Shell approves $2.5bn Crux gas project to backfill Prelude LNG off Australia

Shell approves $2.5bn Crux gas project to backfill Prelude LNG off Australia

Shell (LON:SHEL) has taken a final investment decision (FID) to develop the Crux natural gas field offshore Western Australia. It will backfill the Prelude floating liquefied natural gas (LNG) facility, as the supermajor eyes strengthening demand from Asian customers, seeking to transition from coal to gas.

Construction will start this year and first gas is expected in 2027, Shell said in a statement today.

“The use of Prelude’s existing infrastructure enables significantly reduced development costs, making Crux competitive and commercially attractive,” said Shell Australia Chair Tony Nunan.