Jemena plans reversal of Eastern gas pipeline to boost gas supply to Victoria
Jemena, an Australian gas infrastructure company, March 26 announced its intentions to reverse the 797km Eastern gas pipeline (EGP) to transport gas from New South Wales into Victoria.
The proposed reversal project aims to facilitate the transfer of up to 300 terajoules per day (TJ/d) of gas from New South Wales into Victoria. Commissioned in 2000, the EGP has historically transported gas from Bass Strait in Victoria to the New South Wales and Sydney market.
Initially, the reversal project will enable the EGP to operate bi-directionally, with the capability to deliver 200 TJ/d southward by winter 2026 from the Port Kembla LNG import terminal, owned by Squadron Energy. Depending on market demand, the capacity for southern flows could be increased to 300 TJ/d.
Announcing the reversal project at the Australian Domestic Gas Outlook Conference, Jemena’s Cameron Dorse, said the project was the fastest and most efficient way to bring additional gas south to Victoria before forecast gas shortages materialise.
"Gas plays a crucial firming role to renewable generation, particularly in the country’s south-east which is heavily dependent on gas to supply peaking energy as well as for use in domestic and commercial settings. The reversal project and Port Kembla energy terminal is the only realistic and viable option available to the market to make additional gas available quickly," he said.
The announcement follows Jemena's completion of works connecting the Port Kembla LNG import terminal project to the EGP last year. These efforts included the construction of a 12km pipeline lateral from Port Kembla to Kembla Grange in the New South Wales Illawarra region, alongside an upgrade to the Kembla Grange facility to incorporate a metering station.
Port Kembla terminal is located in New South Wales around 90 km south of Australia's largest city Sydney in the southeast. It has a planned capacity of more than 100 PJ/year.
The LNG terminal's floating storage and regasification unit could receive LNG from existing liquefaction plants in Western Australia or Queensland, as well as cargoes from overseas.