- Woodside and BHP announce positive final investment decisions for the Scarborough and Pluto Train 2 projects
- State Government to execute agreements for the development
- This will secure a new domestic gas supply and create more than 3,200 jobs
The State Government has welcomed Woodside's and BHP's final investment decisions for the Scarborough and Pluto Train 2 projects that will create more than 3,200 Western Australian jobs.
Following confirmation of the final investment decisions the State Government will execute agreements to secure domestic gas, local industry participation and community development benefits for the Scarborough to Pluto Train 2 development.
The $16 billion liquefied natural gas (LNG) development will see gas from the Scarborough resource processed at Woodside's Pluto LNG facility on the Burrup Peninsula, near Karratha.
As part of the development, a second LNG train and a new domestic gas facility at the Pluto site will be constructed.
Construction is scheduled to commence in 2022 and is expected to create 3,200 jobs. Once operational the project will support around 600 jobs.
The development will deliver large volumes of gas into the Western Australian market, in support of the State's long-term energy needs and ongoing economic development.
Consistent with the WA Domestic Gas Policy, the Scarborough Joint Venture will make gas equivalent to 15 per cent of its LNG exports available to the domestic market.
The Scarborough project will support the production of eight million tonnes per annum of LNG through Pluto Trains 1 and 2, and a domestic gas commitment of around 180 terajoules per day.
Around 1,400 petajoules of gas is expected to be supplied to the WA market over the life of the Scarborough project.
Comments attributed to Premier Mark McGowan:
"Today's announcement from Woodside and BHP that they have reached a positive final investment decision for the Scarborough and Pluto Train 2 projects is a boon for the State.
"My Government is committed to supporting projects that create more jobs for Western Australians.
"In the coming days, we will execute agreements with the Scarborough and Pluto Train 2 joint ventures that will provide energy certainty for the State and support thousands of local jobs, as well as providing a transition fuel source for our major trading partners."
Comments attributed to State Development, Jobs and Trade Minister Roger Cook:
"The Scarborough to Pluto Train 2 development stands to deliver decades of benefits for Western Australia, through jobs, economic stimulus and domestic gas.
"LNG can be used globally as a transition fuel to displace more carbon intensive fuels such as coal and there is strong demand in international markets that have made commitments to net zero emissions.
"Natural gas is not only one of Western Australia's most profitable exports, it is an important energy source for local industries that will help diversify the State's economy and create more jobs."
Premier's office - 6552 5000
State Development, Jobs and Trade Minister's office - 6552 6500