Woodside Energy has entered into a gas sales agreement with Qenos for the supply of natural gas from Woodside’s equity position in the Bass Strait, Victoria.
The gas sales agreement covers the supply of 4.5 petajoules of gas in 2023 for use at Qenos’ polyethylene manufacturing facilities at Altona in VIC as well as Botany Bay in NSW.
Woodside’s Executive Vice President for Marketing and Trading Mark Abbotsford said that the agreement ensures affordable gas supply to an important large-scale industrial consumer at a time of increased volatility and uncertainty in east coast energy markets.
“Woodside is pleased to be able to deliver reliable and competitively priced gas to support the energy needs of an essential domestic manufacturer and major employer in Victoria and New South Wales,” said Abbotsford.
The announcement is great news for domestic supply and local manufacturing for the state of Victoria. Gas production from Bass Strait currently supplies approximately 40 per cent of the Australian east coast domestic gas demand.