GAS

APC awards key contract for pipeline FEED

THE AGL-Petronas Consortium (APC) has awarded the key engineering contract in the Front End Engin...

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GHD will focus on the design of the pipeline configuration from Cape York to Gladstone and south-eastern gas markets.

APC, which comprises The Australian Gas Light Company (AGL) and Petronas Australia Pty Ltd, said securing the services of GHD was an important step forward towards the construction of the project”.

In addition to GHD’s engineering role, the A$25 million FEED phase will also see work undertaken on regulatory and financial viability assessments, as well as environmental and native title clearance processes, said AGL managing director Greg Martin.

“This work will facilitate the continued progress of the pipeline project and enable the APC consortium, in conjunction with the PNG Gas Project participants, to reach financial close on the pipeline in 2006”, Martin said.

“A final investment decision will be undertaken at the completion of the FEED program. This decision will depend upon the PNG Gas Project participants securing sufficient gas sales agreements to enable the project to proceed and APC concluding corresponding gas transportation arrangements with the PNG Gas Project participants.”,

The PNG pipeline project involves the development of a natural gas pipeline linking gas from the PNG Highlands to markets in Australia. The PNG Gas Project participants are targeting initial gas deliveries to customers from 2009.

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