Queensland Curtis LNG Terminal

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Queensland Curtis LNG Terminal, also known as QCLNG T1, is an LNG export terminal in Australia with units that are operating.

Location

Table 1: Location details

Name Location Coordinates (WGS 84)
T1 Curtis Island, Gladstone, Queensland, Australia -23.7693, 151.199 (exact)
T2 Curtis Island, Gladstone, Queensland, Australia -23.7693, 151.199 (exact)

The map below shows the exact location of the terminal:

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Project Details

Table 2: Infrastructure details

mtpa = million tonnes per year
Name Facility type Status Capacity Total terminal capacity Offshore Associated infrastructure
T1 export operating[1] 4.25 mtpa 8.5 mtpa False Arrow Energy’s Surat Gas Project
T2 export operating[1] 4.25 mtpa 8.5 mtpa False Arrow Energy’s Surat Gas Project

Table 3: Cost

Name Facility type Cost Total known terminal costs
T1 export US$3,000,000,000 US$6,000,000,000
T2 export US$3,000,000,000 US$6,000,000,000

Financing

No financing data available.

Table 4: Project timeline

FID = Final Investment Decision, used by some developers to indicate a project will move forward
Name Facility type Status Proposal year FID year Construction year Operating year Inactive year
T1 export operating[1] – – – 2014[1][1] –
T2 export operating[1] – – – 2014[1][1] –

Ownership

Table 5: Ownership

Name Facility type Status Owners Parent companies Operator
T1 export operating[1] Shell PLC [50%]; China National Offshore Oil Corp [50%][2][3][2][3] China National Offshore Oil Corp [50.0%]; Shell PLC [50.0%] Shell[1][3]
T2 export operating[1] Shell PLC [97%]; MidOcean Energy LLC [2%][2][3][2][3] Shell PLC [97.5%]; Saudi Arabian Oil Co [1.2%]; EIG Global Energy Partners LLC; Mitsubishi Corp; unknown Shell[1][3]

Background

Queensland Curtis LNG Terminal is an LNG terminal on Curtis Island in Queensland, Australia on the edge of the Great Barrier Reef.[4] Curtis Island's three plants Australia Pacific LNG Terminal, Gladstone LNG Terminal, Queensland Curtis LNG Terminal are worth $70 billion.

Queensland Curtis LNG Terminal began exporting late 2014[5] or 2015.[6]

In Summer 2017 Queensland Curtis LNG planned for the first major shut down of the facility after it began exporting late 2014.[5]

Analysts from the Petroleum Economist predicted in July 2017 that two of the Curtis Island plants, Gladstone LNG Terminal and Queensland Curtis LNG Terminal, would likely operate below capacity until global demand exceeds supply.[7]

As of 2017, Australia is the second largest LNG exporter after Qatar. The country exports almost 44 million tons a year. [8]

In October 2022, LNGPrime reported that U.S.-based EIG's LNG unit MidOcean Energy had entered an agreement to purchase Tokyo Gas's share of four Australian LNG projects, including Queensland Curtis LNG Terminal. The deal was expected to close in the first half of 2023.[9]

As of April 2023, Shell had recently taken a final investment decision (FID) on the first phase of the Arrow Energy’s Surat Gas Project, which will increase the gas available for Queensland Curtis LNG Terminal.[10]

In March 2024, MidOcean Energy, the LNG unit of EIG, has completed its previously announced deal to buy Tokyo Gas's shares in the project.[11]

Environmental Concerns

Dredging to widen and deepen the Port of Gladstone to allow for several LNG projects in the port caused some ocean turbidity and possible damage to wildlife the fishing industry.[12]

In 2011, the Queensland Government announced it would close up to 311 square miles (500 square kilometers) of Queensland coast to fishing. At the same time the government warned citizens that seafood should not be handled or eaten.[12]

Divisions emerged over whether dredging caused these issues. The release of acid sulphate from dredging may have damaged and killed turtles and fish. Fishermen had been warning the public about problems since October 2010. Thirty percent of the catch was infected for a month during August and September 2011.[12]

Bloomberg published an article in 2017 citing Curtis Island's three plants in Australia (Australia Pacific LNG Terminal, Gladstone LNG Terminal, Queensland Curtis LNG Terminal) as an example of having exorbitant infrastructure duplication that it could have saved $10 billion on the combined $70 billion LNG projects. The three LNGs built separate jetties that now crowd the coastal land. Shared facilities could have produced the same amount of fuel with less damage to the coast.[13]

Coal Seam Environmental Concerns

In December 2014, Queensland Curtis LNG became the world's first project to turn coal seam gas into LNG for export. Curtis Island's two other LNG plants, Australia Pacific LNG Terminal and Gladstone LNG Terminal also convert coal seam gas into LNG.[14]

Coal seam gas projects in Australia are not without controversy.

Coal seam gas (abbreviated "CSG") is formed by the geological process of heating and compressing plant matter to create coal. Over millions of years, methane forms within the coal. The methane is trapped by water in the gaps and cracks between the coal molecules. These gaps are known as cleats. Australia has been found to have many deposits, and is increasingly mining them through hydraulic fracturing, also known as fracking.[15]

CSG is a form of coalbed methane (CBM), or coalbed gas, and is a type of natural gas extracted from coal beds. In recent decades it has become an increasingly used source of energy in Australia, as well as the United States, Canada, and other countries.[15]

Articles and Resources

Additional data

To access additional data, including an interactive map of LNG terminals, a downloadable dataset, and summary data, please visit the Global Gas Infrastructure Tracker on the Global Energy Monitor website.

References

  1. ↑ 1.00 1.01 1.02 1.03 1.04 1.05 1.06 1.07 1.08 1.09 1.10 1.11 (PDF) https://giignl.org/wp-content/uploads/2022/05/GIIGNL2022_Annual_Report_May24.pdf. {{cite web}}: Missing or empty |title= (help)
  2. ↑ 2.0 2.1 2.2 2.3 https://lngprime.com/americas/eigs-midocean-wraps-up-purchase-of-tokyo-gas-interests-in-australian-lng-projects/108574/. {{cite web}}: Missing or empty |title= (help)
  3. ↑ 3.0 3.1 3.2 3.3 3.4 3.5 https://jpt.spe.org/shell-completes-sale-of-queensland-curtis-lng-stake. {{cite web}}: Missing or empty |title= (help)
  4. ↑ Queensland Curtis LNG Terminal, GEO, accessed April 2017
  5. ↑ 5.0 5.1 Tegan Annett, "450 JOBS: Workers needed for major LNG plant shut down," The Observer, July 2, 2017.
  6. ↑ International Group of Liquefied Natural Gas Importers (May 24, 2022). "Annual Report 2022 Edition" (PDF). GIIGNL. Retrieved July 11, 2022.{{cite web}}: CS1 maint: url-status (link)
  7. ↑ Selwyn Parker, "Australian LNG under pressure," Petroleum Economist, July 5, 2017.
  8. ↑ Diane Munro, [http://www.agsiw.org/qatar-moves-ensure-lng-dominance/ "Qatar Moves to Ensure LNG Dominance ,"] Arab Gulf States Institute in Washington, April 17, 2017.
  9. ↑ LNG Prime Staff (2022-10-07). "EIG's unit to buy Tokyo Gas' interests in four Australian LNG projects for $2.15 billion". LNG Prime. Retrieved 2023-07-20.
  10. ↑ Gladstone News. PROJECT TO BOOST GAS SUPPLY TO SHELL’S QGC LNG PLANT. April 23, 2023.
  11. ↑ "EIG's MidOcean wraps up purchase of Tokyo Gas' interests in Australian LNG projects". LNGPrime. Mar 28, 2024. Retrieved May 16, 2024.{{cite web}}: CS1 maint: url-status (link)
  12. ↑ 12.0 12.1 12.2 Brian Williams, "Warning: Gladstone fish off the menu and central Qld coast closed to fishing," CourierMail, September 11, 2017.
  13. ↑ Dan Murtaugh, "Energy Titans Get Schooled in Sharing as Billions Seen Blown," Bloomberg, May 9, 2017.
  14. ↑ Zara Margolis and Cassandra Hough, "Queensland company to be first in the world to export LNG from coal seam gas," ABC, December 23, 2014.
  15. ↑ 15.0 15.1 "Jargon Buster". BG Group. Retrieved 18 July 2010.