The Australia Pacific LNG (APLNG) and Armour Energy Joint Venture (JV) has signed gas supply agreements with Queensland manufacturers.
Earlier in July, the Queensland Government awarded the JV the authority to prospect an 18 km2 block located 22 km southwest of Chinchilla, with the CSG produced from the acreage to be supplied exclusively to Australian manufacturers.
Now it has been revealed the JV has signed gas deals with Orica to supply the company’s Yarwun explosives plant, as well as with Orora for its Rocklea packaging plant.
The JV acreage is situated near APLNG’s Talinga Project and the close proximity to existing infrastructure is expected to fast-track production.
APLNG CEO Warwick King said the company was “proud to be supporting manufacturing jobs in Australia” with the earliest of the multi-year contracts to begin in 2020.
Queensland Minister for Natural Resources, Mines and Energy Dr Anthony Lynham said the state government would continue to support gas exploration.
“The Palaszczuk Government set aside land for potential gas producers to supply manufacturers and this initiative is paying off for manufacturing workers,” he said.
“Queensland continues to do the heavy lifting when it comes to gas supply for eastern Australia, and energy policy for the nation.”
APLNG will operate the project with a 90 per cent interest while JV partner Armour will hold a 10 per cent stake.
For more information visit the APLNG website.
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