Apache has awarded GE Oil & Gas a $150-million contract for subsea equipment, including project management, engineering and procurement, for the Julimar development offshore Western Australia.
The GE equipment for the Julimar includes subsea manifolds, well systems, and integrated subsea and topside control systems. Shipments will begin in June 2013 with installation starting in 4Q 2013.
The Apache-operated Julimar Development Project is a joint venture between Apache (65%) and Kuwait Foreign Petroleum Exploration Co. (KUFPEC) (35%) to supply raw gas from the Julimar and Brunello gas fields to the Chevron-operated Wheatstone LNG Project.
Apache and KUFPEC are joining Chevron to develop the Wheatstone liquefied natural gas (LNG) hub, offshore Australia. Apache and KUFPEC have signed an exclusive agreement to supply gas from the Julimar and Brunello discoveries and become foundation equity partners in the Wheatstone project facilities.
Wheatstone’s first phase will consist of two LNG trains with a combined capacity of approximately 8.6 million tons per year. The facility will be located at Ashburton North on the mainland of Western Australia.
In July 2011, GE Oil & Gas had signed an agreement with Bechtel International, Inc. for the supply of 16 compression units for two LNG trains.
Chevron, which has a 100% interest in the Wheatstone field, will operate the LNG facilities with a 75% project interest. Apache‘s subsidiary, Apache Julimar, and KUFPEC‘s subsidiary, KUFPEC Australia (Julimar), will own the remaining 25% project interest.