Cliff Head Joint Venture (CHJV) partners Triangle Energy and Pilot Energy are upgrading two oil tanks at the onshore Arrowsmith Stabilisation Plant (ASP), the first step towards finalising the Perth Basin oil export route.
The two oil storage tanks have been mothballed and the refurbishment works are expected to cost A$2.35 million (€2.22 million). Together with the existing in-use tank, the CHJV will have a total storage capacity of 30,000 bbl at the ASP.
Currently, the 700 bpd of oil produced from the Cliff Head oil field is stored in ASP’s existing 10,000 bbl tank, before being transported to storage at export facilities in Kwinana, but this export route will close at the end of April 2022. From May 2022, oil will be stored in ASP’s three tanks and then transported north to the Port of Geraldton, for export to Asian refineries via tanker. CHJV has signed a co-operation agreement with the Port for the exports and together with the refurbished tanks, this will establish a new Perth Basin oil export route, open to third parties as well as the JV partners.
Triangle and Pilot are also considering the development of a carbon capture and storage (CCS) facility at Cliff Head, which would be available to third parties, which could ‘significantly’ extend the life of the CHJV facilities.
‘The expenditure of A$2.35 million on oil tank refurbishment is a measure of our conviction and provide certainty that we will continue exporting the oil produced from the Cliff Head Oil Field,’ says Triangle Energy managing director Conrad Todd.