A Joint Venture

A Joint Venture
The Bass Strait oil and gas fields and
associated production and processing
facilities, including Long Island Point, are
owned by Esso Australia and BHP Billiton
in a 50:50 joint venture arrangement.
All of the oil and LPG
stored and processed at
Long Island Point
originates in Bass Strait.
Esso Australia is the operator and, as
such, has responsibility for the day to
day management decisions and the
operations
of
the
production
and
processing facilities.
Esso Australia Pty Ltd is a subsidiary of
the largest petroleum and petrochemical
company in the world, the Exxon Mobil
Corporation.
ExxonMobil conducts business in more
than 200 countries around the world - in
the exploration and production of oil and
gas; manufacturing and marketing of
fuels, lubricants and chemicals; and
electric power generation.
BHP Billiton Petroleum Pty Ltd is a
subsidiary of BHP Billiton, one of the
world's
largest
diversified
natural
resources groups.
BHP Billiton has
operations
major
in
the
resources
provinces of Africa, Australia and Latin
America,
and
provides
a
range
of
products (including aluminium, base
metals,
carbon
and
stainless
steel-
making raw materials, diamonds, energy,
coal, and petroleum) to customers in the
markets of North America, Europe and
Asia.
Esso Australia Pty Ltd
12 Riverside Quay
SOUTHBANK VIC 3006
Ph: 03 9270 3333
www.esso.com.au
2002
LONG
ISLAND
POINT
Truck loading facility.
Long
Island
Point
Australia's first offshore oil and gas platform commenced
operations in Bass Strait in October 1969. Since then, more
than 3.5 billion barrels (556,000 million litres) of oil and 5
trillion cubic feet of gas have been produced from deep
below the ocean floor.
Once processed, this oil and gas is used to power industry,
fuel vehicles, heat homes and manufacture products.
First opened in 1970, Long Island Point, situated near
Hastings, 75 kilometres south-east of Melbourne, plays a
vital role in the Bass Strait production line.
Long Island
Point carries out the final stage in the processing of Liquid
Petroleum Gas (LPG) and stores crude oil prior to
distribution to refineries in Australia and overseas.
The 158 hectare site houses three LPG fractionation trains,
nineteen
pressurised
LPG
storage
vessels,
seven
refrigerated atmospheric pressure LPG storage tanks, eight
crude oil storage tanks, an LPG truck loading terminal and a
jetty for loading LPG and crude oil onto ships. There is also
a laboratory, warehouse, maintenance workshop and
administration building.
In line with Victorian regulatory requirements, Long Island
Point is registered as a Major Hazard Facility because it
stores,
handles,
and
processes
large
quantities
of
flammable products.
The jetty at Long Island Point is used for
marine loading of LPG and crude oil.
Liquid Petroleum Gas Processing
Liquid petroleum gas (LPG) occurs naturally in oil and
gas production fields. LPG produced in Bass Strait is
pumped to Long Island Point via a pipeline from
Longford.
At Long Island Point the raw LPG is separated into its
three components, ethane, propane, and butane.
The separation is performed using equipment, vessels,
and processes known collectively as "fractionation
trains".
Long Island Point has three fractionation trains which
work independently.
Fractionation operates rather like a gigantic, highly
sophisticated, steam kettle. The liquid LPG is heated
and cooled to varying temperatures to remove the
individual components by distillation.
First comes the "de-ethaniser" to remove the lightest
fraction, ethane. The heavier fractions, the "bottoms",
then go to the "de-propaniser" tower to separate the
propane and butane.
After fractionation the gases are turned to liquid by
cooling and applying pressure.
Liquid LPG is around 270 times smaller than its
gaseous form.
Therefore liquid is the most efficient
way of storing and transferring large amounts prior to it
being used in its gaseous form.
Long Island Point has seven refrigerated LPG storage
tanks and nineteen pressure storage tanks where the
liquid propane and butane are stored after fractionation
and prior to being distributed by truck, pipeline or ship.
Some of the refrigerated storage tanks can be seen
across the bay from Hastings.
Ethane is sent via a pipeline to chemical businesses in
Melbourne's western suburbs.
Long Island Point has 19 LPG pressure
storage tanks. Liquid LPG is around
270 times smaller than its gaseous
form. Therefore liquid is the most
efficient way of storing and transferring
large amounts of LPG prior to it being
used in its gaseous form.
Which Gas is Which?
Long Island Point separates Liquid
Petroleum Gas (LPG) into three gases,
ethane, propane, and butane.
Ethane is used in the manufacture of
detergents
and
plastics,
such
as
polythene and polystyrene, which in turn
are used to manufacture food wraps,
bottles, bags, polystyrene foam etc.
Ethane is sent via pipeline from Long
Island Point to a number of chemical
businesses
operating
at
Altona
in
Ethane is used in the
manufacture of plastics.
Melbourne's western suburbs.
Propane is most commonly used for
household
heating
and
cooking.
Propane is the gas that is available in
gas bottles and used for camping and
barbeques.
industrial
Propane is also used for
purposes
such
as
metal
cutting, welding and refrigeration.
Butane
is
mixed
with
propane
to
become the commercial Auto LPG gas
which is used in cars.
Propane is the gas typically used
in household gas bottles.
Did you know?
LPG has very little natural odour.
The
typical
smell
normally
associated with gas is actually
caused
by
the
chemical
'mercaptan'.
Mercaptan is added as a safety
mechanism prior to distribution.
Its
distinctive
and
unpleasant
odour allows people to identify the
presence of what would otherwise
be a colourless and odourless gas.
AutoLPG storage at a
service station.
Propane and butane are mixed
together to form AutoLPG.
Marine Loading
Every year ships from all over the
world visit Long Island Point's marine
loading facility to receive crude oil
and LPG.
products
Pipes for the various
run
down
the
jetty
to
extendable loading arms which are
attached securely to the tankers’
manifold.
The facilities at Long Island Point and
operational procedures are designed
to minimise the risks of accidental
spills. Esso Australia is very proud of
the fact that since operations began
in 1970, more than 3 billion barrels of
crude oil have been handled without
any significant marine oil spill.
Products loaded at Long Island Point are
shipped around Australia and the world.
An average of 50 - 60 trucks a day
are loaded at Long Island Point.
Truck Loading Facility
Long Island Point's truck loading
The proximity of the facility to the
facility was substantially upgraded in
actual LPG processing plant is
1995
also
in
response
to
a
growing
a
significant
safety
demand for automotive grade LPG, a
advantage.
propane-butane blend.
product does not need to be
The facility loads an average of 50-60
stored
trucks a day with the demand being
facility but can be transferred by
highest in the winter months.
The
pipe from the refrigerated or
trucks, from a variety of companies,
pressure storage when each
distribute LPG to businesses and
truck is ready to load.
at
It
the
service stations all over Australia.
The facility has sophisticated safety
features
including
continuous
an
automatic,
self-checking
system
which prevents overloading.
It also
ensures connections to the truck are
properly
fitted
before
and
after
loading and will not allow loading to
begin in the event of a fault.
Trucks loaded at Long Island
Point distribute LPG to
businesses and service
stations all over Australia.
means
truck
that
loading
Pipeline Network
An extensive network of pipelines keep
Bass Strait oil, natural gas and LPG
flowing 24 hours a day.
In Bass Strait more than 600km of
pipelines run between 21 platforms and
installations.
Crude Oil Tank Farm
These pipelines come onshore just
south of Lakes Entrance and carry the
unprocessed oil and gas to Esso's first
Long Island Point has eight tanks
processing facility at Longford.
which store stabilised Bass Strait
From Longford, two 190km pipelines
crude oil.
carry the ‘raw’ or unprocessed LPG and
The crude oil arrives via pipeline
stabilised crude oil to Long Island Point.
from Esso's processing plant at
From Long Island Point, crude oil can be
Longford.
It is stored in the tank
distributed via pipeline to Victoria's two
farm where the remaining entrained
refineries at Altona, in Melbourne, and
water is removed.
Geelong.
It is then sent
via pipeline to the two Victorian
refineries (Altona and Geelong) or,
it is loaded onto ships at Long
Island Point's marine loading jetty.
Once the crude oil reaches the
refineries it is made into a variety
of
products
including
diesel, and lubricants.
petrol,
Propane
and
butane
are
piped
to
Dandenong and ethane is piped to
various
chemical
factories
in
Melbourne's western suburbs.
In all, Esso Australia operates and
maintains 750 kilometres of onshore
pipelines and 600 kilometres of offshore
pipelines.
Pipelines are inspected regularly
to ensure their safe operation.
The crude oil storage tanks are painted
dark green so that they blend more easily
with the natural environment.
Our Commitment
to Safety
Caring for the Environment
Esso is committed to protecting the
health and safety of its workers
Long Island Point aims to conduct its
and accordingly has made safety a
business in a manner compatible with the
priority over all other objectives.
balanced
economic
All Long Island Point operations
needs of the community within which it
are performed in a manner which
operates.
Regular monitoring and facility
maximises safety and efficiency
upgrading are carried out to meet this
and Esso's Operations Integrity
objective.
Management
environmental
and
Allowable emission levels for Long Island
Point are set under a licence issued by the
Victorian Environment Protection Authority.
The design of the Long Island Point plant,
together with its operational procedures
ensure risks of accidental oil spills are
identify and control risks.
Esso maintains comprehensive and
regularly
updated
manuals
for
procedure
work
permits,
operating procedures, scheduled
operations
Since operations began in 1970, more than
(OIMS)
provides a structured framework to
maintenance,
minimised.
System
marine
and
terminal
emergency
response.
3 billion barrels of crude oil have been
handled without any significant marine oil
In more than 30 years of operation
there has not been a major work
spill.
injury to any Esso employee at
In the event of an oil spill, there is extensive
Long Island Point.
response capability designed to contain
and recover oil.
An emergency response
plan
for
operates
all
buildings
and
equipment on site and, with the cooperation
of local emergency authorities, is tested at
least once a year.
Because cars may be an ignition source,
bicycles are the preferred means of
transportation at Long Island Point.
Long Island Point is equipped with a fire
truck and comprehensive fixed and mobile
fire protection systems and equipment. All
are designed to protect against and combat
fire in any section of the plant, storage area
Long Island Point operates two flare stacks.
and jetty facilities.
chimneys and can be seen from Hastings.
Many employees are
trained in fire-fighting and first aid.
A flexible boom is used when ships load
at the Long Island Point jetty. The boom
will prevent oil from spreading in the
unlikely event of a spill.
The flares look like giant
The
Flares are an important safety mechanism and work much like a home gas
Country Fire Authority (CFA) plays an
heater. A pilot light burns constantly and ignites any gas which may be
integral role in emergency response plans
collected when there is an interruption to the normal operational
and is located in Hastings about 10 minutes
processes. Burning gas in this manner is a safe and effective means of
from the site.
disposal which is licenced by the Environment Protection Authority.