Woodside has moved one step closer with the Pluto-Karratha Gas Plant (KGP) Interconnector project following the award of the supply and fabrication contract.

The Interconnector will transport gas from Woodside’s Pluto LNG facility to the North West Shelf Project’s KGP via a five kilometre pipeline, constructed along the existing Dampier to Bunbury Natural Gas Pipeline corridor.

The Interconnector has the potential to create opportunities to take advantage of future excess capacity at KGP. It will also provide the potential to accelerate future developments of Pluto gas reserves, as well as third-party resources.

In November 2019, Woodside announced a final investment decision on the pipeline component of the Interconnector and entered into contractual arrangements with DDG Operations Pty Ltd, part of the Australian Gas Infrastructure Group, for the construction of the pipeline and its ongoing operation and maintenance.

Construction and operation of the pipeline is subject to regulatory approvals by the State of Western Australia and finalisation of the commercial arrangements with the Pluto and North West Shelf JV participants.

For the KGP Interconnector project, Civmec will carry out the fabrication of structural steel, piping, a module and skids located within the Pluto LNG Plant which will be used to support the Interconnector project.

The award of the contract is a significant step forward for the Interconnector. It is expected construction of the piping and modules will support around 40 local jobs and run for approximately seven months, commencing in 2020.

Start-up of the Interconnector is targeted for 2022.