Page 4 - GLNG Week 35 2021

GLNG COMMENTARY GLNG

Indonesia approves Tangguh

LNG expansion, CCUS plan

Indonesia’s oil and gas regulator has approved BP-led plans for Tangguh

LNG, which involve the development of the Ubadari natural gas field and

a carbon capture project at Vorwata

ENERGY INDONESIAN regulator SKK Migas has well as output being raised at the Vorwata gas
TRANSITION approved the development plan for an expan- field thanks to the use of CCUS. The develop-
sion and a carbon capture, utilisation and stor- ment is estimated to enable a potential additional
WHAT: age (CCUS) project at BP’s Tangguh LNG export recovery of 1.3 trillion cubic feet (36.8bn cubic
BP is moving towards a complex in Papua Barat. The move comes as the metres) of gas, from both the Ubadari and Vor-
potential final investment energy transition is increasingly in the spotlight, wata CCUS projects, BP said in a statement.
decision on projects and oil and gas companies are grappling with the The Vorwata CCUS development is expected
linked to its Tangguh LNG question of how to keep producing while pursu- to result in roughly 25mn tonnes of carbon
plant. ing decarbonisation goals. dioxide (CO2) being injected back into the Vor-
CCUS, which is also known simply as carbon wata reservoir to reduce venting of produced
WHY: capture and storage (CCS), is increasingly being CO2 and to boost output through enhanced
The Indonesian touted as an option for capturing and offsetting gas recovery (EGR). BP said the CO2 injection
government has approved greenhouse gas (GHG) emissions from oil and would remove up to 90% of the reservoir-asso-
BP’s development plans, gas operations, including liquefaction plants. Its ciated CO2, which is currently vented and rep-
including a CCUS project. use has been limited thus far – as has its success. resents nearly half of Tangguh LNG’s emissions.
Chevron’s high-profile CCS project at its giant The super-major believes that this will make
WHAT NEXT: Gorgon LNG facility in Australia came under Tangguh one of the lowest GHG-intensity LNG
The number of proposals fire recently for failing to meet its carbon cap- plants in the world.
for LNG projects with ture targets to date. Nonetheless, the number of The Ubadari field development, meanwhile,
a CCS component will LNG projects proposed being put forward with is being fast-tracked following a successful
continue to grow. a CCS component is growing, and final invest- appraisal programme. The super-major said
ment decisions (FIDs) are being awaited on this normally unmanned installations in the field
new crop of liquefaction plants that have been will be connected by offshore pipeline to the
designed with emissions reductions in mind. Tangguh LNG facilities.
The front-end engineering and design
Tangguh plans (FEED) work for the Ubadari and Vorwata
The plan approved by SKK Migas involves the CCUS developments is due to start in mid-2022,
development of the Ubadari natural gas field, as subject to Tangguh partners’ and further SKK

P4 www. NEWSBASE .com Week 35 03•September•2021