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01 Aug 2017

Northern gas pipeline to solve gas supply crisis

The $800m Northern Gas Pipeline, connecting Northern Territory gas to the east coast started in early July. According to Managing Director Paul Adams, the pipeline will alleviate the east coast gas supply crisis. “The project is a boon for business that relies on gas as either a feedback or fuel source by providing them with access to new gas at a cheaper price, particularly when compared to the costs associated with transporting gas over long distances from the Moomba Gas Hub to Queensland and New South Wales,” he added. “Jemena has already commenced investigative work on expanding the Northern Gas Pipeline and extending it south from MT Isa to the Wallumbilla Gas Hub to further integrate Territory gas into the east-coast gas grid, provided additional gas supplies are made available in the Territory.” The project will create around 900 jobs during the construction period, of which 600 would contribute to the local community. “Pleasingly, 58 graduates of Jemena's Project Ready Training Program- which provides training and development opportunities for local Aboriginal people- have the opportunity to take full-time employment during construction of the Northern Gas Pipeline,” Adams says. Michael Pintabona, the spokesman for the gas company, Asian conglomerate Jemena, said the 622-kilometre long pipeline will transport 90 terajoules of gas per day from Tennant Creek to Mt Isa. “Our ambition in 2017 is to build about 200 kilometres of the pipeline here in the territory, and to build all of the pipeline in Queensland, as well as the Phillip Creek compressor station,” he said. The pipeline was planned to begin construction earlier this year in April, but the project is postponed due to the disagreement of the terms of the project between the Wakaya Aboriginal Land Trust and Jemena. A new license was approved by the NT Government in May and a new construction date was put forward.
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