Jul 10, 2019

Milaho Gas Project takes shape

Milaho Gas Project takes shape Mihalo Gas Project location

A new gas field is taking shape near Gladstone.

The Mihalo Gas Project is being developed by a joint venture which is owned 40 percent by Comet Ridge and 30 percent each by Santos and APLNG.

They make up the Mihalo Jount Venture.

The asset is located in the Denison Trough area of Queensland’s Bowen Basin near Rolleston and covers an area of 911 square kilometres.

All parties in the joint venture had been working closely together over the first part of this year to agree on the most economically efficient development, said Managing Director of Comet Ridge, Tor McCaul.

“That includes well design and locations, plant location, export pipeline and the work associated in preparing for government applications,” Mr McCaul said.

“These include environmental approvals (both state and federal) and the important Petroleum Lease Application, which requires submission of an Initial Development Plan (IDP) to the Queensland Government. APLNG has been co-ordinating these activities.”

Recently, a Pipeline Survey Licence application was lodged for the approximately 65km pipeline connection to deliver gas to either, or both, of two larger pipelines to the south. 

Both of these larger pipelines run to Gladstone in central Queensland and service both the domestic and LNG markets. 

An initial meeting with the Commonwealth Department of Environment had been held in preparation for the submission of approvals, which will be made shortly, said Mr McCaul. ‘Contractor studies on the processing facility along with core technology selections are also nearing completion and are expected this month.’

“Given Comet Ridge’s time working on the asset and the last couple of years as Exploration Agent for Santos, our technical understanding of the field has helped shape its development,” Mr McCaul said. 

“It is Comet’s view that FID will be taken by June 2020 and given the modular approach to the development, first gas to market should be achieved before the end of 2021”. 

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