The contractor to deliver Australian Industrial Energy’s Port Kembla Gas Terminal (PKGT) in New South Wales has been announced, marking a new major project milestone following the grant of development approval at the end of April this year.
The key wharf facility and pipeline construction contract has been awarded to SCSB joint venture - comprised of Spiecapag and Soletanche Bachy.
“The Port Kembla Gas Terminal is progressing strongly and is attracting the best of the best on all fronts. Our selection of SCSB as prime contractor is no exception and we look forward to them bringing their expertise together with the capabilities of the Illawarra region to deliver this most important of projects,” AIE Project Director Keith Walker said.
The $250 million liquefied natural gas (LNG) import terminal project will include LNG carrier vessels, a floating storage and regasification unit (FSRU), wharf facilities and a pipeline to connect the FSRU to the existing east coast gas transport network.
Planning design is currently underway and construction on the PKGT will commence once a final investment decision has been reached by the AIE joint venture later this year.
“We’re very excited to be part of this challenging and strategic project which combines our strong local footprint with our global, extensive port experience,” Soletanche Bachy International’s President Jean Luc Gobert said.
Construction works will involve dredging, building a new wharf within the existing dock and a pipeline that will link to the east coast gas network at Cringila. This project is anticipated to provide jobs and subcontracting opportunities in demolition, concreting, welding, electrical works, steel reinforcement, traffic management, surveying as well as other goods and services. An estimated $76 million will be spent on subcontracting work for local businesses.
“We’re very pleased to be working on such a strategically important project for NSW. part of our DNA is to work with local businesses, and we look forward to exploring opportunities for local contractors to also play a part in Australia’s first ever LNG import terminal once we start construction in the second half of the year,” Spiecapag Managing Director John Walsh said.
Over the coming months, project information sessions are going to be conducted and the sessions will outline opportunities for local businesses to ensure that potential suppliers are aware of the major stages of the project as well as its timings.
The PKGT is expected to support up to 150 jobs during construction and about 40-50 ongoing positions once it is operational.
The first gas is anticipated to be delivered to market by late 2020.
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Source: Australian Industry Energy; Inside Construction; Illawarra Mercury; LNG Industry