Ichthys To Boost LNG shipments by 18% on Year To Record 132 Cargoes

Credit: Venti Views/Unsplash
  • Ichthys aims to complete 9.3 mil mt/year supply framework in 2023
  • INPEX plans 25% hike in 2023 capex for oil and gas developments
  • INPEX plans to produce record 638,900 boe/d in 2023 on Ichthys boost

The INPEX-operated Ichthys project in Australia is expected to ship a record 132 LNG cargoes in 2023, up 18% from 112 cargoes a year ago, an INPEX spokesperson said Feb. 9, as it starts working on debottlenecking the facility to boost production, reports SP Global.

Ichthys LNG shipment

The boost in Ichthys LNG shipments comes as the project now aims to build a framework capable of a stable supply of 9.3 million mt/year of LNG in 2023 from debottlenecking the facility from upgrading cooling systems for liquification and taking measures against vibration, the spokesperson said.

This marks an advancement of reaching the 9.3 million mt/year Ichthys LNG supply framework by one year from a target by 2024, increasing production by 400,000 mt/year under a midterm-business plan announced in February 2022.

The Ichthys LNG shipments will increase in 2023 after a 4% year-on-year dent in 2022 from major scheduled maintenance programs over June 26-Aug. 10, the spokesperson said, adding that the project will only have a 10-day shutdown maintenance program in 2023.

For 2023, the Ichthys project also plans to ship around three offshore condensate cargoes, two plant condensate cargoes and three LPG cargoes a month, the spokesperson said.

The planned shipments compare with 21 offshore condensate cargoes shipped in 2022, which was stable from 2021, with 29 plant condensate cargoes shipped in 2022, down from 32 cargoes the year before, the spokesperson said.

LPG shipments totaled 30 cargoes in 2022, down from 32 the year before, the spokesperson said, adding the maintenance program was a key driver for the year-on-year decline in 2022 plant condensate and LPG cargo shipments.

Boosting capex

INPEX, Japan’s largest upstream company, plans to raise its capital expenditure for oil and gas developments by 25% year on year to Yen 349 billion ($2.66 billion) in 2023 due mainly to its activities at Ichthys and other projects in Oceania, the spokesperson said.

The company also plans to more than double its capex for exploration to Yen 71 billion in 2023 from Yen 30.4 billion in 2022 due mainly to exploration at blocks surrounding Ichthys, the spokesperson added.

The stable Ichthys operations also expects to boost INPEX’s oil and gas production to a record 638,900 b/d of oil equivalent in 2023 from the previous record of 622,200 boe/d in 2022, the spokesperson said.

INPEX posted a record net profit of Yen 438.276 billion in 2022, up 96.5% year on year on record revenue of Yen 2.325 trillion, up 86.8% over the same period.

The Ichthys project, operated by INPEX, involves piping gas from the offshore Ichthys field in the Browse Basin off northwestern Australia more than 890 km (5,502 miles) to the onshore 8.9 million mt/year LNG plant near Darwin. At peak, it has capacity to produce 1.65 million mt/year of LPG and 100,000 b/d of condensate.

With its 66.245% stake in the Ichthys project, INPEX has the right to lift 900,000 mt/year of Ichthys LNG, the majority of which it receives at its Naoetsu LNG import terminal in northwestern Japan for its pipeline gas supply.

Did you subscribe to our daily Newsletter?

It’s Free! Click here to Subscribe

Source: SP Global


This site uses Akismet to reduce spam. Learn how your comment data is processed.