Oz APLNG Signs New Gas Deals
Australia Pacific LNG (APLNG) July 4 announced it will supply an additional 16.2 petajoules of natural gas to domestic customers.
APLNG will supply explosives manufacturer Orica with 10.2 petajoules (9.6bn ft3) of gas over four years commencing from 2021 and packaging manufacturer Orora with up to 6 petajoules of gas over three years (at their option commencing from 2023).
“We’re delighted to be getting more gas to domestic customers and as a result, supporting manufacturing jobs in Australia,” APLNG CEO Warwick King.
In 2018, Australia Pacific LNG provided around 30% of gas supply to the east coast market and has been a net contributor to the domestic market every year since it was formed in 2008, it said. APLNG (a joint venture comprising Origin, ConocoPhillips and Sinopec) is Australia’s largest producer of coalbed methane and supplies gas to Queensland’s domestic gas market, while also processing CBM into LNG for exports.
Industry association Queensland Resources Council (QRC) has welcomed the signing of these contracts.
“Today’s announcement is yet another sign of the benefits that flow from a successful gas industry that has regulatory stability,” QRC CEO Ian Macfarlane said. “The Queensland gas industry is leading the nation with a proactive approach to easing the east coast gas squeeze.
“Queensland’s neighbours must take a leaf out of our book, instead of relying on our state to meet the gap caused by their failure to develop their own gas industries. Gas exploration has stalled in New South Wales and Victoria, despite the fact all jurisdictions have their own reserves in the ground,” Macfarlane said.