Trouble in paradise … but will the gas hub go ahead?

Published: February 8, 2013

The battle over the possible development of a giant gas hub at James Price Point north of Broome in Western Australia’s Kimberley region is reaching a climax.

The impact of the proposed terminal on one of the region’s most idyllic and pristine stretches of coastline – and a grey nomad favourite – has sparked major conflict in a town once synonymous with tranquillity and relaxation.

With a final decision imminent on whether it is going to press ahead with the highly controversial gas hub plans, Woodside Petroleum has much to consider. In recent months, the estimated $40 million gas hub project has been threatened by talk of creating an offshore floating LNG facility instead. It would apparently be much cheaper and more profitable for Woodside and its joint-venture partners … but Western Australia’s Premier Colin Barnett says federal and state authorities would be “nuts” to allow a change of heart.

“No jobs, no gas coming on shore … no benefit to consumers, to business, to industry,” he said. “We are talking several thousand jobs, and the state and federal governments agree that gas comes onshore to benefit Australia.”
Mr Barnett has said he would rather see the vast gas resource stay in the ground for years than let the liquefied natural gas plant leave the mainland.

In any event, it seems something is happening. A Woodside contractor has just applied to build a massive camp just outside Broome that will potentially house almost 1000 transient workers. Skunthorpe Accommodation Camp, 24km north-east of Broome, will house workers building accommodation at James Price Point. It will include a bar and wet mess and will, according to Woodside, ensure that workers do not flood tourist facilities in Broome.

“The camp will minimise the use of established tourist accommodation during the Broome’s tourist peak season,” a Woodside spokeswoman said.

Woodside said it was planned the camp would operate for up to five years from late this year, subject to its final investment decision.

Have you been to James Price Point? Should the gas hub go ahead? Comment below.

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