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    Coat of ArmsMedia Release
    Deputy Premier and Minister for Health
    The Honourable Paul Lucas

    HUGE DEAL LOCKS IN 6000 NEW JOBS FOR QUEENSLAND

    Deputy Premier and Minister for Health
    The Honourable Paul Lucas

    Thursday, September 09, 2010

    HUGE DEAL LOCKS IN 6000 NEW JOBS FOR QUEENSLAND


    Deputy Premier Paul Lucas has announced a massive $100 billion deal that will provide over 6000 new jobs for Queensland by 2014.

    The multibillion-dollar contract means a new LNG facility at Gladstone may start construction early next year, leading the race to be the world’s first project to convert coal seam gas to LNG on a large scale.

    The project, named GLNG, is a joint-venture between Australia energy company Santos, Malaysian company PETRONAS and French company Total.

    Deputy Premier Paul Lucas said the $100 billion deal is expected to start exporting gas by 2014 and could be worth around $3 billion in royalties over the life of the project for the Queensland economy.

    “This is absolutely massive for the Queensland economy and massive for jobs in this state,” he said.

    “This deal secures binding agreements for the export of five million tonnes of LNG per annum to markets in Asia and Europe.

    “This effectively means that enough LNG has been sold to underwrite this historic project.”

    Mr Lucas said the multi-billion dollar announcement was a stunning trifecta for the GLNG project.

    “It brings together the expertise of Santos, who have a 40 year history of producing gas in Queensland, with PETRONAS the third largest LNG producer in the world with Total, a French company operating in 130 countries,” he said.

    The development has three key components: coal seam gas production and processing; onshore pipeline; LNG plant and export facilities.

    “GLNG will generate more than 6000 construction and operational jobs by 2014, most of which will be in regional Queensland,” Mr Lucas said.

    Under the project Coal Seam Gas produced in the Surat and Bowen Basin gas fields will be piped along a 420 km pipeline to Curtis Island near Gladstone where it will be processed into LNG and exported.

    The large-scale CSG to LNG project will mean over 6,000 jobs with 5000 in construction and 1000 operational jobs in the Surat Basin, Gladstone and Brisbane.

    The first shipment is expected in 2014 and the GLNG project has a forecast life of 25 years.

    Santos is an Australian oil and gas exploration and production company.

    It supplies more than 20 per cent of eastern Australia’s domestic gas and has more than 1,700 Australian-based employees in Adelaide, Brisbane, Perth, Gladstone and Roma and 170 staff in Jakarta, and country offices in Port Moresby, Hanoi, New Delhi and Bishkek.

    It is one of Australia’s largest ASX-listed companies with a market capitalisation of approximately $11 billion.

    PETRONAS, short for Petroliam Nasional Berhad, is a leading oil and gas multinational based in Kuala Lumpur, Malaysia and is ranked among FORTUNE Global 500's largest corporations in the world.

    It operates in more than 30 countries and employs more than 33,000 people.

    Since entering the liquefied natural gas (LNG) business in 1983, the Malaysian Government-owned company has grown to become the world’s third largest LNG producer and the largest in Asia. Today, PETRONAS owns and operates the world’s largest LNG shipping fleet.

    Total is a French company operating in 130 countries. Its businesses cover the entire oil and gas chain, from exploration and production to power generation, transportation, refining, and petrol stations. Total is one of the six "Supermajor" oil companies in the world.

    GLNG Facts:
    Further information:
    Mr Gavin Jackman, Group Executive Public Affairs – 0418 487 726
    Martin Breen, Senior Government Adviser - 07 3838 3806 or 0409 045 110

    MEDIA: 0548 449 267