The Inpex-operated Ichthys LNG project produces gas offshore WA's Kimberley and pipes it 900km to an LNG plant near Darwin.
Carbon capture and storage
Australian LNG producers are under pressure on emissions and decommissioning, and Santos wants to tackle both problems in one swoop at Bayu Undan, but it needs everyone to play along.
Carbon Emissions
TotalEnergies shipped a carbon-neutral LNG cargo from Ichthys in late 2020 when the Inpex-operated project had massive flaring of gas but will not confirm if the above normal emissions were offset.
Carbon capture and storage
Santos and ENI are looking for solutions for CO2 and removing old facilities in the waters north of Darwin. Time will tell if the problems are solved or just delayed.
Carbon Emissions
Inpex pledged in January 2021 to cut its emissions 30 per cent this decade while it was planning to boost CO2 from Ichthys LNG, which accounts for three quarters of its carbon footprint, by 30 per cent.
Carbon Emissions
Ichthys LNG is giving Inpex and Australia a huge carbon pollution problem that is likely to grow as the Japanese company looks to troublesome carbon capture and storage to limit the environmental and financial damage.
Safety
After 200 tonnes of large pipe fell out of control Inpex and Maersk cannot drill for more gas at Ichthys until they convince the regulator that there will be no potentially fatal incidents.
Carbon capture and storage
A year after Inpex rejected carbon capture and storage at Ichthys LNG as unaffordable it is an essential element in its new drive to slash emissions by 2030.
COVID-19
Unions want Inpex to return to the pre-COVID practice of flying workers through Broome, not the remote Truscott airstrip.
Inpex
Offshore unions have welcomed a deal with Inpex that adds two-weeks of isolation to the roster and gives half-pay to stood-down workers but slammed what they say is a Woodside proposal to work offshore for 12 weeks straight.
COVID-19
Casual workers taken off Ichthys offshore facilities by Inpex will be paid at least until next week under a standby deal similar to workers from the troubled Prelude LNG vessel.
Inpex
Inpex is reducing its offshore workforce to tackle COVID-19 risk leaving casual workers not knowing when they will next have paying work.
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Shell’s Prelude floating LNG vessel and Inpex’s Ichthys LNG plant in Darwin have moved closer to production with the cooling of their plants with LNG.
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Inpex’s Ichthys LNG project will cost $53 billion, $8 billion more than planned, and may not see substantial production until early next year in a blow to the Japanese operator that is waiting on the Darwin plant to more than double its cashflow.
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The cost of Inpex's Ichthys LNG project may increase to $US40 billion, according to French oil major Total.
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In 2017 Australia’s made-in-Korea offshore LNG boom saw three giants towed 5600km south, but 2018 is crunch time: making it all work.
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The $US37 billion Ichthys LNG project is on track to start up next March as its two giant vessels moored about 200km off the Kimberley are readied for production.