NW Shelf Venture Starts Up A$1.6 Billion Angel Gas Project

By Angela Macdonald-Smith

Oct. 3 (Bloomberg) -- Australia's North West Shelf venture started operating the A$1.6 billion ($1.2 billion) Angel natural gas production platform off the northwest coast, underpinning an expansion of fuel exports into northern Asia.

The platform, about 120 kilometers (75 miles) northwest of Karratha, has a daily production capacity of 800 million cubic feet of gas and as much as 50,000 barrels of condensates, a type of light oil, Woodside Petroleum Ltd., the venture operator, said today in a statement to the Australian stock exchange. The project was completed on time and under budget, it said.

The A$25 billion North West Shelf venture, Australia's largest resources project, in December 2005 approved the development of the Angel project to support the expansion of liquefied natural gas output at Karratha. The venture started up its fifth LNG production unit last month.

The Angel project includes a new 50-kilometer underwater pipeline. The platform, which will be operated remotely, is connected to the existing North Rankin platform. The venture's LNG expansion also required a second tanker loading berth at Karratha, which was completed earlier this year.

Perth-based Woodside is a one-sixth owner of the North West Shelf venture, as are BHP Billiton Ltd., BP Plc, Chevron Corp., Woodside's 34 percent shareholder Royal Dutch Shell Plc and a venture between Mitsubishi Corp. and Mitsui & Co.

To contact the reporter on this story: Angela Macdonald-Smith in Sydney at amacdonaldsm@bloomberg.net