with its gas development worth more than $500 million.
A subsidiary of Mitsui E&P Australia recently secured state environmental approval for its Waitsia Gas Project Stage 2, 340km north of the Perth CBD.
AWE Perth’s project will expand the exisiting stage one by adding a new gas processing facility with an export capacity of 250 terra joules per day, gas gathering hubs, and flow lines connecting wells with gathering hubs, the Waitsia Gas Plant and Dampier to Bunbury Natural Gas Pipeline. Up to six more wells will also be drilled, bringing the total number of suspended appraisal wells to eight.
At full production carbon dioxide emissions released into the atmosphere from reservoir carbon dioxide removal and Waitsia Gas Plant operation are estimated to total about 300,000 tonnes a year.
The project is widely expected to create 200 construction jobs. QMEB understands many of these positions will be available through Clough, which recently won the engineering procurement construction tender.
Work is expected to start before Christmas and take three years to complete sometime in late 2022. Positions will be advertised here.
The WA Environmental Protection Authority (EPA) confirmed the proponent would use no hydraulic fracture stimulation and the project’s emissions targets “go above and beyond” the EPA’s policy of offset reservoir emissions.
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“AWE has incorporated a number of design elements and technologies along with monitoring and management programs to achieve emission reduction,” EPA chair Tom Hatton said in a public statement.
“AWE has also proposed to undertake a refit of the plant and equipment after 10 years of operation to adopt further greenhouse gas abatement measures … [and] potential impacts on flora and vegetation from the clearing of 17 hectares of native vegetation, dust deposition, weeds and dieback could be adequately managed through a recommended flora and vegetation management plan.”