BHP Billiton has decided to slow down the development of its Scarborough floating LNG (FLNG) project, according to local sources.
Bloomberg is reporting that BHP’s Petroleum President, Tim Cutt, recently said: “LNG prices are down quite a bit from last year […] We’re probably not moving quite as quickly as we were last year, but it’s still a very important asset.”
The Scarborough FLNG project is a joint venture between BHP Billiton and ExxonMobil. The companies planned to develop the Scarborough natural gas field on the Exmouth plateau offshore Western Australia.
The Scarborough gas field has an expected producing life of approximately 25 - 35 years. The FLNG facility was expected to combine the requirements for gas treatment, liquefaction, storage and transfer of LNG to carriers for delivery to market.
Edited from various sources by Callum O'Reilly