Prelude has arrived in Australian waters

Shell Australia confirmed today that its Prelude floating liquefied natural gas facility has arrived in Australian waters.

Prelude is the first deployment of Shell’s FLNG technology. The 488 meter floating facility will extract and liquefy gas at sea before it is exported to customers around the world. The project is located approximately 475km north-north east of Broome in Western Australia.

Shell Australia Chairman Zoe Yujnovich said the arrival of the Prelude FLNG facility signaled a new era for the Australian LNG export industry, with the first floating liquefaction facility deployed in local waters.

“Prelude’s arrival is a clear demonstration of Shell’s long standing commitment to investment and development in Australia – delivering significant economic benefits to the nation.”

The Prelude project will employ 260 local workers on board the facility during operations and create over 1500 jobs during the hook-up and commissioning phase of the project. Shell expects to see cashflow from the project during 2018.

Ms. Yujnovich said Shell had awarded a majority of Prelude contracts to Australian contractors, including the contract awarded to Australian engineering company Monadelphous for maintenance and modification services valued at $200 million.