The concept involves the installation of a wellhead platform with five production wells on the Thylacine reservoir; a subsea manifold and three production wells on the Geographe reservoir; a subsea pipeline linking the Thylacine wellhead platform and the Geographe subsea facilities to the Victorian coast. A short onshore pipeline will then provide the link to a gas plant located near Port Campbell.
A detailed feasibility study underpins this concept selection and commercialisation of the associated gasfields. The Otway Gas Project covers the Geographe and Thylacine gas fields, which were discovered in the offshore Otway Basin, 55 - 70km respectively south of Port Campbell Victoria in mid 2001.
The initial capital cost of the project is forecast to be around $750 million, with further phases of expenditure over the life of the project. The partners have estimated an annual production rate of 60 Petajoules per annum, which will supply around 10% of south-eastern Australia's gas demands from 2006 for 10 years. Provision will be made to tie-in potential future discoveries along the pipeline route.
Basis of design work will start immediately, clearing the way for tenders to be called for engineering and construction of the onshore and offshore facilities, the pipeline to shore and the underground shore crossing.
It is anticipated that a final investment decision will be taken by May 2004, following completion of the engineering studies and the environmental approval process.
The project is on schedule for start up in mid 2006. The participants in the Otway Gas Project are Woodside - 51.55% (Operator), Origin Energy Resources - 29.75%, Benaris International - 12.70% and CalEnergy Gas (Australia) - 6.00%.
