Shell’s CEO: Prelude FLNG to remain offline for most of Q1

Shell’s giant Prelude FLNG located offshore Australia will likely remain offline during the first quarter of this year following an incident in December last year.

Chief executive Ben van Beurden told media during a call on Thursday after the firm announced its quarterly results that Shell expects the Prelude FLNG, “to be out for most of the first quarter.“

To remind, a Shell spokesperson told LNG Prime in December that the firm had suspended production at the giant FLNG after an incident on December 2.

The spokesperson said that smoke detected in an electrical utility area had triggered the automatic fire detection and management systems on board the FLNG facility located some 475 km from Broome in Western Australia.

Shell also evacuated the majority of workers on board the FLNG as the unit requires only a skeleton crew during a production shutdown.

After that, Australian offshore regulator NOPSEMA visited the FLNG facility giving Shell four directions the firm needs to complete prior to restarting the giant unit.

Covid restrictions

Besides working on the directions, Shell has problems in bringing specialists on board the FLNG due to Western Australia’s Covid-19 restrictions.

“It’s not been made easy because of the pandemic. It’s a remote facility, it’s difficult to get people in,” van Beurden said during the call.

“To get a vendor specialist in means that that person will need to quarantine for weeks before they can go on board, so these problems compound the issue a little bit,“ he said.

“But also we just want to make sure that whenever we restart, we know that we have solved the problem and we can do so safely,“ he said.

The CEO added that Shell works “very closely” with NOPSEMA to do so.

Prelude shipped its first cargo in June 2019 after several start-up delays. The FLNG has the capacity to produce 3.6 mtpa of LNG, 1.3 mtpa of condensate, and 0.4 mtpa of LPG.

Shell operates the floating facility with a 67.5 percent stake. Japan’s Inpex holds a 17.5 percent stake, Korea’s Kogas 10 percent, and Taiwan’s CPC holds 5 percent.

Most Popular

Glenfarne still expects Texas LNG FID by end of this year

US energy firm Glenfarne confirmed it is targeting a final investment decision on its planned 4 mtpa Texas LNG export project in the port of Brownsville by the end of 2025 after the US FERC issued the final supplemental environmental impact statement for the project.

Kosmos: Tortue FLNG to hit full capacity in Q4

UK-based energy giant BP and its partners expect the 2.7 mtpa Golar FLNG Gimi, which serves the Greater Tortue Ahmeyim LNG project offshore Mauritania and Senegal, to reach its nameplate capacity in the fourth quarter of this year, according to US-based Kosmos Energy.

Equinor’s Hammerfest LNG back online after maintenance

Norwegian energy firm Equinor has resumed operations at its 4.3 mtpa Hammerfest LNG export plant following an extended maintenance shutdown, a spokesperson for Equinor told LNG Prime on Monday.

More News Like This

Peru LNG sent five cargoes in July

Peru LNG’s liquefaction plant at Pampa Melchorita has shipped five liquefied natural gas cargoes in July, the same as in the previous month.

Fluor, JGC score FEED job for LNG Canada expansion

A joint venture of US engineer Fluor and Japan's JGC has been awarded the contract to update the front-end engineering and design (FEED) for a proposed Phase 2 expansion of the Shell-led LNG Canada project.

Shell CEO says LNG Canada ramp-up in line with expectations

LNG Canada's production ramp-up is "very much" in line with what Shell had expected, according to Shell CEO Wael Sawan.

Shell’s Q2 profit reaches $4.26 billion, LNG sales climb

LNG giant Shell reported a drop in adjusted earnings in the second quarter of 2025, while its LNG sales rose compared to the same quarter in 2024.