In 2000, INPEX discovered a gas field named Ichthys offshore northwestern Australia in the Browse Basin. The reservoir is estimated to contain at least 8 trillion cubic feet of gas, and the company discovered this vast amount of natural gas when six appraisal wells were drilled between 2000 and 2004.

After searching for a place to build the LNG terminal to export gas from the field, INPEX had planned on building the Ichthys facility on The Maret Islands 35 kilometers offshore and less than 200 kilometers from the field. Martes Island is located in deep water, near shore so dredging and navigation channels for shipping are not required.

On Sept. 26, 2008, the Ichthys joint venture announced that it will build the proposed LNG processing facility on Blaydin Point on Middle Arm Peninsula in Darwin, Northern Territory, Australia. News reports have indicated that the Darwin site won out as a result of lack of support fromthe Western Australia government.

In its site-selection announcement, Inpex reported that front-end engineering design would begin "shortly and that a final investment decision is expected near the end of 2009 or early in 2010. Should the joint venture proceed with the project, the first LNG shipment from the terminal is anticipated in late 2014 or early 2015.

According to the joint venture, more than US$20 billion in capital expenditure will be required to construct the offshore and onshore facilities required to produce gas and condensate offshore and deliver gas from the Ichthys Field to the Blaydin Point LNG processing facility via an 850-kilometer pipeline.

The reserve volume of the Ichthys Field is estimated to be 12.8 trillion cubic feet of natural gas and 527 million barrels of condensate. Initially the project is expected to produce more than 8 million tonnes of LNG, 1.6 million tonnes of LPG per annum and 100,000 barrels of condensate per day. These forecasted production volumes represent about 50% of current Australian annual LNG production, about 60% of current Australian LPG production and about 20% of current Australian crude oil production, respectively.

Middle Arm Peninsula has the capacity to support the two initial LNG trains, and there is an opportunity for additional LNG trains to accommodate future expansion.

The project is expected to require more than 2,000 construction jobs and 300 full-time positions during operations. It is expected to have a 40-year life span.

Total owns 24% interest in Ichthys, with INPEX owning the remainder of the estimated $10.7 billion project.