Page 9 - AsianOil Week 26 2022

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Tamboran signs MoU for access to

Jemena’s Northern Gas Pipeline

PIPELINES & AUSTRALIA’S Tamboran Resources has signed and drive economic activity in the Northern
TRANSPORT a binding memorandum of understanding Territory.
(MoU) with Jemena for the transport of 100 Jemena owns and operates a number of
terajoules per day of natural gas through the energy processing and transportation facilities
Northern Gas Pipeline (NGP), beginning in worth more than AUD12bn ($8.2bn) through-
late 2025. out Australia. The NGP is a key component of its
Australia’s East Coast is currently facing growth strategy in northern Australia. The com-
growing demand for natural gas to offset its use pany is looking to build an interconnected sup-
of coal as a means of power generation. ply chain of energy delivery assets in the region
“It is strategically important for Tamboran through targeted acquisitions and greenfield
to secure access to the Jemena-owned Northern developments. As Australia
Gas Pipeline, an important piece of infrastruc- The NGP is 622 km long and started opera-
ture and currently the only gas pipeline route tions in January 2019. It links the gas processing wrestles with
connecting the Northern Territory to Australia’s centres in northern Australia to the eastern gas
East Coast gas market,” said Joel Riddle, manag- markets from Tennant Creek in the Northern a gas supply
ing director and CEO of Tamboran. Territory to Mount Isa in Queensland with the
Securing capacity through the NGP will purpose of providing a transport route between crunch, the issue
allow Tamboran to proceed with the Maver- formerly separated gas markets. of an east-west
ick Pilot Development, which is located in the Meanwhile, as Australia wrestles with a gas
Northern Territory’s Beetaloo sub-basin. The supply crunch, the issue of an east-west gas pipe- gas pipeline has
company plans to drill three horizontal wells line has re-appeared and is again under debate.
during 2022 and 2023 within the 136 permit, Proponents say the pipeline would serve to re-appeared.
which, if successful, will let it book 1 trillion deliver the huge volumes of gas from Australia’s
cubic feet (28.3bn cubic metres) of 2C contin- sparsely popular western regions or even its shale
gent gas resources, convertible to 2P gas reserves gas reserves to eastern and south-east Australia,
upon finalisation of a gas sales agreement. The where demand is high. They argue that in future
resource has been assessed by Netherland, the infrastructure could be used to transport
Sewell and Associates. hydrogen.
Riddle said Tamboran is now funding FEED Opponents argue that the cost of some
activities that involve the potential to integrate AUD6bn ($4.1bn) would be a waste of money,
renewable technologies and net-zero targets. as the project would be obsolete by the time it is
He said development of the Beetaloo sub-ba- completed because of the rapid expansion of and
sin would support Australia’s energy security falling prices for renewables.™

Week 26 01•July•2022 www. NEWSBASE .com P9