The integrated project includes a new domestic LNG plant now underway at Kwinana, south of Perth, which will have a 175 tonne per day capacity. The plant will supply fuel for the heavy-duty vehicle (HDV), industrial gas and remote power generation markets.
Work on the Kwinana plant, which is scheduled for commissioning by the end of the first quarter of 2008, has followed extensive commercial trials of LNG as a fuel in the HDV sector.
Organisations such as Mitchell Corp, Sands Fridge Lines, Regional Haulage, Murray Goulburn Co-operative, SITA Environmental Solutions and Cleanaway have been instrumental in supporting the development of LNG as a diesel alternative.
With LNG an emerging fuel worldwide, the plant is good news for WA as it adds value to the state’s natural gas resources.
An expanded network of LNG plants in Australia would create LNG supplies that could displace significant quantities of diesel used in the HDV and medium-duty markets.
This project is a combined effort utilising the expertise of several business units within Wesfarmers Energy together with assistance from customers. The business units involved are: Wesfarmers LPG (WLPG) which will operate the LNG facility consisting of the LNG plant, a storage sphere and dedicated truck loading facility; Kleenheat Gas which will manage the distribution and develop markets for the LNG produced; and, Energy Generation (enGen) which will manage remote power generation for mine sites using LNG.
Siteworks have been carried out for the new plant at WLPG’s existing site at Kwinana. The site has been cleared and a perimeter fence erected, and work is underway on the foundations for the plant and the new LNG vessels.
Most of the vessels for on-site storage and road tankers are currently being manufactured, but the first consignment of seven vessels has been completed and arrived in WA in April. They are specialised vacuum insulated double skin vessels with a stainless steel inner vessel and a carbon steel outer vessel.
These specialised vessels allow for the safe storage and handling of LNG which is stored at approximately -150°C.
The bodywork for the trailers is being carried out in Australia with the first trailer due to be completed in December.
A large proportion of the Kwinana LNG plant’s future production has been contracted for remote power generation.
enGen will build and operate two new LNG-fuelled power stations located at AngloGold Ashanti’s Sunrise Dam and Barrick’s Darlot gold mines. Engineering work has begun on the preliminary designs for the remote power generation equipment to be fuelled by LNG from Kwinana.
Orders for the new generating equipment required have been placed and site visits to the remote gold mines have been carried out to plan for the placement of LNG storage tanks.
Once site locations and facility layouts have been confirmed, the balance of the major engineering works will begin. Ordering of other equipment will take place as the major engineering works progress.
Kleenheat will operate a range of pocket road trains and semi trailers to deliver the LNG to the enGen power stations and to the HDV refuelling stations.
Kleenheat will also build and operate LNG refuelling stations for the evolving HDV market.
Some of the refuelling stations will be dedicated facilities for high volume business partners and some will be multi fleet facilities to enable access for smaller fleets.