Australia: BAM Clough JV Receives LOI for Ichthys Jetty

March 9, 2012

The BAM Clough Joint Venture has received a letter of intent (LOI) from JGC Corporation, KBR and Chiyoda Corporation joint venture (JCK-JV) for a contract valued at approximately €300 million (AUD370 million). The scope of work involves the design and construction of the Ichthys Product Loading Jetty near Darwin, Northern Territory.

The jetty will be constructed as part of the Ichthys LNG Project being developed in Darwin by INPEX (operator) and Total. The design consists of two separate vessel load-out berths, one for LNG carriers and a second for LPG/Condensate carriers. A Y-shaped approach jetty consisting of a 680-metres leg connecting to the LNG berth, and a second 630-metres leg, connecting to the LPG/Condensate berth, provide access from the onshore facility.

Under this LOI, expenditure is limited for BAM Clough to the commencement of engineering, procurement and planning work for the project. Construction activities are scheduled to commence in early 2013. Project completion is expected at the end of 2014. At peak the project will employ a workforce of 250.

The Ichthys LNG Project is a joint venture between INPEX (76%, the operator) and Total (24%). Gas from the Ichthys Field, in the Browse Basin approximately 200 kilometres offshore of Western Australia, will undergo preliminary processing offshore to remove water and extract condensate. The gas will then be exported to onshore processing facilities in Darwin via an 889km subsea pipeline. The Ichthys LNG Project is expected to produce 8.4 million tonnes of LNG and 1.6 million tonnes of LPG per annum, along with approximately 100,000 barrels of condensate per day at peak.

BAM Clough JV is a 50/50 joint venture between BAM International bv (part of Royal BAM Group) and Clough Limited. Established in 1964, the joint venture has successfully delivered 13 major jetty projects for the energy and resources sectors. The joint venture is currently working on the LNG jetty for ExxonMobil, in Papua New Guinea.

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Dredging Today Staff, March 9, 2012; Image: INPEX