"We continue to make significant progress in the delivery of the Australia Pacific LNG project,” Origin CEO LNG David Baldwin said.

"The upstream component of the project is 90% complete, with 1019 development wells drilled and 666 wells commissioned, while the downstream component is 86% complete and the final Train 2 module has been set on its permanent foundations.

"The Australia Pacific LNG project remains on track for first LNG in mid-2015," Baldwin said.

The vertically integrated major reported production for the December quarter of 33.4 petajoules equivalent and sales revenue of $235.6 million.

The 4% drop from the previous quarter was attributed to lower production at Otway due to maintenance activities and lower customer nominations by Origin, a planned maintenance shut down at BassGas, plus lower seasonal demand at Kupe, partly offset by higher production at Australia Pacific LNG.

Sales revenue also dropped 6% compared to the previous quarter, which Origin said reflected lower production and a lower average commodity price, partly offset by the timing of product liftings.

Origin reported production for the six months to December 31 of 68.3PJe and sales revenue of $486.7 million.

The company’s foreshadowing of decreasing production in comparison to the six months to December 31 2013 also eventuated, as Origin reduced its call on production from its upstream business to take advantage of cheaper ramp gas available from Queensland’s CSG-LNG projects.

Revenue accordingly decreased compared to the six months to December 31 2013, which Origin said reflected lower production and reduced third party prices and volumes.