Australia’s oil and gas industry body APPEA said today that the opening of the Macedon Domestic Gas Project in Western Australia provides a significant boost to the state’s domestic gas supply and shows that domestic and export gas projects can grow in tandem.
Macedon, a $1.5 billion joint venture between Apache Energy Limited and BHP Billiton, is WA’s fourth domestic gas supply hub. It will play a crucial role in delivering the state’s growing energy needs.
APPEA Chief Operating Officer Western Australia, Stedman Ellis said: “This is a significant development that diversifies and secures WA’s gas supply .
“It’s also consistent with recent forecasts from state’s first Gas Statement of Opportunities that confirm that WA has more than enough natural gas for both domestic and export markets.”
Macedon has a production capacity of 200 terajoules of natural gas per day.
Operations include four offshore production wells and a gas sales pipeline that connects the Macedon plant to the Dampier to Bunbury Natural Gas Pipeline.
Mr Ellis said: “Our long-term energy supply is best delivered through efficient operating markets and by encouraging new entrants and competition.
“Market forces, price movements and growth of the gas export industry – not the interference of commercial incentives – drive WA’s domestic gas market.”
According to the Gas Statement of Opportunities released recently, WA will have transitioned from two to six domestic gas suppliers by 2016.
[mappress] Press Release, September 20, 2013