Mobile LNG (MLNG) is currently working on the establishment and development of virtual gas pipeline® projects and diesel replacement solutions for projects and customers in the following regions:
- The Pilbara Region, Port Hedland Virtual Gas Pipeline® Project – for the needs of the WA mining industry which is centred in the Pilbara and is responsible for most of Australia’s export wealth.
- The Mid West Region, potentially the Kalgoorlie Virtual Gas Pipeline® Project (location may become Geraldton and is still to be finalised) – Assisting cost reductions and efficiencies in mining, agriculture and regional transport industries in particular, and to make economic and supply side reforms and efficiencies to assist in gaining new export markets for commodities.
- Adelaide Region, Adelaide Virtual Gas Pipeline® Project – – for the broader economic reform and cost reduction needs of South Australia’s regional economy, particularly for the mining, export, transport and tourism industries as this project will be in the gateway corridor to South Australia’s export facilities.
- Darwin Region, Darwin Virtual Gas Pipeline® Project, a solution to remote energy needs of Northern Australian communities, Industries and mining operations. This project too will be located near port and export facilities;
PROJECTS IN OVERVIEW
Subject to final negotiations, each virtual gas pipeline® project is proposed to be served by the construction of a LNG production hub with a capacity for the production of 400 tons per day of LNG.
Both the production ramp up rate to this level and the final magnitude of plant capacity will be continually reassessed over coming months and shaped by the outcomes of consultation with large scale consumers, the respective state and local government authorities, and with representatives of the peak users from respective market segments. The LNG produced will be supplied to users in multiples of specially constructed ISO-Tainers (either in 22,000 litres or 44,000 litre capacity forms) and distributed to the wider expanses of the region via road, rail or by sea based deliveries: and according to individual customer needs, in quantities and frequencies.
Each of the four projects has an estimated capital expenditure of $250 million for the construction and establishment of LNG production and distribution facilities that will form MLNG’s virtual gas pipeline® for the region.
This expenditure and the establishment of each project is forecast to generate;
- 375 construction positions;
- 65 Administrative and ongoing operational positions; and a further,
- 1,000 secondary employment positions are also forecast to result.
The LNG produced will be used to replace diesel consumption in each of the project’s environs, which will:
- Reduce the operating fuel costs of participating industries in each project area by $51 million per annum, which represents fuel cost savings of approximately 25% over their existing fuel costs,
- Replace the daily consumption of 560,000 litres of diesel fuel;
- Reduce the need to import Diesel fuel by up to $160 million per annum;
- Reduce greenhouse gas emissions by 25% for participating industries, preventing approx. 120,000 tonnes of CO2 emissions from entering the local environment of each project area; and,
- Assist to reduce regional community living costs in each area by reducing the fuel costs component on goods and transport.
MARKET SEGMENT FOCUS
The focus of each project is on providing costs savings, economic reform efficiencies and enhanced regional development that is available to operations from using natural gas to replace further need for diesel fuels. In particular with an industry focus to the industry sectors of;
- Remote Power Generation,
- Transport (rail, marine and heavy vehicle),
- Agriculture, and to the needs in general of
- Remote communities.
COLLECTIVE BENEFIT OF 4 PRODUCTION HUBS
These four LNG hubs and their virtual gas pipeline® will collectively:
- Represent a $1 billion investment in Australia’s economic future;
- Create 4,000 new positions;
- Reduce regional fuel costs by $330 million per annum;
- Reduce Australia’s need to import diesel fuel by $636 million per annum; and,
- Reduce greenhouse gas emissions by nearly 500,000 tonnes per annum.
VIRTUAL GAS PIPELINE® PROJECTS
THE LOCATION OF CURRENT PROJECTS
MLNG has 4 projects underway across Australia:
- One in the Northern Territory based near Darwin;
- Two in Western Australia – for the Pilbara Region (Port Hedland) and the Mid-West Region ( Kalgoorlie ); and ,
- One In South Australia based on the northern outskirts of the Adelaide metropolitan Region
PROJECT INFORMATION SHEETS
Project sheets and Project Newsletters are available in portable document format (PDF) to individually download for each of the 4 virtual gas pipeline projects, using the following icon links.