Queensland Gas Company Ltd (QGC) has today announced the signing of its first gas supply agreement with major Queensland power generator, CS Energy. The conditional agreement would see QGC supplying CS Energy with between 60 and 90 petajoules of gas over 15 years, with a financing component available to QGC.
QGC’s priority in 2003/5 will be to develop the gas field to meet its contractual arrangements with CS Energy. With its first commercial field at Berwyndale South underpinned by the CS Energy contract, QGC will be able to begin working in 2003 on securing a customer for its next planned commercial field.
“While we’re yet to finalise which field this will be, it most certainly will be in proximity to Berwyndale to ensure we can capitalise on the infrastructure and delivery synergies on offer through geographic proximity,” he said.
QGC expects that certification of its Berwyndale South reserves will be achieved within the first half of 2003, putting the company on target to start supplying CS Energy by the middle of the 2004 financial year.
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