A confidential client identified a niche opportunity to export gas from a WA gas plant to proximal Asian and Eastern Australia markets using LNG Isotainers. The aim was to deliver gas via a “Virtual Pipeline” to target markets utilising sea, road and/or rail transportation, and creating value by utilising existing infrastructure.  

The Challenge

Efficiently and economically export small volumes of LNG from Western Australia’s gas rich regions to Asian and Eastern Australia markets. 

The Solution

BE&R identified and developed concepts for the surface facilities and logistics infrastructure required to economically capture, process, transport and distribute small scale LNG to the specified locations. 

BE&R scope included development of high-level specifications for integrated small scale liquefaction facilities at the specified locations, determination of the type of technology required, development of a preliminary layout of the facilities, development of a shipping logistics model, schedules, challenges, risks and opportunities, Class V CAPEX and OPEX estimates. 

The Result

BE&R delivered the project with detailed insights into shipping LNG via isotainers to Asian and Eastern Australia markets. 

The risks and opportunities relative to the different export locations were developed along with the small-scale LNG infrastructure required to deliver the gas through a “Virtual Pipeline”. 

If you’re interested in BE&R Consulting’s critical insights in delivering LNG in small scale volumes, speak to our SSLNG expert, Nick Bentley.

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BE&R participated in the DNV Joint Industry Partnership project on East Coast LNG bunkering to assess the opportunities for LNG as a fuel for the maritime sector operating out of the east coast of Australia inclusive of local, coastal, import/export and transit maritime traffic, focusing on period beyond 2022. The objective of the JIP was to align key stakeholders to address common challenges and position Australia at the forefront of developments in LNG fueled shipping.

Challenge:

The enforcement of International Maritime Organisation guidelines to reduce the emission of Sulphur has seen a dramatic shift in heavy fuel usage in marine industry. The ship owners and operators are looking to invest either in installing scrappers to strip Sulphur onboard the ship or upgrading the ship engines to LNG power. In the current environment there are a minimal number of ships which are powered by LNG; however, the recent trends have seen LNG as an alternative fuel to diesel. LSFO or other alternative technologies such as methanol or battery electric systems. Australia is the largest exporter of LNG in the world but lacks sufficient infrastructure to instigate an LNG bunkering industry. The East coast of Australia was targeted as the industrial centers of Sydney, Melbourne, and Gladstone were shown to have the highest projected market growth in terms of shipping volume and fuel demand.

Solution:

BE&R developed three high-level scalable LNG bunkering facility concept designs for the three locations on the East Coast: Newcastle Port, Gladstone Port and Port of Melbourne. The intent to provide scalable LNG solutions to match the market demand as the industry developed.

BE&R produced preliminary site layouts for each port, reviewing the terminal compatibility vs LNG bunker vessel size and SIMOPS concerns. Each concept was developed to include facility functional specification, estimation of CAPEX and OPEX and a high-level delivery schedule, and SWOT Analysis. BE&R determined the financial viability and feasibility of operating an LNG bunkering service and loading infrastructure at the nominated locations.

The opportunity for LNG bunkering infrastructure at these ports is shown to be a strong driver for port development and investment.  Ports authorities and local government are onboard for further cross industry partnerships to realise the opportunity and deliver the clean energy fuel to the marine market.

If you’re interested in starting a project with BE&R Consulting, speak to our expert, Sara Subra.

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The client envisioned the supply of a lower carbon, cleaner fuel, Liquified Natural Gas, for its remote mine site operations. Aligning with the company’s values to reduce the site’s environmental impact and carbon emissions, whilst maintaining secure efficient on-site power generation. The client required the engagement of the top-tier vendors, contractors, suppliers, and other intermediators throughout the value chain of LNG supply.

BE&R were selected to act as the Owner’s Engineer to engage, define, and assess the full value chain for supplying liquified natural gas, sourcing suitable small volume parcels, 0.25 – 0.5 MTPA,  from viable SEA and Australian locations to the remote mine site.

The Challenge:

The current fuel mix being used for power generation at the mine site includes geothermal, HFO and Diesel, with HFO being the main source. Considering the location of the mine site, the challenge for our client was to source a reliable, secure, and continued supply of LNG, whilst preserving the local community interests and safety. BE&R developed an engagement and assessment program with LNG suppliers in the pacific region, considering LNG specification, terminal compatibility, commercial interest, shipping distance and trade routes. Further challenges were ensuring minimal impact on the ongoing port and mining operations and mitigating the environmental conditions present including indication of significant tsunami and seismic activity.

Solution:

BE&R through its strong network in the SSLNG industry, engaged with an array of vendors and suppliers as owners engineer and evaluated all viable options available throughout the LNG supply chain.

BE&R completed the concept definition phase, successfully identifying a preferred concept to take forward, an alongside floating storage and regasification facility. This concept was selected due to its minimal risk exposure to personnel and operational impact on the existing operation. The concept is being further developed to meet and mitigate the environmental challenges through robust design and analysis.

The use of LNG as a fuel on the mine site is being shown to save 70,000 tonnes of CO₂ per year.

If you’re interested in starting a project with BE&R Consulting, speak to our expert, Nick Bentley.

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BE&R completed a feasibility study into Ammonia bunkering in the Port of Dampier. The project objective to close the infrastructure and technology gap between the supply of alternative fuels and the developing shipping market. The client aims to fill this gap with a series of alternative fuel bunker vessels, enabling decarbonisation of the marine industry.

The study scope covered; the definition of the alternative fuelled shipping market between Dampier and Asia; the infrastructure requirements and interfaces required to conduct bunkering operations from the existing port facilities. Generation of bunkering operation procedures with input from our marine operation experts to define the robust methods of operation required to safely and reliably bunker Ammonia.

BE&R engaged across industry stakeholders, hosting a technical safety and risk workshop gathering alignment from all parties. Regulatory and Approval processes were assessed with the gaps highlighted for further definition and governing authority engagement. A high-level cost and schedule estimate to the start of operations was fed into the overall bunkering operation economics to generate financial outcomes. Resulting in a detailed execution plan defining the proceeding scopes and deliverables to be completed in upcoming project development and operation phases.

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Targeting a new green ammonia production and export project in Western Australia. The project aim is to export ammonia at-scale to international destinations.

BE&R lead a high-level study and review of three ammonia export locations and infrastructure options. Identifying and defining mitigating actions to any key risks to successful project execution.

The project envisaged a solar and wind farm based power supply to an ammonia production plant, ammonia storage and export pumping at the plant, an offloading line from the storage to an offshore export terminal, and loading facilities to ammonia carriers.

Key risks considered were

• Competitor risks (access to export, land)
• Environment – potential impacts to terrestrial and marine
• Regulatory Approvals – marine, environmental, OH&S
• Metocean including extreme cyclonic weather, tidal, current and long period swells
• Technology – maturity, reliability, cost exposure.
• Management of Boil-off gas
• Design of an offshore loading facilities, offloading and return lines, and onshore storage facilities.
• Technical safety

Outside of the scope of the study BE&R developed in-house a WA specific NH3 carrier vessel, designed to minimise draft constraints and to optimise deadweight capacity based on the NH3 plant production profile.

Solution:

BE&R leveraged our recent experience conducting studies on import and transport logistics for green ammonia, and other alternative fuels to provide valuable insights into suitable concept design and minimising project risks.

The BE&R team evaluated the risks in a workshop environment using a likelihood and consequence risk scoring method, conducted with the client team. The Workshop resulted in a detailed risk register highlighting red flags (potential show-stoppers), mitigations and recommended selected options formulating a way forward for the project.

If you’re interested in starting a project with BE&R Consulting, speak to our expert, Nick Bentley.

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An ASX listed company engaged BE&R in March 2022 to model costs for a potential new gas field and renewables development within an African country. The cost modelling needed to be simple, comprehensive and transparent. The study had a short timeline of 6 weeks to target early engagement with the customers and local government. The aim was to develop a model that the Client’s customers could understand and see used in front of them to examine different supply options and so engage them on cost of supply.

Cost modelling of Solar PV and BESS systems were included, and the scope expanded to include a full country business development strategy, incorporating a phased transition to a renewable energy business integrated with other high potential ventures.

Cost Models

The overall cost models developed included the following components: Natural gas trucking model for LNG and CNG options.

1. Pipeline sizing model.
2. Mapped field and customer locations.
3. The set of development scenarios.
4. A simple Input/Output page to enable the Client to be able to drive the model in front of prospective gas customers.

• The study included the particular aspects of interest:
• Roads in Africa can be different to Australia and the model incorporated specific speeds for the local sealed highways and unsealed access roads.
• CNG comprised a simple gas treatment plant, mother station to compress the gas and daughter stations at customer sites to receive the high pressure gas.
• LNG had a complex gas treatment plant with higher capacity trucks.
• Locally specific labour costs were included for different skill levels in operation and logistics.
• Distances and routes to likely and possible customers – power stations – public and private utilities across the country with distances ranging from 100 to 1,000 km.

Cost Modelling Study Insights

Simple understandable analysis is powerful. If the model is not complicated it can be communicated easily, and if it can be easily communicated it is easier to build trust with stakeholders and gain approvals.

Flexibility: Scoping models must be able to accommodate a wide range of ideas. The modelling sophistication lies in quick adaptability, rather than diving deeply into modelling, especially where key inputs remain very uncertain.

Speed of Execution: The most important aspect of the exercise was being able to deliver a model in time for the client to use with their planned engagements with customers.

Full Development Strategy

In conjunction with the client, BE&R explored the wider context of the country development against current local and global policy. A strategy was developed and in now being implemented encompassing:

• Installation of Solar PV as part of the energy hubs.
• Planned future expansion of solar PV with grid scale batteries, as and when they become economic.
• Incorporation of agriculture development to make use of natural synergies with the gas field development – local jobs, treatment and use (rather that disposal) of produced water, use of local power and consideration of a range of methods to improve the farming outcomes.
• Expansion of the Energy Hub to an Industrial hub that has now established a MOU to build a Solar PV panel manufacturing plant.

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