Esso Australia Kicks Off Construction of Longford Gas-Conditioning Plant

---

Researched by Industrial Info Resources Australia (Perth, Australia)--Esso Australia, which represents the Australian operations for ExxonMobil (NYSE:XOM), commenced construction last week on the new Longford Gas Conditioning Plant, which neighbours Esso Australia's operational Longford Natural Gas Processing Plant.

ExxonMobil and BHP Billiton (NYSE:BHP) commissioned the Longford Natural Gas Processing Plant in 1969 and hold a 50:50 ownership, with Esso Australia as operator. The site is situated in South Gippsland, Victoria, near the towns of Sale and Longford, on 169 hectares of land. The Longford facilities consist of three natural gas processing trains added to the site gradually (one at a time) between 1969 and 1983, and a Crude Oil Stabilisation Plant, which began operations in 1970.

The gas-conditioning plant will treat natural gas from the Kipper Tuna Turrum offshore development project, readying the product for final processing and supplying the Australian domestic market.

"The Gas Conditioning Plant project is part of Esso and BHP Billiton's significant investment program in natural gas projects in Gippsland," said ExxonMobil Chairman Richard Owen. "Once the plant is operational in 2016, we will deliver 1.6 trillion cubic feet of gas to the East Australia market, helping to replace declining production from existing fields."

Chicago Bridge & Iron Constructors (NYSE:CBI) (CB&I) (The Hague, The Netherlands) is the engineering, procurement and construction (EPC) contractor for the $901.32 million (AUD$1 billion) project. CB&I is continuing to perform engineering and procurement for its Asia-Pacific regional office in Singapore and has opened a project office in Sale, which is about 20 kilometres from the construction site. It also is performing some project management work from its office in Melbourne.

Construction began a week ago. The site will soon accommodate a construction workforce, and initial site works will include administration buildings, training facilities, a road and parking. Warehousing and laydown areas will be constructed to store materials and equipment.

Construction activities will ramp up around mid-2014. The Longford Gas Conditioning plant will start-up in 2016.

View Plant Profile - 3006783 1042947
View Project Report - 300012424 300094242

Industrial Info Resources (IIR), with global headquarters in Sugar Land, Texas, three offices in North America and nine international offices, is the leading provider of global market intelligence specializing in the industrial process, heavy manufacturing and energy markets. Industrial Info's quality-assurance philosophy, the Living Forward Reporting Principle™, provides up-to-the-minute intelligence on what's happening now, while constantly keeping track of future opportunities.