BP plc (London, U.K.; www.bp.com) has announced that the following two consortia have been awarded the onshore Front End Engineering and Design (FEED) for the $12-billion Tangguh Expansion Project (Train 3): PT. Tripatra Engineers and Constructors, PT. Tripatra Engineering, PT. Chiyoda International Indonesia, PT. Saipem Indonesia, PT. Suluh Ardhi Engineering and Chiyoda Corp. Consortium; and PT. Rekayasa Industri, JGC Corp., PT. KBR Indonesia and PT. JGC Indonesia Consortium.
Train 3 will build on the safe and reliable operations of the two existing liquefaction trains at the Tangguh site, which is located in Teluk Bintuni Regency in Papua Barat province of Indonesia. The Project will add 3.8 million metric tons per year (m.t./yr) liquefaction capacity to Tangguh, bringing total capacity to 11.4 m.t./yr.
In addition to the award of the onshore FEED contracts, BP and the Tangguh Partners signed a sales and purchase agreement with Indonesia’s state-owned electricity company PT. PLN (Persero) to supply up to 1.5 million m.t. of liquefied natural gas (LNG) each year from 2015 to 2033. Supply will initially be provided from Tangguh’s existing two LNG trains. The agreement commits 40% of annual production from Train 3 to the domestic market.
The onshore FEED is planned for 12 months, with scope covering the new LNG Train, LNG jetty and associated infrastructure. Further regulatory and partner approvals are required before the final investment decision.