Surat Basin gas to flow to government-owned generator

GAS from the Surat Basin will flow to Queensland Government-owned power generator CleanCo Queensland under a new agreement announced yesterday.

Under the one-year agreement, Senex will supply CleanCo with 2.55 PJ of natural gas from Project Atlas near Wandoan, starting on January 1, 2021.

Gas will be supplied at the Wallumbilla Gas Hub in Queensland at a fixed price in line with current market levels.

CleanCo is the new Queensland Government-owned corporation focused on delivering affordable and reliable clean energy.

The gas will fuel Swanbank E, CleanCo's highly efficient 385 MW gas-fired power station near Ipswich in southeast Queensland.

Initial gas sales to CleanCo - the first from dedicated domestic gas acreage in Australia - have been made since December 2019.

Senex managing director and CEO Ian Davies said Senex was proud to be helping power homes and businesses throughout Queensland with cleaner energy.

"The increase in supply of Atlas gas to CleanCo is a great outcome for Queensland, enabled by the State Government's policy to support the domestic market," he said.

"Senex is continuing to negotiate gas sales agreements that will support jobs and regional economies as we partner with commercial and industrial customers for long-term and mutually beneficial relationships.

"As strong demand for domestic gas supply continues, new gas sales agreements are being negotiated to further de-risk future Atlas revenue streams and strengthen overall business resilience." 

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