Ichthys environmental impact statement

The joint venture partners behind the Ichthys gas project off the Kimberley coast have released a draft environmental impact statement.

Japanese oil and gas producer Inpex and Total E&P want to pipe gas from the Ichthys field off Western Australia to an LNG processing plant in Darwin.

In a statement Inpex said the project is designed to produce 8.4 million tonnes of liquefied natural gas (LNG) and 1.6 million tonnes of liquefied petroleum gas (LPG) per annum, along with 100,000 barrels of condensate per day at peak.

INPEX has completed a range of detailed environmental and social studies.

These include marine ecological studies in Darwin Harbour, along the offshore pipeline route and at the offshore Ichthys Gas Field; terrestrial ecological studies of potentially affected areas in the vicinity of Blaydin Point; geographic and landform studies; air and water quality monitoring; dredging impact modelling; wastewater discharge and emissions modelling; visual simulations of the proposed development; heritage studies, including Indigenous and maritime; and socio-economic impact and growth assessments.

The draft environmental impact statement is open for public review and comment for eight weeks.

Last week, Inpex announced plans for a $6.7 billion global share offer to finance the project.

See full company statement below:

The Ichthys Project joint venture (INPEX Browse, Ltd. 76%, Operator, and Total E&P Australia 24%) today reached a significant milestone with the release of its Draft Environmental Impact Statement (Draft EIS) for an 8 week public review and comment period.

The Draft EIS applies to all aspects of the proposed Ichthys Gas Field Development Project, including the:
- offshore processing facilities at the Ichthys Field in the Browse Basin, 200 kilometres off the coast of Western Australia;
- subsea gas pipeline to Darwin; and
- onshore processing facilities in Darwin.

The Project is designed to produce 8.4 million tonnes of liquefied natural gas (LNG) and
1.6 million tonnes of liquefied petroleum gas (LPG) per annum, along with 100,000 barrels of condensate per day at peak. The operating life of the Project is expected to be 40 years.

The Draft EIS is the culmination of several years of comprehensive surveys and studies to define the:
- existing natural and social environment;
- potential environmental impacts due to construction and subsequent operation activities;
- social and economic benefits and impacts from the Ichthys Project; and
- proposed management controls to limit potential impacts.

INPEX Browse Managing Director Seiya Ito said the Draft EIS demonstrates that the Ichthys Project can be developed in a manner that is environmentally and socially sustainable, while delivering significant economic benefits to the Australian and Northern Territory communities.

"Development of the Ichthys Project promises to deliver social and economic benefits to the people of Darwin, the Northern Territory and Australia through direct and indirect employment, training and business opportunities, and the support of community activities," Mr Ito said.
"Economic modelling for the Ichthys Project indicates the Australian economy will benefit by an estimated $3.5 billion annually. This includes an expansion of the Northern Territory economy by an average of nearly 18% annually.
"In addition, the Ichthys Project can play a part in securing Australia's place as a leading world producer of LNG, the cleanest of all fossil fuels."
The Ichthys Project joint venture recently donated $3 million to support construction of the Larrakia Trade Training Centre at the Darwin Business Park. INPEX also supports a number of local community events in Darwin including Fred's Pass Show, Palmerston Festival, Australia Day Fun Run Walk and the Darwin Harbour Cleanup Day.
As part of the rigorous EIS process, INPEX has completed a range of detailed environmental and social studies, including:

- marine ecological studies in Darwin Harbour, along the offshore pipeline route and at the offshore Ichthys Gas Field;
- terrestrial ecological studies of potentially affected areas in the vicinity of Blaydin Point;
- geographic and landform studies;
- air and water quality monitoring;
- dredging impact modelling;
- wastewater discharge and emissions modelling;
- visual simulations of the proposed development;
- heritage studies, including Indigenous and maritime; and
- socio-economic impact and growth assessments.

INPEX will respond to submissions received during the public review period and responses will be published in a supplement to the Draft EIS. Australian and Northern Territory regulators will then assess the Draft EIS and individually prepare assessment reports, which will be forwarded to the respective ministers responsible for environmental approval of the Ichthys Project.

Approval by both governments is required before the Project can proceed.
Mr Ito encouraged the community to get involved in the review process.
"The community's contribution to the evaluation of the Ichthys Project Draft EIS is very welcome and can only improve the quality and integrity of the assessment process, leading to better outcomes for the Project and for the community."
Electronic copies of the Draft EIS and further details regarding the public review process are available at:
- www.inpex.com.au
- www.nt.gov.au/nretas

The public review and comment period closes on Friday 10 September 2010.