Energy company Jemena has completed the 622 km Northern Gas Pipeline (NGP), opening up the supply of gas from the Northern Territory fields to Mount Isa in northwest Queensland, Australia.
The gas is to be used as a crucial feedstock by local businesses – including Incitec Pivot’s Phosphate Hill and Gibson Island facilities, as well as mining and other commercial operations throughout Queensland’s northwest, Jemena said.
Jemena’s Managing Director, Frank Tudor, said around 80% of the NGP’s capacity has been contracted; testament to the real need for additional gas across Australia’s east coast.
“Today we have taken a significant step towards ensuring Australian homes and businesses have the gas they need, when they need it,” Tudor said.
“I commend the Northern Territory Government for commissioning the NGP project in 2015 and am proud that the territory is now well-placed to become the home of Australia’s gas industry alongside Queensland.
“We know that the Northern Territory has enough gas to meet Australia’s future supply needs for the next 200 years or more, and our pipeline is the crucial, missing, link that will connect this gas with Australian homes and businesses.”
Tudor said Jemena was well-advanced in planning the expansion and extension of the Northern Gas Pipeline so that it further integrates with the east coast gas market.
“Provided gas is proven as commercially viable in the Northern Territory, Jemena will be able to increase the NGP’s capacity from around 90 TJ/d up to 700 TJ/d. To put this in context, this is enough gas to meet the average daily gas needs of Sydney, Brisbane, and Adelaide combined.”
The NGP’s commercial operations are targeted to commence between December 29 and January 10, Jemena said.