NT Chief Minister Paul Henderson and Woodside Petroleum CEO Don Voelte discuss Woodside’s decision to process gas from the Greater Sunrise LNG field offshore. Picture: FIONA MORRISONNT NEWS-June 2nd, 2010
HOPES that Darwin could still win a multibillion-dollar gas deal rose yesterday.
Deutsche Bank said the chances of a floating platform being built at the Sunrise field in the Timor Sea were only 30 per cent.
Analyst John Hirjee said the project would cost nearly $13 billion.
The technology is untested.
If Australian energy company Woodside and its three joint venture partners dumped the floating platform option, the gas would be piped to Darwin.
The Woodside-owned LNG plant at Wickham Point would have to be expanded at a cost of $5 billion.
More than 1000 workers would be needed for the job.
East Timor will get 90 per cent of the Sunrise royalties and Australia 10 per cent.
Woodside boss Don Voelte has told East Timor that it will get $15 billion over the project's life.
He told Chief Minister Paul Henderson, who lobbied for the gas to be piped to Darwin, that NT would earn many millions of dollars from Sunrise as a supply base.
Woodside yesterday defended its decision not to build a LNG plant in East Timor. The decision has infuriated the Dili government.
And the NT Government is angry that gas from the multibillion-dollar Sunrise field isn't coming to Darwin.
Mr Voelte said building a floating processing plant was the cheapest option. East Timor said the company had not provided the evidence to support its decision to build the floating platform.
But reports say Woodside tried to give the country's East Timor's National Petroleum Authority documents analysing the cost effectiveness of the three options.
The documents are said to have shown that the floating LNG plant was the cheapest and an East Timor plant the most expensive.
Woodside executives Jon Ozturgut and Brendan Augustin met Petroleum authority president Gualdino da Silva in Dili. Mr da Silva is said to have refused to accept the documents and threw them into the Woodside pair's car as they left.
He said the two executives left the meeting without shaking hands or saying goodbye.
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