LNG

Australian engineering company Clough has awarded the bulk earthworks contract for the Waitsia Gas Project Stage Two development in the onshore northern Perth Basin to an Indigenous company.

The contract was awarded to Garla Barna Civil and Mining (GBCM), a local Mid-West business.

Clough is running the second stage of development of the Waitsia natural gas field in the Perth Basin as a future source of LNG exports.

Clough's main work sites are near the town of Dongara, located about 350 kilometres (217 miles) north of the city of Perth and 65km south of the town of Geraldton.

Beach Energy of Australia and a subsidiary of Japan’s Mitsui and Co. each own 50 percent of the venture and Mitsui is the operator of the Waitsia field.

Beach and Mitsui have also finalized and signed key commercial agreements with shareholders of the North West Shelf LNG plant to enable LNG exports.

“Clough and the Waitsia Joint Venture (Mitsui E&P Australia and Beach Energy) are committed to delivering a high performing project while providing opportunities to the local community at every stage of the project and this award demonstrates that,” said Peter Bennett, Clough Chief Executive.

“Our Innovate Reconciliation Action Plan drives our commitment to improve outcomes for Aboriginal and Torres Strait Islander Peoples by providing employment, education and business opportunities,” he added.

John Galvin, Clough Executive Vice President Australia and Asia Pacific, said he was looking forward to starting work with GBCM, a local construction business that has demonstrated the capabilities needed to perform this scope of work.

GBCM was established in 2019 as an emerging regional-based Aboriginal services contractor offering project solutions in Western Australia.

GBCM's intent is to maximise opportunities for Aboriginal people in the construction industry, creating hope and career paths for future generations.

“GBCM are pleased that Clough have provided our company with this opportunity on a project that is being built on our traditional lands,” said Fred Taylor, GBCM Director and shareholder.

“We are excited to be working with Clough in the delivery of this scope and look forward to the engagement this project brings to the Mid-West and the Southern Yamatji people,” Taylor added.

Royal Dutch Shell said its Prelude floating liquefied natural gas export plant off the coast of northwest Australia would not resume full production this year after being shut down in February 2020 because of safety issues.

Australian oil and gas company Senex Energy said it was supplying more domestic natural gas to the East Coast market in Australia at least for the next two or three months as the Gladstone LNG export plant has reduced its coal-seam-gas needs from the onshore Surat Basin for LNG production.

Japanese energy major Inpex Corp. has achieved completion of the project financing contracts for its Ichthys LNG export plant at Bladin Point near Darwin in the Australian Northern Territory after costs and delays multiplied over several years.