SNC-Lavalin secures operations, maintenance workforce contract for Shell-operated QGC venture

10/8/2019

MONTREAL -- SNC-Lavalin has been awarded a three-year provision of operations and maintenance workforce contract from Shell Australia for its QGC upstream asset located in Queensland, Eastern Australia.

“We began working on the QGC venture in 2012, providing integrated commissioning and start-up services for the upstream facilities, which we safely completed in Q2 2019. To be awarded the provision of upstream operations and maintenance workforce agreement is a credit to the team and a testament of our ability to provide integrated services to our clients,” said Craig Muir, President, Resources, SNC-Lavalin. “This contract win is aligned with the company’s new strategic direction to focus on engineering and consulting services. Providing flexible value-driven solutions for our clients is where our strength lies, and we look forward to ensuring the safe and successful operations of Shell’s QGC venture.”

Under the agreement, SNC-Lavalin will provide, at peak, 300 personnel to continue the existing operation and maintenance program for the QGC upstream assets comprising of 24 field compression stations, six central gas processing plants (CPP), five sales stations and one power station. The scope also includes the provision personnel to support QGC operations and maintenance of 2,500 wells and the 450-km pipeline connecting the CPP’s to the LNG liquefaction plant. SNC-Lavalin will begin supplying manpower on site in early Q4 2019, reaching a peak workforce by December 2019. The three-year contract has an optional one-year, plus one-year extension.

The Shell-operated QGC Venture is located in Queensland in Eastern Australia and is one of Australia’s leading natural gas producers, focused on developing Queensland’s world-class onshore gas reserves. QGC has supplied the domestic market since 2006 and international customers since 2014. It operates an 8.5 million tonne per year LNG plant on Curtis Island near Gladstone, and natural gas operations, which include wells, compression stations and processing plants, in Queensland’s Surat Basin. Shell is the operator and majority interest holder in the QGC venture. Its partners in the LNG plant on Curtis Island are CNOOC (50% equity in Train 1) and Tokyo Gas (2.5% equity in Train 2).

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