SEA Gas today announced it had signed multiple agreements with major users and retailers for the transportation of gas to southern Australia from January 2019.
The suite of contracts run for average terms of approximately 5 years and mark the first time significant capacity has been offered outside the foundation contracts since the SEA Gas pipeline between Port Campbell and Adelaide was first operational in January 2004.
SEA Gas CEO Wendy Oldham said the company had now locked in firm capacity bookings for more than 80 per cent of the pipeline system in the near term, with some contracts extending well beyond 2023.
‘This is an excellent outcome for SEA Gas and is another solid step towards a more secure energy supply in South Australia and Victoria,’ Ms Oldham said.
‘The new contracts follow our first public release of existing capacity in 15 years which created a unique opportunity for companies seeking firm capacity to service southern Australian markets.’
‘Most of our capacity is expected to be utilised in fuelling gas-fired power stations in South Australia, as well as servicing industrial and residential gas consumers in both South Australia and Victoria. The gas-fired power provides critical baseload generation and energy security to the region, complementing renewable energy.’
As an ongoing commitment to meet demand into the future, SEA Gas has also recently completed a refurbishment of its Miakite Compressor Station in Victoria to meet summer and winter peak demands across the system.
The 700km pipeline system from Victoria to South Australia commenced operation in January 2004, completing the south-eastern Australia gas transmission grid linking Sydney, Melbourne and Adelaide with gas supplies from fields in both South Australia and Victoria.
As SEA Gas enters its 15th year of operations it will continue bringing energy to the community.
Friday 21 December 2018
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