Australian Industrial Energy (AIE) plans to develop a liquefied natural gas (LNG) import terminal at Port Kembla.
The Port Kembla Gas Terminal (PKGT) consists of four key components:
LNG carrier vessels – there are hundreds of these vessels in operation worldwide transporting LNG from production facilities to demand centres.
A Floating Storage and Regasification Unit (FSRU) – a vessel moored at a berth in Port Kembla’ inner harbour. There are 29 FSRUs in operation around the world and a further 75 in the planning stage.
Wharf facilities – offloading arms to transfer the LNG from the carrier into the FSRU
Pipeline – a standard high pressure pipeline connection from the FSRU to existing east coast gas transportation network
The PKGT will allow carriers transporting LNG gas to berth adjacent to the FSRU. The LNG carriers’ liquid cargo will then be transferred to the FSRU where it will be stored. This transfer process does not occur under pressure, which ensures the liquid natural gas remains non-explosive and non-flammable.
When needed, the liquefied natural gas will be warmed on board the FSRU, converting it back into a gas.
The gas will then be transferred, via pipeline, from the FSRU berth to the main east coast natural gas transmission network, connecting the Project to its customer base.
Initial Development Consent for the Project was granted by the New South Wales Government in April 2019.
In April 2020, the NSW Government approved a Modification to the Development Consent to satisfy a greater than anticipated customer demand for natural gas. The increase in the capacity of the PKGT will be achieved by increasing the number of LNG carriers arriving at the Terminal annually.
Construction of the PKGT will take around 14-16 months. Work will consist largely of modifications to the existing Berth 101, where the FSRU will be moored for the duration of the Project, and the construction of the natural gas pipeline connecting the PKGT to gas transmission infrastructure.