After securing a contractor to build the power generation facilities at its Coburn project in Western Australia, Strandline Resources has appointed subsidiaries of Woodside Energy and EDL, in joint venture (WEJV), as preferred contractor to supply LNG to the mineral sands development’s power generation facilities.
The WEJV solution provides Strandline with a long-term clean, reliable and affordable solution for Coburn, the company said.
Under the WEJV proposal, LNG will be supplied via road train from Woodside’s Pluto LNG Truck Loading Facility near Karratha, Western Australia.
“Coburn’s mine site power infrastructure is based on a low-cost, low-emission solution integrating LNG-fuelled generation with state-of-the-art solar and battery storage technology (provided by third parties),” the company said.
The proposed LNG supply contract is over a 10-year term (with appropriate pricing review and adjustment mechanisms) and enables Strandline to capture energy supply cost savings relative to the definitive feasibility study published in June 2020.
As preferred contractor, the parties will now compile final contract documentation subject to the satisfaction of Coburn’s lenders and agreement between the parties.
Strandline Managing Director, Luke Graham, said the appointment establishes an important long-term relationship with two industry leaders in the energy sector, in Woodside and EDL.
“The company continues to move rapidly towards development of Coburn and these key contract appointments to well-credentialled suppliers provide delivery certainty,” he said.