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    Oz Jemena Starts Work on Atlas Gas Pipeline

Summary

The Atlas acreage is Queensland’s first domestic-only gas supply with all gas ear-marked for the domestic market.

by: Shardul Sharma

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Natural Gas & LNG News, Asia/Oceania, Security of Supply, Corporate, Exploration & Production, News By Country, Australia

Oz Jemena Starts Work on Atlas Gas Pipeline

Australian energy infrastructure company, Jemena, July 8 said it has started construction of the Atlas gas pipeline in Queensland.

Located approximately 20km south-west of Wandoan in Queensland, the Atlas gas pipeline project will see Jemena and its partners construct a 60-km, 8-inch steel-coated, buried gas pipeline and compressor station, which will connect gas from Senex Energy’s Atlas gas field to the east-coast gas market via the Wallumbilla gas hub.

The Atlas acreage is Queensland’s first domestic-only gas supply with all gas ear-marked for the domestic market.

Jemena’s executive general manager of gas markets, Antoon Boey, said construction and commissioning of the Atlas project is expected to be complete before the end of 2019. “The Atlas pipeline and processing facility have been designed to enable further expansion once additional gas reserves become available from the Atlas production area,” he said.

Jemena recently awarded Spiecapag Australia a A$20mn (US$14mn) contract to construct the Atlas gas pipeline, while Australian energy and infrastructure services group, Valmec, has been appointed to construct the Atlas compressor station. In total, Jemena will invest around A$140mn to construct the Atlas gas pipeline project.

“The start of pipeline construction works by Jemena is an important milestone in delivering much-needed natural gas to the east coast market.

“Senex and Jemena will invest almost A$400mn to bring natural gas from Project Atlas and the nearby Roma North development to market, an investment which will not only create new jobs and support the western Queensland economy, but also generate material royalties for the Queensland government to support roads, schools and hospitals,” Senex CEO Ian Davies said in a separate statement issued July 8.

Boey said Jemena was working hard and in partnership with gas exploration companies to bring new gas to Australian homes and businesses.

“We are acutely aware that Australia faces a gas supply crisis and Jemena is investing heavily in new gas transmission infrastructure to bring new gas supplies into the market. Moving gas from where it is produced to the markets where it is needed at the lowest possible cost and doing so safely and reliably is of utmost importance to Jemena,” said Boey.