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Published on: 12/9/2006
Last Visited: 9/25/2008
Chris Hart, managing director of Methanol Australia, the company COIL has invested in and which will build the plants, was recently in London and found time to flesh out these plans for oilbarrel.com.
First, an update from the Kyrgyz Republic.Cambrian's heavy oil lies in the Beshkent-Togap field in the southwest of this land-locked country, which is sandwiched between China, Kazakhstan, Uzbekistan and Tajikistan.
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As for the methanol and LNG projects, Chris Hart explains that Cambrian has become involved through Cambrian Mining, which owns 28 per cent of COIL and is something of an energy conglomerate.These are promising projects, not least because Australia has many undeveloped gas discoveries that have been stranded by the tyranny of distance, which makes pipelines very expensive.LNG and GTL projects are, therefore, an obvious way to shift these stranded reserves to market.
Other companies have been stymied not so much by the capital costs of LNG and methanol plans but because of associated planning and native title issues, the transportation costs if pipelines are involved and the high labour costs of assembling plant.Mr Hart reckons Methanol Australia has cracked these problems.Environmental approvals were granted for two 1.8 million tonnes per annum (tpa) methanol plants in December 2002 and one 3 million tpa LNG plant in May 2004.