Wednesday, March 14, 2012

Toll Supply Logistics Required to Enable Gas Energy Recovery

Before LNG Reaches Those Big Orange Tankers First You Have to Get It There
Shipping News Feature

AUSTRALIA – The transport and logistics needed to supply liquefied natural gas (LNG) is something which is proving the freight success story of late as sectors such as bulk dry cargo and container shipping suffer through oversupply of vessels and uncertain supply and demand. The actual pipeline transport of the gas from source to compressor does not hold our interest as such a static form of carriage holds little mystique. Getting to the point where one can actually extract the stuff from where it lurks underground can however prove very lucrative.

Today Toll Energy, part of the Toll Group, has announced work has started on a $45 million transport and storage contract as part of coal seam gas explorer QGC’s major Queensland Curtis Liquefied Natural Gas (QCLNG) project. QGC is a leading Australian coal seam gas explorer and producer which recovered around 20% of the state’s natural gas in 2009 and regularly supplies gas for export to the Far East and South America. Before anything can be recovered however, first the compressors, transformers and pipe which enable recovery and processing have to be carried to site.

Toll’s Global Resources division, which includes Toll Energy, will provide the transportation and storage of materials needed to complete the project’s upstream requirements transporting the essential equipment from Brisbane to central Queensland to enable the transfer of gas through a 540km underground pipeline network to Curtis Island near Gladstone where it will be liquefied. The contract award is the third major contract Toll’s Global Resources Division has been successful in securing from proponents involved with Queensland’s LNG developments on Curtis Island. Resources CEO David Jackson said Toll Group was excited about being part of one of Australia’s largest capital infrastructure projects saying:

“This project has allowed us to demonstrate to Queensland and beyond the superior logistics solutions Toll has to offer. We are delighted with the opportunity to help deliver this crucial service to such an important project, and prove yet again the end-to-end capabilities Toll can provide to the resource sector in Australia and around the world.”