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Construction launched on Prelude floating LNG project (Australia)

In an important step, Shell has laid the keel for Prelude FLNG, the world’s first floating liquefied natural gas (FLNG) project. When complete, Prelude is expected to be the largest offshore floating facility ever built. The hull will now be assembled in the dry dock, before the turret and the topsides are fitted at Samsung Heavy Industries’ Geoje shipyard in South Korea.

FLNG will allow Shell to produce natural gas at sea, turn it into liquefied natural gas and then transfer it directly to the ships that will transport it to customers. It will open up new opportunities for countries looking to develop their gas resources and bring more natural gas to market.

Shell is leading the delivery of this mega project, working with long-term strategic partners Technip and Samsung Heavy Industries (the Technip Samsung Consortium). Prelude is the first of what is expected to be multiple Shell FLNG projects. The expertise gained from the Prelude project will help develop potential future floating facilities.

Since 2012, Australian subsidiaries of INPEX Corporation (17.5%), Korea Gas Corporation (10%) and CPC Corporation (5%) have joined the Prelude FLNG project. The 3.6 Mt/year LNG plant is expected to be commissioned in 2016-2017.

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