Gas Acceleration Program continues to benefit east coast supply

A PROJECT to restart gas processing facilities in South West Queensland will get a $2 million boost from the Australian Government’s $26 million Gas Acceleration Program, increasing gas supply to the East Coast market.

Minister for Resources and Northern Australia Matt Canavan said the funding would allow Australian Gasfields Limited to bring forward by a year the refurbishment and restarting of the Eromanga and Gilmore Gas Plants, adding a combined gas capacity of 8.7 petajoules a year.

“This adds to the $24 million investment in four projects announced in March that will supply an additional 12.4 petajoules of new gas by 30 June 2020, and an extra 27.6 petajoules over five years,” Mr Canavan said.

"The Eromanga facility will provide additional regional infrastructure to help unlock third-party stranded gas resources.

“The Australian Government is taking action to ensure a secure, reliable and affordable gas supply for the East Coast, to support Australian businesses and Australian jobs.

“The GAP is a significant component of the Australian Government’s $90 million investment in gas security, reliability and affordability for Australian gas users.

“It complements other measures that have helped to address domestic gas supply in the short term, like the Australian Domestic Gas Security Mechanism and the Prime Minister’s agreement with the East Coast LNG exporters in October 2017.

“However, the only way to safeguard gas security into the future is by increasing the supply of gas through new exploration and production.  It’s good news that the Northern Territory has lifted it ban on gas development, but other states must do more of the heavy lifting too.”

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