STX 0.00% 17.0¢ strike energy limited

Eregulla Deeps, page-110

  1. 96 Posts.
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    Without getting too far out over the skis, success at ED would be quite interesting for the JV relationship IMO. Given the proposed WE plant is already going to be operating at capacity for 15 years with just the WE gas, success at ED would likely mean another route to market needs to be found for that gas which may pose significant enviro permitting hurdles, which could take a while ...

    But STX has enviro approval (Appeal dismissed in May) for a plant to process 40TJ/d at SE. Maybe the SE plant could be built to process STX's share of ED gas as well as the residual SE gas that is not needed for the peaker. Would just need approval for upstream gathering at ED and a pipeline from ED to SE, which is close and maybe not too difficult? Perhaps if our JV partner plays nice STX could let them use the plant as well.

    Not super capital efficient but definitely a way to get ED gas (if there is any) to market promptly and extract additional value from the SE residual gas.

    I look forward to our resident pie eater telling me why this is a terrible idea.
 
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