BHP Starts $1.5 bn Gas Project in Australia

BHP Billiton’s $1.5 billion Macedon domestic gas project in Onslow, Western Australia, was officially opened on Friday.

First gas commenced on target in August 2013 at the BHP Billiton-operated facility which commercialises natural gas from offshore production lease WA-42-L located in the Exmouth Sub-Basin.

Macedon is BHP Billiton’s largest operated Australian domestic gas project and is expected to supply domestic gas for the wholesale market in Western Australia until at least 2033.

The operation will supply 20 per cent of the State’s daily domestic gas supply for consumers and industry, BHP said.

The plant has a production capacity of up to 200 terrajoules of gas per day.

The operations include four offshore production wells and an onshore gas treatment plant at the Ashburton North Strategic Industrial Area 17 kilometres south west of Onslow.

Gas from the Macedon plant will be exported to the Dampier to Bunbury Natural Gas Pipeline for sale into the Western Australian market.

Macedon is a joint venture between BHP Billiton (71.43%) and Apache Northwest (28.57%).