Reedy Creek gas pipeline complete

gas market, gas assets, Santos

The Reedy Creek Pipeline between APA’s Wallumbilla Facility and the Australia Pacific LNG (APLNG) Facility in Queensland has been officially opened.

The 50km gas transmission corridor connects the APLNG pipelines to the east coast grid.

Premier Annastacia Palaszczuk said it allows up to 300TJ of gas per day to be supplied to any market on the east coast of Australia.

“APA is Australia’s largest natural gas infrastructure business operating approximately $20 billion of assets,” Ms Palaszczuk said.

“Given Queensland is Australia’s energy powerhouse, it comes as no surprise APA invests more in Queensland than anywhere else in Australia.

“While other states refuse to develop their gas resources, my government is getting on with the job of making energy more affordable for Queenslanders and for industries right across eastern Australia.

“This $80 million pipeline investment will help make gas more available and affordable for businesses in Queensland as well as Victoria and New South Wales.”

APPEA Queensland director Rhys Turner said the 50km bi-directional pipeline would enable foundation customer Australia Pacific LNG (APLNG), who have signed a 20-year gas transportation agreement, to quickly move gas into the east coast market, via the APA Group-operated pipeline.

“Improved pipeline infrastructure is key to getting natural gas to where it is needed, be it into the east coast network or to export markets,” Mr Turner said.

The announcement builds on the recent agreement between Senex and pipeline operator Jemena to fast-track the development of another new gas processing and pipeline facility in Queensland’s Surat Basin.

The efforts of the gas industry in Queensland have been recognised in AEMO’s 2018 Gas Statement of Opportunities (GSOO) released last month.

The report confirms the actions taken by the industry to bring more gas into the domestic market has removed any concerns about potential shortfalls out to 2030.

“The GSOO notes in order to meet demand over the period to 2030, significant ongoing industry investment will still be required to commercialise existing reserves and find new resources,” Mr Turner said.