CSG

Arrow boosts gas supply agreement

ARROW Energy and Wambo Power Ventures Pty Ltd have agreed to increase the conditional supply of c...

Arrow boosts gas supply agreement

Wambo’s stage 1 Braemer gas-fired power station will generate 450MW through three 150MW gas-fired generators. It is now planned for commercial load in April, May and June 2006 and construction is expected to begin this month.

A 480MW baseload gas-fired power station is also now being planned for a service date of 2008, subject to the verification of adequate recoverable gas reserves and full project feasibility. It will comprise two 160MW gas turbine power plants, as well as a waste heat recovery system generator and a 160MW steam turbo-generator.

The original heads of agreement with Wambo Power for 3.97 PJ p.a. was to partially meet the gas fuel requirements of stage 1 while the additional 15 PJ p.a. in the revised heads of agreement is based on gas fuel needs of Stage 2.

The generation plants are planned to be located adjacent to the Braemar electricity substation about 38km west of Dalby in southern Queensland.

This site is also close to Arrow’s coal-bed methane leases. It is 45km north-west of Arrow’s Tipton West field (PL198, Comet Ridge 20%), 5km south-west of the initial Kogan North development (PL194, CS Energy 50%), 5km south-west of the proposed Daandine pilot (ATP 790P) and 45km south-east of the proposed Dundee pilot (PLA185).

First gas, at a flow rate of 3.97PJ pa is currently planned for delivery in 2006, subject to demonstrated gas delivery capability by Arrow.

Wambo Power is jointly owned by international investment and advisory firm, Babcock & Brown, and Queensland-based energy resource and electricity generation development group, ERM Power Pty Ltd

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