House debates

Thursday, 27 November 2014

Constituency Statements

Coal Seam Gas

9:45 am

Photo of Ken O'DowdKen O'Dowd (Flynn, National Party) Share this | | Hansard source

Today I would like to give an update on the progress of the Gladstone-Curtis LNG QGC project, which is one of three companies developing coal seam gas in Central Queensland. The first shipment of gas out of Gladstone will happen in December 2014, which is not too far away. The initial construction phase of the project is nearing completion. They are preparing to commence LNG production as a world first from gas produced from coal seams. Natural gas from the pipeline has been on site at QGC for a few months now, and the first flare was lit in August. The site is now powered by gas turbine generators. Detailed planning is underway to shift the focus from the project's construction to efficient operation and performance over a two-year transition period. All the while, QGC continue to invest in the communities in which they operate.

I will give a little bit of detail of statistics on the project. Upstream there are over 2,060 access agreements with property owners, over 2,000 wells have already been started up, 3,500 kilometres of pipeline has been laid, 12 compression stations have been erected and four central processing plants have been established, as have two major water treatment facilities. There is over 200 kilometres of gas collection headworks pipelines and 340 kilometres of pipeline from your area, Mr Deputy Speaker Scott, in Maranoa to Gladstone. The LNG plant will consist of two trains producing 8.5 metric tonnes per annum, or 1.3 billion cubic feet per day, required for plateau production. Two LNG storage tanks and a jetty especially for gas have been erected.

There has been a lot of water produced—20,000 megalitres since January 2013. The aim is to make up to 97 per cent of all CSG water produced available for beneficial use—so 90 per cent of the water coming from the coal seam gas will be used in ways beneficial to farmers, working through SunWater. Even in the summer months, it is expected to produce at least 50 megalitres per day.

The total workforce has been up to 14,000—this is only for one company, mind you. There are approximately 8,000 workers on the site at this very moment. This will gradually decline to about 3,600 workers to 2019. (Time expired)