Oil and Gas World

The Shell-operated QGC venture is located in Queensland, Australia.

QGC is one of Australia's leading natural gas producers, focused on developing Queensland's world-class onshore gas reserves.

We have supplied the domestic market since 2006 and international customers since 2014. Shell is an active participant in the domestic market, supplying gas from our QGC project, and trading through Shell Energy Australia, our gas and power trading business, supplying around 16% of east coast demand in 2019.

QGC produces natural gas from wells drilled into coal seams in the Surat Basin. Our operations include more than over 3,000 production wells, 25 field compression stations, six central processing plants, two water treatment plants and a two-train LNG export facility on Curtis Island.

Shell is the operator and majority interest holder in the QGC venture. Our partners in the LNG plant on Curtis Island are CNOOC (50% equity in Train 1) and Tokyo Gas (2.5% equity in Train 2).

Shell Announces the Sale of an Interest in QCLNG Common Facilities Infrastructure to Global Infrastructure Partners
December 21, 2020

QGC Common Facilities Company Pty Ltd, a wholly-owned subsidiary of Shell, today announced it has agreed to the sale of a 26.25% interest in the Queensland Curtis LNG (QCLNG) Common Facilities to Global Infrastructure Partners Australia for US$2.5 billion.

The Common Facilities are currently 100% owned by Shell and include LNG storage tanks, jetties and operations infrastructure that service QCLNG’s LNG trains. Upon completion of the transaction, Shell will remain majority owner and operator of the Common Facilities.

This decision is consistent with Shell’s strategy of selling non-core assets in order to further high-grade and simplify Shell’s portfolio. The sale will contribute to Shell’s expected divestment proceeds, without impact on people or the operations of the QCLNG venture, and aligns Shell’s interest in the Common Facilities with its 73.75% interest in the overall QCLNG venture.

Due to the advantages it offers as a complement to renewable energy and as the cleanest burning hydrocarbon, natural gas is a core component of Shell’s strategy to provide more and cleaner energy solutions. Global LNG demand is expected to outpace total demand for energy and the QCLNG venture is crucial in helping Shell meet the world’s growing energy needs.

The transaction is subject to regulatory approval in Australia and customary conditions. It is expected to complete in the first half of 2021.