Origin sees APLNG cost rise

Port Curtis Gladstone

Port Curtis: the Australia Pacific LNG project involves pumping gas from fields in Queensland’s Surat and Bowen basins to an LNG facility on Curtis Island off the coast of Gladstone

Simon McKenzie

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Russell Searancke

 21 February 2013 04:08 GMT

The owners of the Australia Pacific liquefied natural gas (APLNG) project in Queensland, Australia, have incurred a 7% capital cost increase to A$24.7 billion (US$25.2 billion).

The APLNG owners are ConocoPhillips (37.5%), Origin Energy (37.5%) and Sinopec (25%).

Origin said on Thursday the increase in cost reflected “increased certainty around well and gathering locations for gas for Train 2, enabling more accurate cost estimates, changes to CSG (coal seam gas) water management scope to align with revised government policy, cost increases for third-party LNG projects in which Australia Pacific LNG has an interest, and an increased allowance for project contingency".

"It has always been the plan for Australia Pacific LNG to undertake a thorough review of the project when…

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