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Browse LNG Precinct - Public Information Booklet - Department of ...

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<strong>Public</strong> <strong>Information</strong> <strong>Booklet</strong><br />

Cost Difference<br />

Question ñ What is the cost difference between the northern and southern site<br />

options?<br />

Without detailed information about the site that would be obtained from onsite studies, it<br />

is difficult to accurately calculate the cost difference between the northern and southern<br />

sites. However, estimates indicate this would be significant:<br />

This cost difference is mostly due to:<br />

� Additional blasting and dredging for marine works in the shallower water <strong>of</strong> the<br />

northern site<br />

� Potentially a longer jetty length in the northern site and increased length for the<br />

cryogenic piping to transfer the liquid gas to export vessels at the <strong>LNG</strong> jetty.<br />

Cryogenic piping is made from special materials and is specially insulated to handle<br />

the <strong>LNG</strong> at minus 161 degrees Celsius.<br />

� The potential for additional shoreline stabilisation in the more exposed areas to the<br />

north.<br />

� Additional piling for critical plant equipment to ensure stability in the deeper pindan<br />

soil in the northern site.<br />

The additional costs may make it difficult to attract a second proponent as they may be<br />

put <strong>of</strong>f by technical and economic issues relating to the layout, that is, they will want the<br />

opportunity to be as close to the coast as possible.<br />

5.2. Onshore Issues<br />

Site Location and Set Back from Coast<br />

Questions:<br />

� Why specifically does the <strong>Precinct</strong> need to be located on the coastal area?<br />

This causes lots <strong>of</strong> cultural problems.<br />

� How far inland will the plant be?<br />

One <strong>of</strong> the main reasons for the <strong>Precinct</strong> being located at the coast is to ensure the plant<br />

operates effectively and efficiently.<br />

To export the gas coming from the <strong>of</strong>fshore fields it is necessary to change it from a gas<br />

to a liquid. This is achieved by cooling the gas down to minus 161 degrees Celsius and<br />

keeping it at this temperature. It is imperative the liquefied gas is kept cold and this<br />

requires special equipment and insulated pipelines between the processing trains, the<br />

storage tanks and the ships. The pipelines are built with special types <strong>of</strong> steel that can<br />

withstand the cold, but even so, some heat is gained in moving the liquid and any<br />

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