Strandline secures LNG supply from Woodside

Australian mineral sands developer Strandline Resources has executed a 10-year LNG supply deal with the joint venture between Woodside and EDL LNG Fuel to Power.

Under the contract, LNG will be supplied via road train from Woodside’s Pluto LNG truck loading facility near Karratha WA to Coburn’s power generation facilities.

Coburn’s mine site power infrastructure is based on a solution integrating LNG-fuelled generation with solar and battery storage technology.

The LNG supply contract is based on a 10-year term and means the overall cost of power at Coburn will be lower than forecast in the Definitive Feasibility Study (DFS) published in June 2020.

This appointment follows the completion of the funding required to develop Coburn through to production and cashflow. The project funding structure includes debt financing from the Northern Australian Infrastructure Facility (NAIF) and the Bond loan facility, together with equity proceeds as announced on 31 March 2021.

The WEJV contract is subject to conditions precedent regarding the development of the project.