22 May 2011

Floating LNG plant announced

7:23 am on 22 May 2011

Royal Dutch Shell has announced the building of a floating liquefied natural gas plant.

The LNG project was announced on Friday. Analysts believe it could cost between $US8 billion - $US15 billion.

The BBC reports it will come on-stream in 2016 and provide 3.6 million tonnes of gas per annum to meet growing Asian demand.

The plant will be moored 200km from the Australian coast.

The company says the platform will be the largest offshore facility in the world. It is being built in South Korea by Samsung heavy industries.

The project is likely to export gas throughout the region.