Energy infrastructure company Jemena recently appointed Spiecapag Australia to construct the 60 km pipeline connecting Senex Energy’s Atlas acreage, west of Wandoan, to Jemena’s Darling Downs pipeline, near Yuleba, Queensland. The Atlas Gas Pipeline Project (AGPP) will have the capacity to bring an extra 40 TJ of gas per day to the east coast market, creating between 150 and 200 jobs in the process.
Building capacity and delivering gas
Jemena General Manager Major Projects Jonathan Spink says AGPP is a significant piece of infrastructure and is on track to be completed by the end of 2019.
“This is another example of how the energy industry is working together to build capacity and deliver gas to areas of demand,” he says.
“Spiecapag and Jemena have a well-established relationship. It was our Queensland construction partner on the $800 million Northern Gas Pipeline (NGP) project completed last year – constructing 141 km of the NGP – which delivered on budget and on time. We are confident AGPP will also be delivered by its due date later this year.”
Relieving domestic pressure
Jemena was awarded the right to build, own and operate AGPP by Senex Energy in 2018. The company is investing approximately $140 million to build the pipeline and an associated compressor station, being managed by Valmec, which is well underway.
The Atlas Gas Field is the first of 13 gas exploration tenements awarded by the Queensland Government. Importantly, Mr Spink says, all the gas has been committed to the Australian domestic market.
“The demands of the domestic gas market are obvious to us,” he says.
“Our Jemena Gas Network in New South Wales is the largest in Australia. We supply natural gas to close to 1.4 million customers.
“We regularly meet with our commercial and residential customers through our customer council meetings and community engagement programs. These are opportunities to sit down and listen to their needs, and in particular, they have told us they want to be treated fairly, as well as have access to affordable, reliable and sustainable energy.
“Commercial customers want cheaper energy and our residential customers want to continue to cook with gas because it is instant, controllable and safe. It’s these insights which make us appreciate how important AGPP will be in relieving pressure on domestic gas demand.”
Strengthening communities
Atlas the Titan was renowned for his physical strength. AGPP will enable local companies to flex their muscles and Jemena intends to engage as many local contractors and businesses as possible as it develops the project.
“As we did with NGP, Jemena will look to engage with local companies where we can,” says Mr Spink.
“This project is an opportunity for local companies and we hope the skills and experiences they gain will stand them in good stead for future opportunities. This is a fast-paced project and construction is finite, but, long after its completion, we hope local companies and businesses will successfully win contracts for other jobs and employ more people.”
Jemena and Spiecapag have already met with locals for a series of information sessions to outline business and project opportunities for people around Roma, Miles and Wandoan. Jemena and Valmec carried out a similar round of engagement earlier this year.
In addition to business commitments, Jemena has also engaged with the community by participating in local activities, like sponsoring the woodchop event at this year’s Wandoan Show.
Northern Growth Strategy gathers pace
Jemena’s local first policy saw more than 75 per cent of the 1,100 jobs created during the development of NGP filled by people from local communities along the route from Tennant Creek in the Northern Territory, to Mount Isa in Queensland. More than $52 million in contracts were awarded to local businesses, which now have additional skills and experience to help them bid for future opportunities.
NGP is considered the missing link connecting the Territory’s vast gas fields to the east-coast. It is delivering around 90 TJ of gas each day, but more importantly has the ability to deliver more than 700 TJ per day if the pipeline is extended and expanded, which is enough gas to meet the combined average daily gas needs of Brisbane, Sydney and Adelaide.
“The NGP is a key component of our Northern Growth Strategy to bring new gas to the domestic markets on the east coast,” says Mr Spink.
“Not only is this a delivery in the practical sense of enabling customers to heat their homes and industry to manufacture, but it has wider connotations. AGPP, NGP and other future pipelines can deliver certainty to customers, communities and the economy.
“We are confident that exploration of the Beetaloo Basin and other NT and Queensland reserves can deliver national energy security and will play a significant role in shoring up Australia’s future energy mix. Gas plays a central role in the lives of over 6.5 million Australian households and customers have told us they want cleaner, greener gas.
“Given gas supports renewable technologies, we believe that gas supplied by the AGPP will support our push towards a carbon neutral future.”
This article was featured in the July edition of The Australian Pipeliner. To view the magazine on your PC, Mac, tablet, or mobile device, click here.
For more information visit the Jemena website.
If you have a project you would like featured in The Australian Pipeliner contact Managing Editor David Convery at dconvery@gs-press.com.au
