Surat Gas Project to start construction this year


Arrow Energy has sanctioned commencement of the first phase of its Surat Gas Project (SGP) in southern Queensland, with construction set to begin this year.

Energy Magazine is reporting Arrow’s decision follows the final investment decision (FID) for phase one of the SGP from its shareholders, PetroChina and Shell.

Arrow CEO Cecile Wake said:“The Surat Gas Project is the first large-scale CSG project in Australia to be underpinned by a significant infrastructure collaboration and gas sales agreement, together with a suite of supporting agreements, which have been put in place between Arrow and the Shell-operated QGC joint venture.“

Ms Wake said Arrow would this year commence construction of more than 600 phase one wells, and is on track to deliver first gas from the project in 2021.

“An initial 200 construction jobs will be created during phase one, with an anticipated further 800 construction and operating roles over the life of the Surat Gas Project,” Ms Wake said.

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