Hess reins back Equus as gas sales talks go on

Finishing post: the final stages of last year's Melbourne Cup at the Flemington Racecourse in Melbourne

Hess of the US has applied the brakes on its Equus gas project in Western Australia, where it has been trying for several years to sell the gas as feedstock supply to one of three existing liquefied natural gas projects in the same Australian state.

A final investment decision had been provisionally planned for the middle of this year, and that would have marked the start of the engineering procurement and construction phase.

However, sources suggested the project timeline has slipped and sanction will come, at best, by the end of 2013.

The project has been in the front-end engineering and design phase, which is due to be completed imminently by WorleyParsons and IntecSea for its semi-submersible production platform, and JP Kenny for the subsea facilities.

Sources said that Hess has indicated previously that it has plenty of time…

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